Solar FIT to be slashed

Philly112

Breaking news - the feed in tariff is likely to be cut from the current 43.3p per kW to 21p per kW, from 1st April 2012. FOR INSTALLATIONS WITH AN ELIGIBILITY DATE ON OR AFTER 8TH DECEMBER 2011.

This is from a document which was on the Energy Saving Trust website a few hours ago. It has now been pulled.
I have a copy and it is legitimate.

Solar subsidies to be cut by more than half | Environment | The Guardian

I have an installation planned for w/c 21st November and am considering pulling out. If you have not already got a date booked, you can probably forget about it. The government will be making a statement on Monday, but it is unlikely that the ESV document is wrong.

Cheers
Phil

GasDad

Confused as to why you would cancel if your installation is in November. Surely you will get the existing tariff for the agreed term.

Philly112

Yes - but imagine the scenario. I pay my deposit (due next week). Bit of cold weather might delay the installation...  Then a delay as one of the panels is broken. Then - and this is my main worry - I can't get my MCS certificate in time. Normally this comes a week or so after installation. The installation company are of course now saying that this is supplied on full payment (which I can do on the day they finish). But I am in their hands. And of course I need my application form approved by British Gas. Remember, the installers are now crazily busy. Mine have 18 in hand; they were working on 6 in hand. Some of those 18 are booked for after 8th Dec so will be interesting to see if the people cancel (probably) or will be able to get their deposit back.
We will probably still go ahead - I'll make a couple of calls on Monday. To the installer and British Gas re how long it takes to get my application approved. Need some sort of comforting re how and when I will get the MCS - I will tell them they can have my final cheque in one hand while receiving my certificate with the other.
But I'm a bit nervous!
I'm glad we did the research when we did though.

Phil

johntheexpat

I'm not particularly a fan of the FIT, why pay 43p per KWh for something that you can buy on the open market at a fraction of the price?  How does it reduce capacity in other forms of electricity generation when it adds nothing when the demand is highest?  (As in cold Decmber nights).  What does it add to the efforts to actually reduce consumption (eg by insulation etc) which gives benefits 24/7?

So, to see that your installers are crazily busy on the run up to long dark nights and days that aren't much better, really does nothing to convince me otherwise.

And of course it always makes me wonder if a well known moderator with solar panels has actually got round to installing his acres of free loft insulation, which would considerably reduce his consumption and benefit him more than a few free KWhs

Trollslayer

I can understand wanting to push renewables but this always seemed too high.

Philly112

Actually neither am I. But they are available in many countries. Ours is just too high at 43.3p. Most countries have something like a 9% reduction every year built into their tariffs, to allow for reduction in costs.
Of course we started too high, and now need to half the price.
So there will be a mad rush now, and the industry will then all but collapse here.
The EST fact sheet which was pulled says that the government initially wanted people to make 5-8% tax free return. In fact the returns were/are around 10%. And now they are targeting 4%.

Phil

BISHI

Ok, solar panels have come down considerably in price which means that now you get more panel for you pound than last year - which means you should see a profit on your investment earlier than prior investors. BUT -it seems that solar companies are using this to increase profits not benefit customers. So this halving of the FIT is  sensible IF the price of PV panels is halved and will thus put early and later investors in PV on an equal and fair footing and it stops PV companies from profiteering. Sounds sensible only if the price of PV panels is approaching half of what they were.

GaryMo

As soon as the job is completed then they register online and the FiT certificate is emailed immediately to an email address they provide. If you make payment the same day then there's not reason why you can't have the certificate the same day, time permitting, or the next day. You'll just need to trust your installer to make sure that happens.

IronGiant

I've no idea who you're thinking of .

PS it wasn't free it, cost me £29
PPS it's almost installed

johntheexpat

So its now upstairs in the spare bedroom rather than downsatirs in the utility room?