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Due to system cost declines, Japan's government will reduce the country's feed-in tariff (FIT) by up to 12%. Bloomberg New Energy Finance (BNEF) expects that the FIT could drop to as low as 37 yen ($0.41)/kWh.

The current rate is 42 yen/kWh, and the new rate would go into effect April 1. Since last October, average residential PV system installation costs have fallen to approximately 280,000 yen/kW, BNEF says, citing government data.



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