Everything News Jobs Opportunities Events Products/Services
Go to Home
Sign Up Sign in

The Low Carbon Economy Ltd

08 Apr 2011 10:04:09

REA: FIT changes will bring solar industry to a grinding halt

REA: FIT changes will bring solar industry to a grinding halt
Changes to the Feed-in Tariff scheme (FITs) announced earlier in the year will bring the solar industry to a "grinding halt", according to the Renewable Energy Association (REA).

The government announced in March the tariff levels for any solar installation with a generation capacity of over 50kW will be slashed, to much anger from the solar industry, in an attempt to deal with what it perceives to be the threat posed by "super-size" solar farms.

Ray Noble, solar photovoltaic specialist at the trade body, said the economic implications of the decision to scale back support could be huge.

"A lot of European companies came into the country based on the FITs, and now they have to close their doors and make people redundant, because it's now clear that the minister will only keep to his original budget, which is limited to domestic installation," he explained.

Mr Noble went on to predict that the government could in fact run out of money for the FIT scheme as early as the spring of next year, due to complications surrounding the figures used for budgeting for the FITs in the Comprehensive Spending Review.

This would mean the "industry will come to a grinding halt", he concluded. ADNFCR-1235-ID-800492428-ADNFCR

Discussion Thread  

09 Apr 2011

The major problem with the Feed in Tariffs is that they are not worthwhile as a means of saving carbon i.e. cost per tonne CO2 saved for insulation is about £6 to £12 but for solar PV is £700 p tco2. (IEA 1000 Euros per tonne.) Even after 10 years or more of solar PV being supported in Germany it has only made about 0.3% of their total consumption. However, despite this there are huge arguments for helping solar PV to grow along with wind and wave power. This is because whatever it costs now, it MUST one day cost a lot, lot less than oil, gas or coal. That's because oil is an interconnected energy form; its supply is vital to production of metal, oil, coal, medicine, food and global transport. As its price rises, global trade will slow down. The world is about to get a lot smaller. Unfortunately the western nations have not successfully built enough renewable energy plants that rely on local materials and labour to deal with these long term issues. This is what the government should focus on to the detriment if necessary of all other forms of energy, particularly nuclear which is simply ot profitable as its post-cooling costs are enormous.

10 Apr 2011

If profitable concerns take a long view - Solar panels and inverters made in UK have a 20 year warranty - is not a combination of depreciation allowances and energy cost inflation enough to make a good financial case, else how did Ford at Bridgend and CWS in Manchester decide to invest in SolarPV ?? With no FIT ??

I agree just "feeding the grid" with no other profit earning ability not a goer ?

Discussion Thread  


The Low Carbon Economy Ltd Community

Related Items From Everyone

  1. Heatkeeper Radiator Reflector Panels are inexpensive energy saving reflector panel that fit...

  2. The conferenceThe 1st SMEThermal in March 2010 exceeded all expectations. As the first of its...

  3. ACIS Renewable Energy Ltd offer complete renewable energy solutions to a wide...

  4. electric rEVolution Organisations

  5. Addressing the economic, policy and regulatory challenges to accelerate CCS commercialization

    11 Jun 2009

Go To Home

Resource Links

We're social: View Available Feeds Find out more! Leave us your feedback


We appreciate all feedback. Please leave as much or as little as you like about any aspect of this website.

If your message requires a response, please leave your email address.