New solar installations more than halved in Germany last year, prompting the federal solar industry association BSW to demand a slow-down of recent drastic cuts to PV support.
BSW figures show PV capacity additions plunged 55% in 2013 to 3.3GW, down from 7.6GW in 2012 when Germany held the world's top spot in new installations. It has since been overshadowed by growth in markets such as the US and China.
While prices for solar installations dropped by roughly a quarter during the past two years, solar support was halved in the same period as a reform to Germany’s support mechanism led to a much faster degression of feed-in tariff rates.
The German solar market could collapse further, BSW managing director Carsten Körnig warns, calling for a closer link between the decrease of PV support and technological progress.
"It can't be that we choke off the build-up of solar energy at a time when PV has become so much cheaper," he cautions.