Feed-In Tariff for Onshore Wind Power in China

Jiahai Yuan, Chunning Na, Yan Xu and Changhong Zhao

Emerging Markets Finance and Trade, 2016, vol. 52, issue 6, 1427-1437

Abstract: This article estimated the cost of onshore wind power in China by employing levelized cost of the electricity model. The analytical framework has enough precision for appraising the effectiveness of feed-in tariff (FIT) policy. Results show that the existing FIT policy is attractive to investors, but serious curtailment and turbine quality issues could make wind power unprofitable. Meanwhile, rapid learning-by-doing in turbine price has substantially lowered the cost of wind power and made it competitive with coal power in 2013. Our estimate results indicate that it is necessary and the right time to reform the FIT policy for the newly commissioned wind farms.

Date: 2016
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Persistent link: https://EconPapers.repec.org/RePEc:mes:emfitr:v:52:y:2016:i:6:p:1427-1437

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DOI: 10.1080/1540496X.2016.1152797

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