Economic Observer reporter Wang Yajie

The relevant business threshold for domestic photovoltaic buyers will be updated from January 1, 2027. At that time, the new national standard for energy efficiency of photovoltaic modules will be officially implemented, and modules entering the domestic market must meet the new energy efficiency requirements.

Less than three months before the implementation date, the Economic Observer has learned that some PV buyers have adjusted their procurement requirements in advance, and some module manufacturers have begun to replace the products participating in the bidding.

A leading component manufacturer has withdrawn the old PERC (passivated emitter and back contact, a photovoltaic cell technology) components from the bidding of domestic state-owned enterprises. The price manager of the manufacturer told the Economic Observer reporter that the team is rearranging the bidding plan. The products that meet the efficiency standards of the factory mainly focus on domestic large orders. He said that the new threshold first blocks substandard products from bidding - they cannot reach the efficiency line, and no matter how low the price is, it is impossible to talk about it.

The buyer's requirements have been included in the bidding announcement. On September 2nd, China Huadian Corporation (hereinafter referred to as "Huadian") released the second batch of bidding announcement for photovoltaic module framework (note: the actual bidder is Huadian Group Materials Co., Ltd.), with an estimated procurement scale of 5 gigawatts and a module conversion efficiency of not less than 23.2%.

The interval between procurement time and delivery time allows other buyers to make adjustments in advance. A photovoltaic power plant operation manager told Economic Observer reporters that the company's internal technical review has moved closer to the new standards, and for large-scale framework procurement with a delivery period spanning 2027, the buyer will explicitly require the delivered products to meet the new national standard's third level energy efficiency bottom line.

Buyers won't wait until next year

In the new national standard for photovoltaics, the mandatory national standard "Energy Efficiency Limits and Grades for Crystalline Silicon Photovoltaic Modules and Inverters" (standard number GB47834-2026, GB is the mandatory national standard code) directly involves modules. This standard was released by the State Administration for Market Regulation and the National Standardization Administration on June 27, 2026, and will be implemented from January 1, 2027. It sets regulations on the energy efficiency limit values and energy efficiency levels of products, which is different from the quality commitments made by enterprises themselves.

Simply put, this is a qualification line set by the government for photovoltaic modules. Starting from 2027, it will directly determine which products can still remain on the "table" and which production lines can continue to operate. The main ones blocked outside are old production lines that were put into operation a few years ago and have low efficiency. The buyer screens suppliers in advance based on this.

The changes have been transmitted to the factory.

A senior N-type component manufacturer told Economic Observer reporters that the company is iterating on some early production lines and will no longer invest large amounts of money in the renovation of production lines with limited space.

The projects waiting for equipment are also being adjusted and scheduled. Jiang Cong, the overseas project leader of a leading light storage company, found that the delivery time for some spot inquiries in recent times has been two to four weeks longer than in the second quarter. He started adding alternative suppliers and moved up the stocking time.

The components purchased by Huadian in this tender will be used for some of the group's new energy projects. The announcement does not limit the size of battery cells and components, but it sets clear requirements for conversion efficiency.

Conversion efficiency measures the ability of a component to convert solar energy into electrical energy. Under the same lighting conditions, components with higher efficiency can provide greater power generation on the same area. This indicator is affecting which products can participate in large-scale project bidding.

This procurement adopts a framework approach, first determining the supply arrangement, and then each project will purchase and list according to actual needs. The performance period is one year from the effective date of the framework agreement, or until the procurement volume reaches 110% of the estimated scale, whichever comes first. 5 gigawatts is an estimated quantity, not a confirmed order.

The delivery of such orders may exceed the implementation date of the new national standard.

The above-mentioned manufacturers told Economic Observer reporters that the threshold for the three-level energy efficiency conversion efficiency of TOPCon (Tunnel Oxide Passivation Contact, a photovoltaic cell technology) modules is 23.2%. Compliance also involves requirements such as double-sided rate and attenuation after environmental stress testing, and looking solely at an efficiency number is not enough.

The person in charge of operating the photovoltaic power station mentioned above has differentiated the procurement requirements according to the delivery time. It stated that there are still available stock N-type (semiconductor type with electrons as the majority carrier, referring to battery technology using this type of silicon material) components in the market, and the company will not mechanically include the same efficiency index in all bidding documents. However, in the evaluation process, the weight of component efficiency and long-term degradation performance has increased, and the likelihood of low efficiency products winning the bid has decreased accordingly.

His company still needs to leave a transition window for suppliers. Before the standard is officially implemented, the company will consider both bidding compliance and supply chain reality in setting technical requirements.

The relevant requirements have also been transmitted to enterprises that undertake both photovoltaic and energy storage projects.

Manager Li from an energy storage system integrator told the Economic Observer that in the photovoltaic integrated project, the selection of photovoltaic components must meet the bidding requirements. Even if the energy storage equipment itself meets the requirements but the component selection does not match, it may still affect the bidding qualification of the entire scheme.

Manager Li has started to re screen component suppliers. He needs to review the inspection report and confirm whether the factory can produce products that meet the requirements stably. Manufacturers who have completed the renovation and are able to match the project delivery time have been given priority.

The production lines built in recent years also need to be modified

The above-mentioned manufacturers told Economic Observer reporters that some early TOPCon production lines in the industry that will be put into operation from 2023 to 2024 will also be affected by the new threshold.

Within the company, different arrangements have been made for the new and old production lines. The person introduced that the average efficiency of component mass production on the new generation TOPCon production line can consistently reach over 24%. Due to the constraints of the original equipment configuration, some of the first generation production lines built earlier still have component efficiency fluctuating around 23.2% during mass production. Changes in production conditions may result in products falling below this level.

For this reason, the company is renovating its factory buildings and some production lines with better hardware infrastructure. Keep the original equipment as much as possible, optimize passivation, metallization and other process steps to reduce battery energy loss, improve the efficiency of batch products above the threshold, and leave room for excess.

For early production lines with limited iteration space, the person stated that they will not invest large amounts of renovation funds again. The company plans to stop supplying products from this production line to the domestic market after the implementation of the new standards, and arrange overseas supply according to local market requirements.

The price managers of the aforementioned head component manufacturers are facing similar trade-offs.

The mainstream production line newly put into operation by the company it belongs to can meet the requirements, but some early products are limited by silicon wafer and battery processes, making it difficult to continuously and stably meet the standards. Merely increasing the proportion of qualified products cannot solve all problems.

His company is advancing technological upgrades in batches. Production lines with intact factory infrastructure and short construction time will be given priority in the calculation scope. If the subsequent orders can support a high capacity utilization rate and the investment is expected to be recovered in three to four years, the company tends to upgrade on a quarterly basis to avoid a complete factory shutdown.

The person in charge stated that the renovation plan will try to reuse the factory building, laminating equipment, and conveying facilities as much as possible. But the equipment foundations of different production lines vary greatly, and the investment cannot be measured by a unified price. In addition to the equipment expenditure, it also includes the loss of production suspension, as well as the cost of debugging after transformation and increasing the proportion of qualified products.

PERC production lines with longer service life have fewer opportunities for additional investment. According to his calculations, even if some production lines spend money on renovation, the products can only meet the requirements exactly, and it takes longer to recycle the input. The company is gradually reducing domestic shipments of such products and will no longer carry out large-scale renovations.

The bidding plan changes accordingly. In the past, he would strive for orders by adjusting business conditions such as payment terms and payment milestones; Now we need to first select products that meet the bidding requirements, and then discuss pricing and payment arrangements.

The person in charge said, 'The owner will not give a significant premium for products that happen to cover 23.2% of the production line.' Currently, his company has not made a final decision on all 'edge' production lines. Part of it will remain unchanged temporarily, and the team will continue to observe changes in bidding requirements and orders before deciding whether to add modifications or further reduce domestic supply.

The above-mentioned manufacturers are also continuing to adjust their product arrangements. The Economic Observer learned that the company's domestic projects will prioritize promoting products with higher efficiency, while overseas markets will provide different combinations based on customer budgets and local conditions. Some equipment is still in production, and the supply market and production priorities have begun to change.

How long do we have to wait after signing the order

When Jiang Cong recently discussed major overseas projects with top domestic suppliers, they mainly promoted the supply version, which has basically shifted to high-efficiency components that meet the requirements of the new domestic national standards.

He told reporters from the Economic Observer that among the dozens of open bidding technical specifications for projects in Europe, Latin America, and other regions that he has seen, he has not found any cases where the component efficiency requirement of 23.2% in China's new national standard is directly written as a mandatory clause. But in actual procurement, suppliers are starting to prioritize production resources for new production lines that meet standards, and the production priority of some inefficient production lines is decreasing.

There are still differences in the choices of overseas customers. Some small and medium-sized developers in Latin America contacted by Jiang Cong are still inquiring about old low-power components. The large-scale power plant projects he is responsible for actively move towards efficient products due to long-term reliability considerations.

More urgent changes occur during temporary restocking.

Jiang Cong's company usually locks in the price and quantity of overseas long orders six to twelve months in advance, and the contract generally stipulates the corresponding production line version. He stated that the delivery certainty of these orders is relatively controllable, and the disturbance caused by short-term technological upgrades is limited.

Spot goods need to be re queued. He recently inquired and found that some suppliers still offer delivery times that are two to four weeks longer than the second quarter. Some factories prioritize domestic orders and long-term agreement orders, while overseas spot orders for temporary replenishment are placed at the back.

According to Jiang Cong's observation, factories often adopt a batch rotation upgrade method. During the renovation period, the effective output of a single production line will gradually decrease. Top enterprises with multiple production bases can adjust their supply, while some second - and third tier enterprises may experience production scheduling being squeezed.

Jiang Cong stated that there have been no large-scale delivery delays at present, and what he has observed is mainly the production pressure of some spot orders. The company is currently reserving two to three alternative suppliers and extending the spot stocking window.

Manager Li is also reducing his reliance on temporary procurement. He stated that the project has clear grid connection nodes, and equipment delays may trigger contractual penalties. Key projects are trying their best to lock in the source of goods through framework long orders. When it is necessary to purchase spot goods, the supplier's production line renovation progress should be confirmed in advance to avoid the centralized renovation stage.

Price negotiations are still ongoing. According to the order situation that Manager Li has been in contact with, there is still room for negotiation of business conditions for large frame long orders, and there are relatively few concessions that can be negotiated for small batch spot purchases. The company he works for is also adjusting its way of obtaining orders, reducing reliance on service refunds and other concession methods, and optimizing system solutions and operation and maintenance services more.

The buyer did not immediately accept all price demands from the supplier due to some production line adjustments. The person in charge of operating the photovoltaic power station mentioned above stated that there is still inventory of old specification components in the market, and there cannot be a direct correlation between the withdrawal of production lines and the reduction of spot supply. The withdrawal of production lines that have been idle for a long time has limited impact on the current supply volume.

At present, when Manager Li selects suppliers, he needs to check the product inspection report and factory renovation time together. Jiang Cong incorporated the spot demand originally reserved for one supplier into more alternative plans. The components must meet the new requirements and also meet the agreed delivery date of the project.

(Jiang Cong is a pseudonym at the request of the interviewee)

(Author Wang Yajie)