Final day for former FITs levels
Controversial changes to subsidy levels for renewable energy generators come into force today (December 12).
The changes, announced in November by the Government, are currently the subject of legal action by solar businesses and campaign groups and affect the Feed-In Tariff (FIT) scheme.
The challenge to the changes, which cut Government levels of support for people installing renewables such as solar PV, is due to be heard in the High Court on Thursday (December 15).
The action relates to today’s cut off coming before a DECC organised consultation into the cuts has even finished.
However, some industry observers are claiming the cuts will be a boost for business wanted to install solar technology.
Renewable energy installers Freesource Energy’s managing director, Alex Lockton, said: “One of the positive outcomes of the cut is that many of the cowboys who jumped on the solar band wagon when the feed-in-tariff was introduced will go out of business.
“This will help boost consumer confidence as customers can be reassured that those companies that remain will be professional and trusted outfits.”
Mr Lockton also believes, despite the cuts to subsidies, it is still in peoples interest to install renewables.
He added: “The financial returns will still be healthy and will certainly be higher than the rates of interest from any bank account.
“Also, solar panels are now much cheaper than when the FIT was first introduced, so the pay-back period will actually be pretty much the same as what it was earlier this year.”