The Implementation Effects and Practical Challenges of Shanghai's "Sunshine Loan" Policy for Supporting Photovoltaic Projects

DOI: https://doi.org/10.62517/jse.202511516

Author(s)

Boluan Mo

Affiliation(s)

Jianren International Academy, Hangzhou, China

Abstract

This paper focuses on the effectiveness and practical challenges of Shanghai's "Sunshine Loan" policy in supporting the development of distributed photovoltaic (PV) projects, aiming to reveal its role and profound significance in the coordinated development of green finance and renewable energy. Through literature review and case studies, this paper systematically discusses the definition, operating model, and differences between the "Sunshine Loan" and traditional financing models. It analyzes the policy's effectiveness in promoting the growth of PV capacity in Shanghai, shortening the investment payback period, and facilitating low-carbon urban development. The research finds that the "Sunshine Loan" effectively lowers the financing threshold for SMEs and improves project implementation efficiency through a closed-loop mechanism involving government guidance, financial guarantee, and third-party supervision. However, it still faces challenges in financial guarantee capacity, income stability, and support for technological innovation. Compared with other regional and international PV credit policies, the "Sunshine Loan" has advantages in targeted regional support, but its digital application and regional replicability need further optimization. This research provides theoretical basis and practical reference for improving the green finance system and formulating regional PV policies, offering a valuable model for the green transformation of mega-cities in China and the achievement of the national carbon neutrality goal.

Keywords

Sunshine Loan; Distributed Photovoltaics; Green Finance; Policy Effectiveness; Shanghai

References

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