Jiangsu gave its first subsidies for distributed photovoltaic (PV) power generation to a villager in Yangzhou city on Jan 28.
The beneficiary named Zhu Qijie in Zhoudun Village, Jiangdu District of Yangzhou, got the subsidies worth 1,223.04 yuan (US$202).
Zhu signed a power sales contract with State Grid Yangzhou Power Supply Company on June 4, 2013. According to the agreement, the company would buy the extra power generated by Zhu after home use. Zhu has invested more than 50,000 yuan (US$826) in distributed PV power generation. Before the subsidy plan was unveiled, suppose he generates 7,000 kWh power per year, his income from sales of unused power generated and reduced power fares will total 3,000 yuan (US$ 495.9) per year, and it will take 16 years to recoup the investment.
But now, the payback period will be halved to eight years as he will get subsidies of 6,000 yuan (US$ 991.8) a year.
Zhu felt more confidence in distributed PV power generation after he got the first sum of subsidy. He will launch a 5kW distributed PV power generator after the Spring Festival and extend the power generation program with more enterprises and individuals.
