Taiwan
A subsidy of NT$500 per kW module. Waste managed by the nonprofit PV Cycle, establishing
expert networks and recycling stations.
EU
Renowned for strict recycling standards and environmental protection policies. Encourages
dedicated recycling stations and provides subsidies to recyclers.
Current Challenges in Solar Panel Recycling
As the world promotes solar power, the issue of decommissioned and recycled solar panels is
becoming increasingly prominent. In terms of regulations and policies, the European Union has
introduced the Waste Electrical and Electronic Equipment (WEEE) Directive, which requires
manufacturers to take responsibility for recycling. However, differences remain in enforcement
and oversight among member states, and small- to medium-sized enterprises often find it
difficult to bear the cost. In the United States, there is no unified federal regulation, and
most states have not legislated mandatory recycling, with only a few such as Washington State
having comprehensive systems. Japan has waste management regulations, but recycling is mostly
voluntary, and local governments generally lack dedicated facilities.
From an economic feasibility perspective, high recycling costs are a common challenge. In China,
despite being the world’s largest solar panel producer and installer, the recycling system is
still underdeveloped, and the low value of recovered materials dampens business incentives. The
situation is similar in the United States, where in remote areas, the cost of transportation and
dismantling often exceeds the value of recovered materials, making recycling economically
unviable. In Taiwan, although a recycling framework has been planned, dispersed waste volumes
prevent economies of scale, putting pressure on recycling operators.
Technically, the multi-layer structure and composite materials of solar panels increase
dismantling and separation difficulty. The EU has relatively advanced recycling technologies,
but high-purity silicon and rare metal recovery still require high costs, and capacity for
handling toxic metal thin-film panels is insufficient. In Japan, recycling focuses on aluminum
frames and glass, with low recovery rates for rare metals. In China, standardization in
hazardous material handling remains inadequate, creating potential environmental risks.
In terms of industry chain and responsibility allocation, the United States has not fully
implemented an Extended Producer Responsibility (EPR) system, leaving the burden mainly on
installers or end users. Taiwan has listed solar panels as “designated recyclable materials,”
but in practice, the recycling network remains incomplete, with unclear responsibility
allocation and funding sources.
Looking ahead, the number of discarded solar panels will surge after 2030. The EU may face the
first large-scale wave of decommissioning, putting pressure on recycling capacity. Japan is
expected to accumulate significant waste by 2040, with a risk of illegal dumping if economic
incentives are absent. In China, an explosive wave of waste is expected after 2035, and without
synchronized progress in policy and technology, the environmental burden could be severe.
