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Financial assessment of government subsidy policy on photovoltaic systems for industrial users: A case study in Taiwan

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  • Chou, Shuo-Yan
  • Nguyen, Thi Anh Tuyet
  • Yu, Tiffany Hui-Kuang
  • Phan, Nguyen Ky Phuc

Abstract

Due to Taiwan's limited energy resources, the development of solar photovoltaic (PV) in Taiwan has become one of the most important solutions for meeting future energy supply needs and ensuring environmental protection. A huge amount of researches about renewable energy sources has emerged recently in response to these issues. However, the amount of researches considering the effects of various influential parameters on the efficiency and performance of PV systems remains small, and is still limited to some specific parts of PV systems. In particular, researches considering thoughtfully the influence of government subsidies on PV financial assessment are still in development. This paper proposes an approach to analyze the benefit of installing a PV system under the impact of government financial subsidies, focusing especially on feed-in-tariff (FIT) and tax abatement policies for industrial users in Taiwan. In addition, a method for selecting the most appropriate policies is proposed for the government through the analysis of both user demand and the government's PV installation capacity target.

Suggested Citation

  • Chou, Shuo-Yan & Nguyen, Thi Anh Tuyet & Yu, Tiffany Hui-Kuang & Phan, Nguyen Ky Phuc, 2015. "Financial assessment of government subsidy policy on photovoltaic systems for industrial users: A case study in Taiwan," Energy Policy, Elsevier, vol. 87(C), pages 505-516.
  • Handle: RePEc:eee:enepol:v:87:y:2015:i:c:p:505-516
    DOI: 10.1016/j.enpol.2015.09.039
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Orioli, Aldo & Di Gangi, Alessandra, 2017. "Six-years-long effects of the Italian policies for photovoltaics on the pay-back period of grid-connected PV systems installed in urban contexts," Energy, Elsevier, vol. 122(C), pages 458-470.
    2. repec:eee:appene:v:217:y:2018:i:c:p:336-345 is not listed on IDEAS
    3. Wang, Hongwei & Zheng, Shilin & Zhang, Yanhua & Zhang, Kai, 2016. "Analysis of the policy effects of downstream Feed-In Tariff on China’s solar photovoltaic industry," Energy Policy, Elsevier, vol. 95(C), pages 479-488.
    4. repec:gam:jsusta:v:9:y:2017:i:6:p:874-:d:99597 is not listed on IDEAS
    5. repec:eee:appene:v:212:y:2018:i:c:p:895-908 is not listed on IDEAS
    6. Zhang, M.M. & Zhou, D.Q. & Zhou, P. & Chen, H.T., 2017. "Optimal design of subsidy to stimulate renewable energy investments: The case of China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 71(C), pages 873-883.

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