Other policy topics
ESMC is active in several areas, advocating for improved conditions for our members in the European PV Manufacturing Industry. In the following section results and output on past initiatives and topics, and areas that do not fall under any of the other categories, are listed.
Unsustainaby low PV module prices
The future of the European solar industry and a resilient European energy supply are in utmost danger – without immediate actions, the European PV manufacturing industry will disappear forever
Leaders of the European solar manufacturing industry have come together to address an alarming crisis caused by the unsustainably low-priced PV modules from China. Despite efforts like the Temporary Crisis and Transition Framework (TCTF) and the Net-Zero Industry Act (NZIA), intentional actions by Chinese PV manufacturers threaten the European solar PV industry’s renaissance. In an Industry-wide outreach to the EU and its Member States, the European PV industry urges the European Union and its Member States to take immediate action to avert a looming catastrophe.
The European solar industry and the plan to strengthen European resilience are under threat from Chinese PV manufacturers intentionally driving down prices. Over recent months, massive stockpiles of Chinese PV modules in European ports, equivalent to Europe’s entire annual installation demand, have built up. Imports are projected to reach 120 GW in 2023, overshadowing expected installations of just over 60 GW.
As a result, European PV module production has plummeted from 9 GW in 2022 to approximately 1 GW in 2023, with European manufacturers facing insolvency. The manufacturers now face a choice: continue production shutdowns and face bankruptcy or seek refuge in regions like the US that support their PV industry.
To address this crisis, the signatories, with ESMC in the lead, have urged the European Commission and Member States to take swift action.
Žygimantas Vaičiūnas
ESMC Policy Director
For more information:
vaiciunas@esmc.solar
IPCEI Working Group
PV-IPCEI launch
The Treaty on the Functioning of the European Union provides for the possibility of approving state aid for ‘Important Projects of Common European Interest’ (IPCEI). IPCEIs allow European Member States to jointly support transnational cooperation projects with major synergies that make an important contribution to economic growth, jobs and the competitiveness of the EU industry and economy.
In mid-2021 ESMC initiated a process and a working group, in collaboration with the European Solar Initiative to create an IPCEI for PV manufacturing. The IPCEI consortia attracted over 60 European companies and research organizations, all actively engaged in forming an IPCEI for PV manufacturing under the lead of ESMC.
May 20th marked the day for the official launch of the PV IPCEI. The event brought together high-level representatives from the European Commission, Member States, and the PV manufacturing industry to present and discuss the ongoing progress, the current geopolitical and market environment and to foresee the next steps to start the necessary PV-IPCEI policy and regulatory actions without delay.
The PV IPCEI initiative is currently on hold due to the more favourable conditions on attracting CAPEX support through TSTF.
Other deliveries from the IPCEI initiative
Letter of support
ESMC appreciates the support expressed by the 5 EU Member States; Austria, Belgium, Lithuania, Luxembourg, and Spain, for the re-establishment of a competitive European solar PV manufacturing industry.
Industrial policy letter
ESMC’s Policy Director Mr Vaičiūnas gathered support from 8 EU Member States for a PV IPCEI in his previous role as the Lithuanian Energy Minister.
IPCEI summary
The arguments for an IPCEI is summarized in a document, used before the official IPCEI launch.
IPCEI one-pager
ESMC has produced a one-pager that summarizes the benefits for the Member States participating in the work to create an IPCEI for Solar PV Manufacturing.
Other miscellaneous policy inputs from ESMC
Public Consultation on Critical Raw Materials Act
To achieve the green and digital transitions, the EU must significantly increase and diversify its critical raw materials supply, strengthen circularity and support research and innovation. ESMC have taken part in the initiative to reinforce EU monitoring capacities and strengthen both the EU value chain and EU external policies on critical raw materials through the Public Consultation on Critical Raw Materials Act.
SET Plan – Call for Evidence
The European Strategic Energy Technology Plan (SET Plan) aims to boost the transition towards a climate-neutral energy system by developing low-carbon technologies. This initiative aims to align the SET Plan with the objectives of the European Green Deal. In November 2022, ESMC submitted feedback to the European Commission’s Call for Evidence.
5% of new capacity from “Innovative” Renewable Energy
In the context of our collaboration with and support of EUREC – The Association of European Renewable Energy Research Centres, we highlight a newly released report: 5% of new capacity from “Innovative” Renewable Energy: A necessary and do-able enhancement to the Renewable Energy Directive.