Analogous to The EU Wind Action Plan: PV Association Calls For Package For Solar Industry
Brussels, Belgium - The European Solar Manufacturing Council (ESMC) has welcomed the Wind Energy Action Plan presented by the EU Commission.
In 2022 alone, the EU's trade deficit with China in PV components amounts to €25 billion, according to ESMC. An integrated policy framework therefore is crucial, in the organisation's view, to address this trade deficit, improve PV manufacturing capacity in the EU, reduce dependence on imported PV technologies and ensure the achievement of the EU's Green Deal targets.
ESMC therefore calls for the development of a legal framework to secure European PV manufacturing capacity of 40 GW in 2030 along the entire value chain as a lever for security of supply. In addition, concrete annual targets for the period from 2025 to 2030 should be adopted accordingly, including some emergency measures to prevent bankruptcies of European PV module producers, ESMC said.
The current situation for European PV manufacturers is dire as some major PV module producers are contemplating decisive decisions by the middle of November about closure of production facilities or relocating their manufacturing to other regions, the association said. However, the immediate adoption of a comprehensive "European Solar PV Manufacturing Package" to secure the purchase of PV products manufactured in Europe could potentially prevent the bankruptcy of European PV module manufacturers, ESMC added.
A corresponding package should therefore prioritise the following milestones, according to ESMC.
First, legal requirements should reserve part of the market for domestic products, for example starting with a target of 10-15 per cent by 2025/2026, increasing each year to 40 per cent or 40 GW of PV production capacity by 2030.
Second, supply chain resilience should be ensured. I.e. additional points should be included for PV modules produced in Europe, taking into account resilience and ESG (environmental, social and governance) criteria.
The third focus, according to ESMC's ideas, is a ban on PV products in the EU that have been produced using forced labour. The existing list of the Uyghur Forced Labour Prevention Act (UFLPA) is to be used for this purpose.
The current legislative proposal in the EU is a step in the right direction, but even after its adoption, implementation could take at least 18 months. However, forced labour in the EU market cannot be tolerated and should be banned without delay, the association continues.
Source: IWR Online, 26 Oct 2023
