Yesterday, the UK Government’s Department of Energy and Climate Change (DECC) announced changes to the ‘strike price’ for large onshore wind and Solar PV.
Small-scale solar and the Feed-in Tariff remains unaffected
The changes do not apply to those smaller projects that currently attract the Feed-in Tariff revenues. Domestic and smaller commercial-scale incentives remain unchanged following the announcement.
Good news for domestic and commercial Solar PV
This is, in fact, great news for the renewables industry and for domestic Solar PV in particular. It demonstrates the Government’s commitment to supporting smaller commercial and residential Solar electricity production.
The degression model and why install before 1 April 2014
As more people install Solar PV, the manufacturer’s panel prices come down. The Feed-in Tariff (FiT) rates are on a ‘model of regression’ which means they are periodically reviewed and reduced in line with the manufacturer’s costs.
Therefore, the ideal time to install Solar is at the point just before next regression. The next one is scheduled for 1 April 2014, so installing now, while the Feed-in Tariff rate is at its highest, makes good financial sense.
Book a free Solar PV survey
The Government has demonstrated its commitment to small scale Solar PV, leaving the Feed-in Tariff well alone in the recent subsidy changes. Book a free survey with your regional EnergMyWay office to assess your home’s suitability for Solar, the costs and financial rewards available to you.