Huge Cuts Confirmed for Commercial Fit

[SRE]

Government confirms deep solar incentive cuts - 09 Jun 2011 - News from BusinessGreen

 

[Worcester]

We got a call from DECC today about it (missed their call yesterday), whilst they won't put out an official statement about it, they believe that there may be some circumstances in which a few projects may just be viable in the 50k - 150k range though are not anticipating any at all bigger than that.

The notice went before parliament yesterday, parliament has 40 days to consider it then it just needs signing off by the Secretary of State, the SoS is not allowed to amend anything in it , the only thing he can do to stop it coming in is to not sign it (unlikely)

SO if you've got any in the pipeline they must be commissioned before the 1st August, plus the usual Roo-Fit conditions on eligibility date.

 

[TedM]

Hardly surprising as the cut-off points for the new rates are 187 kWp and 307 kWp (with 50% assumed export).

By which I mean that a 186 kWp system will earn less than a 150 kWp and so would a 306 kWp system - so there is "dead space" in the range where it now makes absolutely no sense to install a system that size as you would earn more from a smaller, cheaper system.

And the new 8.5p rate will apply to all stand-alone systems - irrespective of size - so all stand-alones are dead.

 

[SolarCity]

Of course, one of the huge knock on effects of this is that domestic customers are getting increasingly nervous that the government will one day simply stop paying the FITs altogether.

We are asked this question more and more and of course we have no real answer for them.

 

[SRE]

... and the bigger guys who were looking at big systems could now be looking at going back to smaller installations making things more difficult for everyone.

 

[BruceB]

And the big guys are now going after the Government by seeking a judicial review
UK solar companies proceed with legal case against Department of Energy & Climate Change | PV-Tech