An official from the National Energy Administration: The predicament of the solar photovoltaic industry is a temporary situation.

Wu Guihui, the chief engineer of the National Energy Administration, stated at the China International Solar Energy Summit held in Datong, Shanxi on October 26 that the National Energy Administration is studying and improving policies and measures to promote the development of the photovoltaic industry and will continue to support local authorities and enterprises in doing a good job with ongoing projects and demonstration projects.

Wu Guihui said that in order to protect the environment, combat climate change and achieve green and low-carbon development, China has given priority to renewable energy development and attached great importance to the development and utilization of solar energy. At present, China has formed a solar energy industry with a large industrial scale and strong international competitiveness.

Data show that as of 2011, China's total photovoltaic cell production capacity of more than 20 million kilowatts, the output ranked first in the world. The production and application of solar water heaters for ten consecutive years in the forefront of the world, the global solar collector installation area has exceeded 300 million square meters, only China's heat collection area reached 214 million square meters.

However, affected by the financial crisis and the European debt crisis, the global economy is down, trade protectionism is rising, the consensus on climate change is facing new challenges, and some countries have reduced their support for the solar industry, resulting in a decline in the growth of the global photovoltaic power generation market and a contraction in the market.

In this case, China's solar photovoltaic industry has also experienced overall operating difficulties, the contradiction of excess capacity is prominent, policy adjustment is relatively lagging, and photovoltaic enterprises are facing unprecedented pressure.

Wu Guihui believes that adhering to the road of green and low-carbon development and vigorously developing renewable energy and new energy is the common pursuit and desire of governments and people all over the world. In contrast, the industry's woes caused by the slowdown in global solar demand are only a temporary pattern. At present, countries are taking measures to try to change this situation.

China's photovoltaic industry still has a lot of room for growth. Wu Guihui said that in 2011, China's installed capacity of photovoltaic power generation is only 3 million kilowatts, and the 24th released "China's energy policy (2012)" white paper clearly pointed out that by 2015 China will build solar power installed capacity of more than 21 million kilowatts, solar heat collection area will also increase 1.8 times, reaching 400 million square meters. This will unleash huge market demand.

"At present and in the future, the development of renewable energy will still depend on economies of scale." Wu Guihui said that industrial difficulties are also development opportunities, the future will accelerate structural adjustment, limit and put aside backward industries, promote technological progress and innovation, research and solve the distributed power generation direct supply and barrier-free access to the grid, as soon as possible to establish a mechanism and policy system to support the development of China's photovoltaic power generation industry.