A Preliminary Study on the Development Issues and Governance Strategies of Chinas Photovoltaic Industry in the Post Subsidy Period from the Perspective of Game Theory

The photovoltaic industry is a typical representative of the new energy industry and an important component of China' s strategic emerging industries, as well as an important guarantee for promoting green and low-carbon development in our country. Although China' s photovoltaic industry started relatively late, over the past decade, driven by the national photovoltaic subsidy policy, the industry has witnessed rapid growth and China has now emerged as the world' s largest country in terms of photovoltaic installed capacity. Nevertheless, during the industrial development process, a series of issues have arisen, such as blind project expansion, excessive reliance on financial subsidies, excessive financial pressure and a lack of technological innovation. To promote the healthy and sustainable development of the photovoltaic industry and alleviate the pressure on financial funds, the government has gradually facilitated the reduction of subsidies and completely eliminated subsidies for photovoltaic power generation projects in 2022. With the proposition and in-depth implementation of China' s “carbon peak and carbon neutrality” strategic goals, the photovoltaic industry, as a representative of low-carbon and clean energy, has been entrusted with a new mission. In light of this, based on the perspective of game theory, by analyzing the evolution of China' s photovoltaic industry subsidy policy and the corresponding changes in the photovoltaic industry' s development, combined with interviews with practitioners, this paper identifies and diagnoses the constraints facing the development of China' s photovoltaic industry in the post-subsidy era and puts forward specific governance countermeasures and suggestions from the aspects of government governance, industrial coordination and the public.