China's Solar Installations May Reach 3GW in 2012,According to China News Outlet NE21

China's solar installations may reach 3GW in 2012, according to China news outlet NE21. Due to strong support from the central and local governments, the solar industry in China has been expanding rapidly in recent years. However, as the anti-dumping and anti-subsidy probe taken up by the US government continues to cast a cloud over China's solar industry, many firms have been betting on domestic demand. The heavy subsidies provided by the China government to the solar industry have been helping the firms to lower production costs. The China-based solar firms have been able to sell products in international markets with low prices. This competitive advantage has been causing firms from other countries to call for their governments to level the playing field by policies such as levying tariffs on China-made solar products. To help the domestic solar industry and solve the energy consumption problems, China's government has been trying to create enough domestic demand and building solar power plants. But the more help the government provides, the more likely for governments from other countries to increase trading barriers against China-based solar firms. This is the dilemma for China's government. The current installations of solar PV systems in China is 1.5GW, according to the government policies and plans. The average installations from 2012-2015 should be around 3.5GW, said the report. Source: www.digitimes.com