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Solar & Alternative Energy

Spain may reduce solar subsidy

9 February 2009

Spain may reduce the premium price paid to electricity producers that use photovoltaic cells, cutting clean-energy incentives for the second time in three years, government and industry group officials said.

The two sides are holding talks about lowering solar-power rates in 2012 in return for letting developers build more installations, according to notes from a Jan. 27 meeting prepared by the Asociacion de la Industria Fotovoltaica, a Madrid-based trade group. An industry ministry spokesman who declined to be named said meetings are under way. New tariffs, which must be signed into a law to take effect, may be reduced by as much as 25 percent.

Full story from Bloomberg.