Solar energy manufacturers have until August 15 to submit their solar factory proposals to the German authorities.
The German Ministry of Economic Affairs (BMWK) has launched an expression of interest process to invite solar module manufacturers to set up production facilities in Germany.
The government aims to distribute investment support (capex) through the Temporary Crisis and Transition Framework (TCTF) subject to budget availability and approval by the European Commission. The goal is to build a production capacity of 10 GW in the solar electricity value chain.
Projects must meet certain criteria, including a minimum annual generation capacity of 2 GW, module efficiency above 24% and annual degradation below 0.2%.
Soldering processes are not allowed in production and manufacturers must demonstrate a CO2 footprint of less than 18 grams CO2/kWh based on lifetime.
Antimony-free sunglasses are required, with lead, bismuth and nitrogen classified as prohibited critical raw materials.
The US Inflation Reduction Act (IRA) has increased pressure on the German government and the EU Commission to provide more financial support to the domestic solar industry, prompting some companies to consider preferring investment decisions in the US, where both capital and fixed asset financing is available.