Overview
- The European Commission, which confirmed the step Monday, will bar EU funds from projects using solar inverters it deems high risk.
- Officials named China, Russia, North Korea and Iran as high-risk sources, a move that in practice targets Chinese brands that dominate Europe’s market.
- Projects already using such equipment can seek case-by-case exemptions, with lenders due to flag affected deals by May 15 and decisions expected by November 1.
- Brussels cited risks such as changing electricity settings, secret access to control data, and remote shutdowns that could trigger wide power outages.
- Inverters turn solar panels’ direct current into grid-ready alternating current and sit deep in control systems, yet the EU says non-Chinese suppliers can fill demand with switching costs under 2%, as Beijing warns of retaliation and the plan feeds into broader cybersecurity rules.