China has announced the first batch of renewable projects that will be built without financial support from the government, according to Bloomberg Law.
China will develop 20.8 gigawatts of renewable projects that only can profit from selling electricity into grids at prices equal to or less than coal power, including 14.8 gigawatts of solar and 4.5 gigawatts of wind capacity.
New solar projects in China are expected to accelerate during the second half of the year because with a list of subsidy-free plants, provinces can organize the bidding process required for projects that need government support.
China's focus on renewable energy stems from its desire to cut reliance on coal and help fight pollution. Although the country has subsidized clean power plants for years, it is moving toward a market-driven approach to help control large subsidy bills. It also announced policies such as setting mandatory consumption targets and giving priority grid access to subsidy-free plants.
Analysts estimate China will add 37 gigawatts of capacity in 2019.
