Solar industry: Golden Sun-than-expected second batch of the total amount of the tender

Matters:

    December 11, the Ministry of Finance, Ministry of Science and Technology and the National Energy Board today announced the second batch of 2012 Golden Sun demonstration project directory the total by photovoltaic project installed capacity 2834.795MW. According to the Shanghai Securities News reported, the domestic "Twelve Five" PV planning 40GW installed capacity is expected upwards.

    View from the geographical distribution of the announced demonstration projects, Jiangsu, Hunan, Zhejiang, Shandong and Henan Province, the total maximum five provinces, five provinces are also concentrated photovoltaic production enterprises provinces, which also reflects In the case of industry downturn, partially local photovoltaic production enterprises want to help themselves by building downstream of the power plant project.

    From the point of view of the project owners, owners of sources are industry-based PV modules, inverters, or upstream materials photovoltaic production enterprises, the main power station development "Power Investment Company, or power plant engineering company" and powered self-built roof for their own factory plant owners. From distribution of a proportion of the owners, the photovoltaic production enterprises accounted for about 35%, and this part of the project is likely most of the installed devices, such as modules, inverters are the owner of its own products. But this part of the project owners relatively more concentrated and less small-and medium-sized photovoltaic production enterprises, is conducive to the further integration of the industry, including Yingli winning the largest number of the total to more than 200MW.

    Although part of the development is expected to remain there owners and local PV companies tied to declare the situation, but most of the project owners are still well-known of the power plant project development company, such as in energy-saving, Datang new energy, new investment energy companies, it is expected that the project procurement will not become a way for local businesses to digest the production capacity of photovoltaic solar panel enterprise, is conducive to stimulating industry shipments of various enterprises, especially large enterprises next year, the ultimate realization of the stability of the industry pattern.

    The introduction of supporting policies, such as subsidies for kWh is key to the future sound development of distributed PV

    Before the Golden Sun Project tender construction progress is less than the expected major problem is that the national power grid is limited grid resulting distributed power station can not affect the enthusiasm of the owners of the building, clear and intensity of network accepted at this year's National Grid and the country also upregulated Jintaiyang second batch number is expected to tender substantive pulling the start of the Golden Sun power plant construction. But the the Golden Sun power plant construction before using the one-time full subsidy model may still cause some owners to adopt relatively low but not high power generation efficiency of low-grade components even without installing behavior defrauding subsidies future domestic distributed generation and Golden Sun to be comprehensive development, kWh subsidies is still the key to the development of the Golden Sun project there are some uncertainties in the implementation of the subsidy funds, these constraints are likely to become the project forward.

    The domestic market "12th Five-than-expected total installed capacity is expected to

    Although before the "12th Five-Year Plan of the solar industry determined to solar installed capacity reached 21GW in 2015, however, due to the distributed and large power stations on the ground to promote its planning may be upwards to a higher level. We believe that by the end of 2012, the domestic PV installed capacity will be close to 8GW, future planning to 40GW, "second five" the remaining three-year average annual solar cell installed capacity of about 10GW is a relatively reasonable level, even the possibility of a breakthrough The domestic market is expected to gradually open.

    Securities Company Information wall system guidelines (CSI Xiefa [2010] No. 203) stipulates that, our company disclosure: I direct investment subsidiary of the Company as of December 11, 2012, Guoxin Hiromori Investment Limited to 921.15 million shares of its own capital investment holds the "Lungi shares" (601,012).

    To maintain the industry "neutral" rating, concerned that some oversold stocks

    Although the industry is currently facing favorable policies, but the profitability of the business is still in the bottom of the industry have not yet reached a a fundamental reversal point in time, we maintain the industry "neutral" investment rating may be concerned about the portion of the prior period adjustment decreases leading stocks trading sexual opportunities, such as Lungi shares, sun power, Libya.