in News Departments > Policy Watch
print the content item

comments: 0

The U.K.'s Department of Energy and Climate Change (DECC) has introduced a new solar feed-in-tariff (FIT) program that Energy and Climate Change Minister Greg Barker promises will ensure a more "predictable, certain and sustainable" PV industry. The new cuts will go into effect Aug. 1.

The announcement follows an extended legal battle over the government's actions to reduce solar FITs. According to several U.K.-based solar companies, the months of controversy - which centered on the DECC's failure to undergo required consultation procedures before deciding to slash solar FIT levels - have harmed the PV installation market.

This week, the DECC announced that the FIT for a small domestic solar installation will be 16p/kWh, down from 21p, and will be set to decrease on a three-month basis thereafter, with pauses if the market slows down. All tariffs will continue to be index-linked in line with the Retail Price Index (RPI), and the export tariff will be increased from 3.2p to 4.5p.

According to the DECC, the new tariffs should give a return on investment of over 6% for most typical, well-sited installations, and up to 8% for larger projects.

"We broadly welcome many of the government's decisions for how solar PV will be treated in the FIT scheme and wholeheartedly welcome the inclusion of solar in DECC's updated Renewables Roadmap," says Alan Aldridge, chairman of the Solar Trade Association.

"Despite the currently slow market, the industry can have some confidence that the new tariffs are tight but workable," Aldridge adds.

Further details on the new FIT levels are available here.

SolarEnergyTradeShow_id1384

Surrette_id1409
Latest Top Stories

Hawaiian Electric's Solar Plans Put New Focus On DG Interconnection

Hawaiian Electric Co.'s proposed energy plan includes ambitious goals for solar integration that address grid integrity issues. Installers, however, find little to cheer in the short run.


N.Y. Property Tax Exemption For Renewables Bill Ready For Signature

In a move that is expected to boost renewable energy in the state, the New York legislature has sent Gov. Andrew Cuomo a bill that would extend property tax exemptions for certain solar, wind and biomass projects to Jan. 1, 2025.


Are Solar Shingles Coming To A Rooftop Near You?

Despite the initial hype, the new technology has been slow to make inroads against conventional rooftop solar.


Solar Cell Production Line Upgrades Driving Higher PV Performance

Manufacturers of multicrystalline solar cells are seeking to improve performance by implementing new technologies on existing lines.


Own Or Lease? Think Of Rooftop Solar As A Car That Makes Money

While upfront cost is often the first issue on the prospective solar customer's mind, it should not be the only one.

S&C Electric_id1352
Lufft_id1410
SilcoTek
PVcobra_id1394
WIP_id1320