Feed-in tariff for onshore and offshore wind

In 2009, the Chinese National Development and Reform Document (NDRD) introduced a feed-in tariff to support the deployment of electricity from onshore wind, applying over a 20 year period.

The price setting is divided in four categories according to the wind endowment of the region, the larger the wind endowment the lower the financial support. Tariffs vary as followed:

• Category 1: EUR 0.052/kWh
• Category 2: EUR 0.055/kWh
• Category 3: EUR 0.059/kWh
• Category 4: EUR 0.062/kWh

This mechanism replaces the existing dual-track system that used to stabilise tariffs during the concession tendering process or on a project-by-project basis following governmental approval. Grid operators and utilities bearing the financial cost of the feed-in tariff will be compensated by the distribution of the Renewable Energy Premium included in the 2006 Renewable Energy law revised in 2009.

Initially, FIT existed onlt for onshore wind projects. In recent years FIT for offshore wind was added.

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