TradingMarkets.com is reporting that a group of Chinese solar power companies has presented a plan to the Chinese Ministry of Science to try to drop the cost of producing solar power to 1 yuan/KWH within two years. Particpants in the plan include Solar Power Technologies, Trina Solar, Canadian Solar Inc, LDK Solar and Solarfun Power Holdings Co.

According to TradingMarkets.com,

An industry insider said it’s feasible to carry out the plan, which combines companies from the whole industry chain and includes specified instructions.

Participators of the program are expected to gain support from the central government.

According to Ni Yunda, Jiangsu Shunda Semiconductor Development Co., Ltd’s chairman, the change in price would occur over a two year period, dropping to 1.8 yuan/kwh in the near future and then again to 1 yuan/kwh in the next year. It should be interesting to see how this plan works, and if there is anything in it that could be used to make solar power more competitive in the US.