An additional 1 GW of solar capacity should be added to the Japanese grid by 2020 , as the last schemes under the country 's feed - in - tariff ( FIT ) programme are deployed , according to Energy Solutions and Research , part of the Fitch Group . According to its outlook for Japan’s solar energy sector, this additional power comprises the project backlog under the country’s FIT program and should come online by December 2020 – the final deadline for projects, which secured a FIT contract. It expects a decline in the sector between 2021 and 2027 , due to the switch from subsidies to auctions , grid - constraints and a shortage of land in Japan . In the country 's most recent solar auction in September , 197 MW was allocated , while authorities expressed their disappointment that the lowest bid was still JPY0.97 ( $ 0.009)/kWh higher than its ceiling price of JPY15.5 / kWh .
An additional 1 GW of solar capacity should be added to the Japanese grid by 2020 , as the last schemes under the country 's feed - in - tariff ( FIT ) programme are deployed , according to Energy Solutions and Research , part of the Fitch Group . It expects a decline in the sector between 2021 and 2027 , due to the switch from subsidies to auctions , grid - constraints and a shortage of land in Japan . In the country 's most recent solar auction in September , 197 MW was allocated , while authorities expressed their disappointment that the lowest bid was still JPY0.97 ( $ 0.009)/kWh higher than its ceiling price of JPY15.5 / kWh .