Japan implemented a new feed-in tariff (FIT) system in July 2012. The FIT prices are re-estimated annually by the Ministry for Economy, Trade and Industry and METI‚Äôs cost estimation committee held its 3rd meeting on Tuesday this week defining new purchasing prices for the 2013 fiscal year. While the price for wind power remains unchanged, the price paid for solar was cut by 10%.
The committee recommended the tariff for wind projects to remain at ¬•23.1 per kWh for 20 years. The Japan Wind Power Association (JWPA) said it welcomed the proposal. ‚ÄúThe current tariff is the minimum level necessary to develop wind projects in Japan,‚Äù Tetsuro Nagata, president of JWPA, said. ‚ÄúIf the tariff is to be kept at the same level, we welcome the decision. There remain major issues, such as grid connection and deregulation, but we want to further expand wind power, taking advantage of the tariff, to be held at the same level, for the second year.‚Äù