Solar Blog
BSOLAR – Feed In Tariffs and the Government Spending Review
Following the government’s comprehensive spending review on the 20th October, it is apparent that the Feed In Tariffs at this moment will remain at their current rate. Please see below for the key points to emerge from today’s proceedings:
The Department of Energy and climate change have stated that:
Feed-In Tariffs will be refocused on the most cost-effective technologies saving £40 million in 2014-15. The changes will be implemented at the first scheduled review of tariffs unless higher than expected deployment requires an early review”.
View the DECC spending review
This means that for now the first planned Feed In Tariff review date still remains at the year 2013. However should there be a large scale national increase in Solar PV, this first FIT review date could very well move forward to 2012 but less likely to 2011.
An Additional statement from the Department of Energy and Climate Change also states that:
“In order to ensure that existing investors may proceed with certainty, any changes to future levels of FIT’s will apply only to investments following the first review, Generation tariffs on installations existing at the time of the review will be maintained. DECC Feed-in Tariffs consultation
Despite the Feed In tariff rate remaining at 41.3p for the time being, there is absolutely no guarantee that the government will keep the first review date of 2013. There is every chance that if Solar PV undergoes a surge in popularity, then this review date will move significantly forward.
BSOLAR’s advice therefore is thus: If you are seriously considering Solar PV installation for your home, then you should be going ahead now, in order to guarantee the current Feed In Tariff Rate. If you decide to wait longer, and the government brings it’s FIT review forward, then you will lose out financially.
You can be assured from today’s announcement that FIT’s are here to stay, and their current rate remains applicable for now.
Please follow the links provided to the DECC for confirmation of all of the above.
