[SMM Analysis] A Summary of Major National and Regional Policies in the Global PV Market in September 2025

China

1. Policy Name: Notice on Improving the Pricing Mechanism to Promote Local Consumption of New Energy Power Generation

Release Date: September 9, 2025 (Effective October 1, 2025)

Key Points: The notice clarifies the pricing mechanism and market-based settlement rules for "local consumption" of new energy power generation, promotes the combination of self-generation and self-consumption with surplus electricity fed into the grid, and reduces the risk of curtailment of PV power generation.

Explanation:

The National Development and Reform Commission (NDRC) and the National Energy Administration jointly issued this notice, requiring new energy projects to prioritize local consumption. It specifies the proportion arrangement for "self-generation and self-consumption, surplus electricity fed into the grid" and the cost-sharing mechanism, while strengthening coordination with the spot market and ancillary services market. The document emphasizes that by establishing a more reasonable pricing mechanism and incentives, administrative interventions will be gradually reduced, encouraging new energy power generation entities such as PV to participate in market-based transactions. This will promote the local consumption of distributed PV projects and large-scale base projects, alleviate cross-regional transmission pressure, optimize grid dispatch, and enhance system operational security.

2. Policy Name: The Ninth Batch of Renewable Energy Power Generation Subsidy Project List

Release Date: September 18, 2025

Key Points: The list announces a new batch of renewable energy projects eligible for central government subsidies, involving PV, wind power, and others.

Explanation:

Financial subsidies are an important support measure for China's new energy industry. The release of the ninth batch of subsidized projects further clarifies which PV projects are eligible for subsidies. Inclusion in the list means greater certainty in fund recovery and financial financing for the projects. Although subsidies have been gradually phased out in recent years, the release of this list still demonstrates policy continuity at the central level for certain projects, helping to boost investor confidence. It particularly has a positive impact on the construction progress and grid connection of large-scale base PV projects in central and western regions, as well as some distributed PV projects.

Europe (EU)

1. Policy Name: CINEA / CEF Energy Fifth Round of Cross-Border Renewable Energy Funding (Call and Funding Decision)

Release Date: September 2, 2025 (Call Launch); September 22, 2025 (Funding Decision)

Key Points: The EU provides funding for cross-border transmission and clean energy projects such as PV through the CEF-Energy mechanism, strengthening power interconnections among member states.

Explanation:

The European Climate, Infrastructure and Environment Executive Agency (CINEA) launched and announced the fifth round of Cross-Border Renewable Energy (CB-RES) funding calls in September, followed by the funding decision announcement on the 22nd. This program, through the CEF-Energy mechanism, provides financial support for PV power plants and supporting transmission facilities involving multi-country interconnections, promoting the integration of the EU's internal electricity market. The goal of such cross-border projects is to alleviate regional power imbalances, enhance the cross-border dispatch capability of large-scale PV power generation, increase the proportion of renewable energy consumption in Europe's overall power grid, and lay the foundation for achieving the 2030 carbon neutrality goal.

US

1. Policy Name: Department of Energy (DOE) Clean Energy Funding Recovery Plan

Release Date: September 24, 2025

Key Points: The DOE plans to cancel or recover more than $13 billion in unused clean energy grants, involving PV and ESS projects.

Explanation:

In September, the US Department of Energy (DOE) announced that it would clean up and recover more than $13 billion in unused or slow-moving clean energy funds. This decision involves projects such as PV, wind power, and ESS, meaning that some enterprises or institutions originally relying on government funding will need to seek other financing channels. This move is seen as a signal of fiscal tightening, which may affect some investment plans in the PV industry in the short term. However, in the long run, it will also help improve resource allocation efficiency and prevent funds from being tied up in inefficient projects. For the industry, this is an important policy adjustment that may prompt developers to accelerate the progress of projects under construction.

2. Policy Name: Treasury Department/IRS New Guidance on ITC "Safe Harbor"

Release Date: September 2025

Key Points: Tightening the criteria for determining when renewable energy projects have "commenced construction," affecting the eligibility of PV projects for the Investment Tax Credit (ITC).

Explanation:

In September, multiple industry media outlets reported that the US Treasury Department and the Internal Revenue Service (IRS) issued new guidance on the "commenced construction" criteria, directly impacting the eligibility of PV projects to apply for the Investment Tax Credit (ITC). The new interpretation is stricter, requiring projects to meet higher standards in equipment procurement and construction initiation to lock in the tax credit. This will have practical implications for project financing, construction schedules, and equipment supply chain arrangements, particularly for PV power plants in the early planning stages, which may need to secure more physical work or contract terms in advance. Although the full official regulatory text has not yet been released, this development has already attracted widespread attention in the industry.

India

1. Policy Name: ALMM (Approved List of Models and Manufacturers) Revision Announcement (First Edition Revision)

Release Date: September 23, 2025

Key Points: Updates the ALMM list for solar cells, affecting government projects and subsidy eligibility, and strengthening localization requirements.

Explanation:

In September, the Ministry of New and Renewable Energy (MNRE) of India officially released a revision to the ALMM (Approved List of Models and Manufacturers), adding and updating the list of approved producers for solar cells. This list is a critical threshold for determining whether PV products can participate in central government-led projects and access subsidies and policy support. This revision further enhances the market competitiveness of domestic Indian manufacturers while restricting the entry channels for some overseas suppliers. This policy aligns with India’s strategic goal in recent years of promoting local manufacturing and reducing dependence on imports, while also impacting the international supply landscape of the PV industry chain.

2. Policy Name: Anti-Dumping Investigation on Solar Encapsulation Materials and Planned Import Monitoring System (Media Reports)

Release Date: September 2025 (Media Disclosure)

Key Points: India initiated an anti-dumping investigation on certain encapsulation materials and is planning to establish an import monitoring system for solar equipment.

Explanation:

According to Indian media reports, the Directorate General of Trade Remedies (DGTR) launched an anti-dumping investigation in September targeting solar encapsulation materials from China, South Korea, Vietnam, and Thailand, aiming to protect the domestic industry from low-priced imports. Simultaneously, the Indian government is planning to establish an import monitoring system to track and control equipment such as solar cells and modules. This will raise the compliance threshold for overseas producers entering the Indian market, potentially increasing import costs and driving more manufacturing segments to localize. The measure is still at the media disclosure stage but has already generated anticipated impacts on the industry chain.

Southeast Asia

1. Policy Name: Amendment to the Net Metering Rules in the Philippines (Energy Regulatory Commission ERC)

Release Date: September 2025

Key Points: Revised the net metering mechanism, streamlined grid connection procedures, and expanded participation of distributed PV users.

Explanation:

The Energy Regulatory Commission (ERC) of the Philippines issued new net metering-related rules in September, further relaxing the conditions for PV users to connect to the power grid and optimizing the settlement mechanism. This adjustment aims to increase the popularity of distributed PV and encourage residential and commercial users to install rooftop PV systems. By simplifying the grid connection process, users can connect to the grid more quickly and enjoy electricity price credits, helping to alleviate the tight power supply in the Philippines and promote energy structure transformation. The policy is also regarded as an important measure for the country to achieve its renewable energy development goals.

2. Policy Name: Discussion on Vietnam's Energy Planning, Direct Power Purchase (DPP), and ESS Incentive Policies

Release Date: September 2025 (National-Level Discussion / Interpretation)

Key Points: The Vietnamese government promotes the DPP policy framework and ESS incentives to optimize large-scale PV integration.

Explanation:

In September, the Vietnamese government and energy authorities held discussions centered on energy planning, focusing on establishing a Direct Power Purchase (DPP) mechanism and ESS incentives. DPP will allow large industrial users to purchase electricity directly from renewable energy power plants, reducing reliance on traditional grid dispatch while increasing the market-based integration share of PV power generation. The government also proposed encouraging the pairing of ESS with large-scale PV projects to improve the stability of the power system. These policy directions indicate that Vietnam is actively seeking to balance new energy integration with grid security, though specific implementation details are still under review.