Six departments issue documents to promote the comprehensive utilization of photovoltaic modules and drive the industry toward "full-chain decarbonization"

The Ministry of Industry and Information Technology, the Ministry of Ecology and Environment, the Ministry of Commerce, the State Administration for Market Regulation, the China Banking and Insurance Regulatory Commission, the National Energy Administration, and other six departments recently jointly issued the “Guiding Opinions on Promoting the Comprehensive Utilization of Photovoltaic Modules” (referred to as “Opinions”). The document proposes specific measures from aspects such as green design, orderly disposal, efficient disassembly, and full industry chain collaboration.

Several experts interviewed by Shanghai Securities Journal stated that the “Opinions” establish a closed-loop management system of “green production—standardized decommissioning—high-efficiency utilization,” promoting the photovoltaic industry from “scale expansion” to “full-chain low-carbonization,” and providing systematic institutional arrangements to address large-scale module decommissioning, resource security, and environmental control.

Clear phased goals

The “Opinions” aim to comprehensively improve the level of photovoltaic module recycling, setting phased targets: by 2027, further enhancement of green production standards, increased use of recycled materials, improved standards and testing methods for module disposal, and the development of technical standards for green design and comprehensive utilization of photovoltaic modules. It also aims to cultivate a number of leading enterprises in the recycling of old photovoltaic modules, with a cumulative utilization volume reaching 250,000 tons.

By 2030, the technological level and equipment for photovoltaic module recycling will be further improved, industry innovation capacity significantly enhanced, application scenarios and methods for recycled products continuously expanded, forming a tightly coordinated industry chain upstream and downstream, with reasonable capacity layout, capable of handling large-scale decommissioning waves.

Wang Peng, a researcher at the Beijing Academy of Social Sciences, told Shanghai Securities Journal: “Currently, the amount of decommissioned modules in China is rapidly increasing. This policy will mitigate potential environmental risks and create new economic growth points for the industry, pushing the photovoltaic sector toward higher-quality development after price cycles.”

Data from the China Photovoltaic Industry Association confirms the necessity of policy implementation: by 2025, China will begin to produce a large number of decommissioned photovoltaic modules; after 2030, the waste volume will peak at about 1.4 million tons; by 2040, the total waste will reach approximately 20 million tons.

It is understood that photovoltaic modules contain high-value recyclable materials such as silicon, silver, copper, and aluminum, as well as hazardous substances like lead and fluorine—if not properly handled, these substances can seep into soil and water sources, causing serious environmental pollution. Conversely, with standardized recycling and disposal, these discarded modules can become valuable “urban minerals.”

Forcing industry upgrade in photovoltaic recycling

The “Opinions” systematically deploys the recycling of photovoltaic modules. In the green design phase, it encourages manufacturers to adopt easily disassembled and separated adhesive materials, explore non-crosslinked structural adhesive films, and select environmentally friendly raw materials such as fluorine-free backplanes and lead-free solder strips, creating conditions for efficient disassembly and reuse after disposal. It also supports cooperation between manufacturers of photovoltaic glass, crystalline silicon materials, junction boxes, and recycling resource companies to increase the proportion of recycled materials.

Regarding the critical step of disposal evaluation, the “Opinions” clarifies the need to accelerate the development of technical standards for photovoltaic module disposal evaluation, encouraging the use of drone-based EL imaging, thermal imaging, AI online monitoring, and other methods to effectively identify the integrity and power decay of modules. It also guides manufacturers and photovoltaic power stations to standardize the sale of waste modules and supports the establishment of trading platforms for old photovoltaic modules.

The “Opinions” emphasizes technological breakthroughs, calling for accelerated research on high-efficiency disassembly techniques, development of intelligent adaptive disassembly systems for multiple sizes and types of modules, and the promotion of mobile, modular quick-disassembly equipment, adopting an “on-site disassembly” mode. In separation processes, it advocates studying the bonding mechanisms of adhesive films, enriching the theoretical system of low-cost separation technologies, and overcoming physical, chemical, and new separation methods for mono- and double-glass silicon modules.

In the component purification stage, the “Opinions” encourages extracting silver from the metal grid of silicon cells, exploring non-acidic or weakly acidic leaching processes, and researching reagent recycling in the silver extraction process. It also promotes extracting copper, lead, tin, and other metals from solder strips and busbars, and categorizing and utilizing silicon elements in modules. Focused on key application industries such as non-ferrous metals, building materials, and chemicals, it aims to expand the application scale of comprehensive utilization products.

Chen Li, Chief Economist and Director of the Research Institute at Chuan Cai Securities, told Shanghai Securities Journal that these measures will push the industry to upgrade the photovoltaic recycling sector. Green design, easy disassembly, and high recyclability will become industry standards, with material systems and manufacturing processes optimized and upgraded.

Promoting full industry chain collaboration in comprehensive utilization

Currently, the photovoltaic recycling industry still faces issues such as insufficient economic viability and chaotic “small workshops”—the profits from module recycling do not fully cover transportation, disassembly, and recycling costs, and illegal disassembly behaviors distort market order.

To address these issues, the “Opinions” call for promoting the coordinated development of the entire industry chain for photovoltaic module recycling. It encourages long-term stable cooperation between module manufacturers, power station operators, and recycling companies; focusing on regions like Northwest, East China, and North China, it promotes large-scale development of the recycling industry, encouraging nearby and local utilization to reduce transportation costs.

On policy support, the “Opinions” clarifies the role of national industry-finance cooperation platforms, guiding financial institutions to provide credit support for green technological upgrades and recycling projects in the photovoltaic industry. It also supports integrating advanced disassembly and precious metal recovery technologies into the “National Directory of Green Low-Carbon Processes, Technologies, and Equipment in the Industrial and Information Sectors,” and accelerates the formulation of industry standards for recycling, timely releasing lists of compliant enterprises, and cultivating leading industry companies.

Chen Li believes that the next decade will be critical for the development of the photovoltaic recycling industry. With improved policy systems, mature intelligent sorting technologies, and the implementation of responsibility mechanisms, the industry will evolve from “end-of-life management” to “full-cycle recycling” strategic upgrading.

Wang Peng believes that the “Opinions” will have a profound impact: in the short term, the goal of reaching 250,000 tons of comprehensive utilization by 2027 will directly boost orders for disassembly equipment and rare metal recovery, with leading recycling companies gaining more market share through standardized management; in the medium term, module manufacturers will accelerate green design upgrades, increasing recycled material use to gradually reduce raw material costs, and establishing standardized decommissioning mechanisms; in the long term, as the domestic recycling system matures, China’s photovoltaic industry will form a “technology leadership—scale advantage—circular economy” triple barrier, gaining influence in global green trade rules.

(Article source: Shanghai Securities Journal)