Last week, the Government finally voiced its decision on how to tackle the court’s imminent ruling on when the cuts in the solar feed-in tariff should be brought into action.

The solar industry is in somewhat of a limbo state, with uncertainty being rife about when the cuts will be introduced. There have been numerous calls from the solar industry for the government to clarify when exactly the cuts will be introduced. Climate Change Minister, Greg Barker commented:

“We continue to stand by our original proposal. However, I know that the uncertainty while we await the court’s decision is difficult for the industry.

To allow a degree of certainty to return to the industry, Barker stated that even if the government does fail in its appeal, draft license modifications will be presented to parliament, which would mean that the original proposed cuts will be introduced in April, for all installations completed after March 3rd, 2012.

If the government’s appeal does not succeed, the current tariff will be reinstated until April. After then, the license modifications will mean that installations with a capacity of less than 4kW will have incentives cut from 43p/kWh, whilst larger installations of a capacity between 50kW / 250kWh will have incentives cut to 12.9p/kWh.

However, if the government proves to be successful in its appeal, the original proposal will stand. Barker commented:

“If the court finds in favour of the government’s appeal, we intend to stand by all our consultation proposals, including an earlier reference date, subject to the Parliamentary procedure and consideration of consultation responses.”

Although it is still ultimately down to the Court of Appeal’s decision, the recent government announcement gives, albeit a minimal amount, of certainty to the whole situation.

The Department of Energy and Climate Change will find out today if their appeal against a recent High Court ruling on the recent cuts in the feed-in tariff scheme. After it was announced by a High Court judge that the Government’s actions were legally flawed. A complaint was lodged by the DECC to the Court of Appeal.

The High Court’s statement came after it was decided that the drastic reduction in the feed-in tariff did not coincide with the scheme’s statutory purpose – to encourage small-scale, low carbon electricity generation. However, the DECC disagree with this view, claiming that the feed-in tariff cuts will actually secure the longevity of the solar industry.

A DECC spokesman highlighted the fact that main aim of the scheme was to employ a long-term strategy to encourage households and businesses to switch to solar. The DECC argue that under the previous ‘generous’ funding, the sheer number of property owners opting to take advantage of the scheme was simply unsustainable:

“Without an urgent reduction in the current tariffs, which give a very generous return, the budget for the scheme would be severely depleted and there would be very little available for future solar PV generators, or for other technologies”.

Director of TGC Renewables, Ben Cosh, counters that notion and claims that although a gradual reduction in the feed-in tariff was necessary to sustain the scheme, making such drastic measures has destabilised the solar industry.

It is expected that the DECC will announce final proposals on how to move forward with feed-in tariffs after a decisions is reached by the Court of Appeal.

We’ll keep you posted in due course.

The European Commission recently confirmed that the UK could face legal action with regards to the recent tariff cuts. If it is found that the substantial feed-in tariff cuts hinder the UK’s legally binding commitment with the EU to meet given targets on renewable energy, action could be taken.

The Renewable Energy Directive of 2009 states that the UK must source at least 15% of its energy from renewable resources; be it solar, hydro, wind or biomass. Green MEP, Jean Lambert, submitted a Priority Question and the Commission’s response was much welcomed by much of the solar power industry.

Further to their response, it was also commented that any changes in the feed-in tariff should be carried out in such a manner as to not destabilise the renewable energy industry. Such drastic cuts and in such a short space of time will undoubtedly result in ‘destabilising’ the industry, and it seems right that the heavy-handed decision should be reviewed by the European Commission.

Lambert commented on the Commission’s response: “It is the responsibility of the Government to take every possible step to boost, encourage and support green technologies as we look to move towards a more sustainable society, rather than penalise those that have thrived. The Government must now demonstrate that plans to slash the subsidy will not derail the UK from delivering 15 per cent of energy from renewable sources by 2020, or the Commission will have no choice but to initiate infringement proceedings.”

We shall now have to wait and see if the UK can keep to the 15% renewable energy target in the forthcoming months.

You can’t have failed to notice the recent changes in the Government’s feed-in tariff regarding solar energy as it has been widely covered in the media. As we’ve already mentioned in one of our previous blogs, the recent changes are by no stretch of the imagination the be all and end all of solar energy.

It was recently reported in the press that Hartlepool Borough Council plan to go ahead with solar installations on a number of their buildings, regardless of the changes that will effectively cut the amount of money received by the government for having the solar panels installed.

The council had planned the solar project several months ago, at which time they had calculated that they could generate an income of £36,000 from generating their own power supply. However, under the solar panels will cost the council £6,000 for the first year and a further £44,000 over the 25-year lifespan of the scheme.

Despite the additional cost, council officials have opted to cut carbon emissions by an estimated 55 tonnes each year. This is a substantial amount and will undoubtedly have a positive impact on the environment. Hartlepool Council also recently announced that they plan to offer a solar panel installation surface.

Energy costs are rising steadily and have been for some time, meaning that solar energy is still an extremely attractive choice for residential and commercial property owners. Mayor Stuart Drummond commented: “It will cost us in the short-term but energy prices will only go one way.”

The UK’s largest cold food storage and distribution provider, the Yearsley Group, is saving around 340 tonnes of harmful carbon dioxide (CO₂) a year utilising energy generated from a solar photovoltaic (PV) installation designed by Waxman Energy.

The installation will enable the Yearsley Group to generate 10% of its annual electricity needs as well as minimising its impact on the environment.

Waxman Energy, one of the UK’s leading specialists in the design and distribution of photovoltaics, designed and supplied the whole system for the project.  The £2.2m installation saw a total of 5,000 sq metres of solar PV panels, capable of producing 310,000 kilowatt hours per annum, installed across two sites at Heywood, Greater Manchester and Holmewood, near Chesterfield.

The project utilised over eight and a half miles of DC cable and saw 3,160 Phono Solar PS240M modules fitted to the southern elevations of both buildings’ roofs using the Fix 2-7 Schletter mounting system.  Each building also had 20 SMA STP-17000 inverters installed to convert the energy.

Bury-based Solar Choice carried out the installation on behalf of the Yearsley Group.  During the design and consultation stage, the technical team from Waxman Energy assessed the roof type of the buildings, including directions and elevations and designed optimum systems to best capitalise on both buildings’ properties and harness as much power from the sun as possible.

Solar Choice Sales Director Ajay Hargreaves said: “Yearsley Group has made a major investment and cleverly made use of its existing assets to create green energy to help power its own operations and help it to meet the environmental policies of many of its customers.

“These are by far the largest roof mounted installations we have ever done and one of the biggest in the UK, producing an enormous amount of electricity in a clean and sustainable way and significantly reducing the company’s reliance on the National Grid.

“We received excellent service from Waxman, from initial consultation through to the delivery of the system.  We also benefitted from the company’s clear and pragmatic technical support which was of great assistance throughout the project.”

Waxman Energy Ltd is part of the Waxman Group of Companies based in Elland, West Yorkshire and has over 50 years’ experience in the distribution industry.  It is the main UK distributor for some of the world’s leading solar manufacturers, including Phono Solar, LG, Sanyo and SMA.

It was announced last month that the government is to cut payments to households and businesses who plan to generate their own solar energy. A government incentive is in place to encourage more homeowners and business owners to invest in solar energy, whereby the government will pay a certain amount per unit of energy produced by solar panels. The recent announcement revealed that these payments could be as much as halved for projects that commence after December 12^th this year.

The current tariff means that schemes that 4kW schemes would receive 43.3p/kWh. The new rate will see these payments slashed to 21p/kWh. The new tariff will also affect schemes between 4kW and 250kW. There has been a great deal of public outcry due to the planned changes, as it is feared that home and business owners will be deterred from investing in solar energy.

Although it has come as a shock to many, particularly because of the speed at which the changes will take place, we really should put the changes in some kind of perspective before coming to any kind of conclusion. Firstly, we should think about why the tariff was fist introduced. Essentially, the tariff was designed to stimulate the solar industry by rewarding those who invested in it. Solar installations can be costly and the tariff would turn the initial outlay into a long-term and profitable investment.

Since the introduction of the tariff back in April last year, there have been more than 100,000 solar installations in the UK and 22,000 jobs created within the industry. However, these cuts have been pre-empted by people within the industry as the cost of installing solar panels gradually falls. It is only natural that the Government would make cuts as it becomes more affordable for people to make the initial investment.

It should be remembered that although payments have been cut, the Government will still make payments to those who use solar energy. Payments have not been cut altogether, meaning that solar energy should still be seen as an investment rather than just a cost.

In addition, regardless of the cuts, solar is a renewable energy source. This is the primary reason that the Government wanted to encourage people to turn to solar. The fact that this a greener alternative to fossil fuels hasn’t changed one iota and as such, people will continue to turn to solar energy. In an increasingly ethically conscious world, the environmental benefits will often outweigh the financial benefits.

Waxman Energy is proud to announce its new 1 day training programme, starting in July.
Schedule:
9.30 Introduction and refreshments
10.00-12.00 Schletter mountings and fixings (hands on)
12.00-13.00 Schletter auto calculator (design software)
13.00-13:30 Lunch
13.30-14.30 SMA training (Sunny design for 3 phase systems)
14.30-15.00 G83 and G59 overview
15.00-15.30 Coffee
15.30-16.30 Waxman Energy product overview

Training programme dates:
5th, 12th, 19th, 26th of July, further dates will follow.

Please kindly note that there is an allocation of a maximum of 2 people per company. New customers are welcome!

Please contact us for details.

Massive savings to be made on all our Schuco mounting products. All stock must go. Contact us for details…