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.

Solaredge_id1360

Surrette Battery_id
Latest Top Stories

U.S. To Dodge Solar Shortage This Year Despite Looming PV Tariffs

Existing PV manufacturing capacity should carry the U.S. solar sector through the year, even if anti-dumping duties are imposed on China and Taiwan this fall.


Advocate: Agency Does A 'Disservice' With U.S. Renewable Energy Projections

In a new report, the Sun Day Campaign says the U.S. can expect renewable energy to provide 16% of U.S. generating capacity by 2016, not 2040, as projected by the U.S. Energy Information Administration.


In A Diverse Solar Marketplace, Some Say Specialization Is The Way To Go

Commercial and residential installers are beginning to find some truth behind an old adage: jack-of-all-trades, master of none.


Solar And Gas Provided Nearly 75% Of All New U.S Capacity In 2013

A number of factors made 2013 a banner year for solar in the U.S. A shift away from coal, oil and nuclear has cleared the way for more PV and natural gas capacity.


Deeper Data Dives Yield More Certainty On Solar Jobs

The Solar Foundation is taking the guesswork out of solar job-related calculations, and some states are using such data as a backstop to policy decision-making.

S&C Electric_id1352
Solar Promo_id1332
WIP_id1320
Hilco_id1361