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Home  > Research Focus  >  Emerging Renewable Power Markets  >  Israel Renewables Policy Sets Stage for Solar

Israel Renewables Policy Sets Stage for Solar

August 30, 2011

On 18 July 2011, Israel's government legislated a 10% renewable energy goal for 2020, targeting an estimated 2.8 GW of renewable additions. As part of the announcement, the near-term capacity quotas call for 800 MW of wind, 460 MW of utility-scale solar systems, 210 MW of biogas and waste, and up to 110 MW of residential or rooftop solar by 2014. Israel established a 300 MW target in December 2009 for systems between 50 kW and 5 MW in size, with a set feed-in tariff (FIT) of NIS1.49/kWh (US$0.42/kWh). A proposed FIT for large-scale systems, set at NIS0.99/kWh (US$0.28/kWh), is expected to be approved in the coming weeks, while a FIT for the residential quota has not yet been set. Key trends in this On Point include:

  • Government creates limited near-term opportunity, with potential long-term upside.
  • Arava exploits early-mover status in Israel, banks on quota increase.
  • Suntech taps multiple PV market segments in Israel.

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