Turkey Sets New Rules For Imports Of Solar Cell Modules

The new regulations stipulate that the import tariffs of solar cell modules will now be calculated in kilograms instead of square meters in accordance with the old regulations. This may be beneficial to Turkish manufacturers, because high-efficiency battery modules are now generally heavier than they were a few years ago. According to previous regulations, as production increases and module size remains unchanged, imports of photovoltaic panels enjoy VAT reduction.

Image source: IBC Solar

The Turkish government this week announced new regulations on the import of solar panels. These regulations will take effect within 30 days from the date of publication.

The new regulations stipulate that the import tariffs of solar cell modules will now be calculated in kilograms instead of square meters in accordance with the old regulations.

According to the old regulations that took effect from May 2017 to this month, the actual total value of imported solar modules is calculated at USD 300 per square meter. However, according to the government's new calculation method, the actual price of the component will be $ 25 / kg. The first version of this rule also uses the exchange rate per kilogram of US dollars and is effective from December 2015 to April 2017.

Hakki Karacaoglan, CEO of KRC Consulting in Germany, said that the new regulations will benefit local solar panel manufacturers, so it may further reduce the market share of imported modules in the Turkish photovoltaic market.

Karacaoglan told "Photovoltaic" magazine that the value-added tax (VAT) of imported components in 2017 was higher than the current level. At that time, the market mainly imported 270-watt components, and the average output level since then increased to about 370 watts. This means that today's solar panels can provide better output in almost the same size.

Karacaoglan explained: “As a result, the value-added tax for components has dropped significantly from US $ 0.17 per watt to US $ 0.12. The lower VAT income may be the trigger for this change in regulations.”

He added that improvements in panel technology have also resulted in weight gain. He said: "The new high-performance battery assembly is now about 3 kg heavier than the previous standard model."

Karacaoglan pointed out that the new regulations are not yet clear about the so-called "Gózetim Belgesi-Regulatory Certificate", which allows Turkish companies to apply for tax reduction when importing components from countries other than China. Karacaoglan said: "A new law will be issued soon. Once we have the details of the supervision certificate, we can understand the reduction factor when we receive the certificate."