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Representatives from Germany's lower house of parliament have reached a compromise with Chancellor Angela Merkel's coalition regarding the implementation of solar feed-in-tariff (FIT) reductions.

Reuters reports that the agreement follows weeks of tense negotiations, including a threat from the upper parliamentary house to form a two-thirds majority that would interfere with FIT reduction plans.

The new agreement calls for a FIT cut of between 20% and nearly 40% beginning next month, Horst Meierhofer, a leader on environmental policies for the Free Democrats and junior coalition partner, told Reuters.

Developers of projects that were registered with the local utility before Feb. 24 will have until June 30 to complete their installations without being subjected to the FIT reductions. Developers of large brownfield projects will have until Sept. 30.

The compromise must still clear parliamentary groups and both chambers.


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