China's rapid deployment of solar capacity has encountered hurdles as grid infrastructure struggles to keep pace with the burgeoning installations, leading to a slowdown in growth.
According to the National Energy Administration, China added 45.7 gigawatts of photovoltaic panels in the first quarter of this year, marking a more than one-third increase from the previous year. While still impressive on a global scale, this growth rate represents a significant decline compared to the 154% surge witnessed in the same quarter of 2023.
Despite China's substantial solar capacity additions, predominantly driven by utility-scale projects concentrated in interior deserts, grid constraints have hindered the efficient transmission of clean power from remote areas to urban centers.
Rooftop solar, a significant contributor to capacity growth, particularly in urban areas, is also grappling with grid integration challenges. Local networks have struggled to accommodate the intermittent nature of solar energy, leading to instances of curtailment or negative pricing during periods of low demand.
In response to these challenges, the Chinese government has intensified efforts to bolster grid infrastructure to support continued clean energy expansion and meet decarbonization targets. Initiatives announced by the National Energy Administration and the National Development and Reform Commission aim to enable the grid to connect 500 gigawatts of small-scale renewables by 2025. Additionally, grid companies have pledged to construct more high-voltage long-distance power lines to enhance transmission capabilities.
Alongside solar, China added 15.5 gigawatts of wind, 6.4 gigawatts of thermal, and 1.8 gigawatts of hydro power capacity in the first quarter of this year, as reported by the National Energy Administration.
