Feed-in Tariff to End in April 2019 for New RegistrationsFebruary 5, 2018
Businesses need to be reminded that the current feed-in tariff (FiT) subsidy is set to end (for new solar registrations) in April 2019. This announcement was made by the Government in their feed-in tariff review response dated 17th December 2015 (see page 18).
Those currently considering solar PV should therefore look at fast-tracking their decision to install and take advantage of the remaining FiT subsidy before the deadline; particularly as larger commercial PV projects can take several months to design, procure and obtain the necessary permissions.
Although the feed-in tariff ends in April 2019, businesses that already have FiT registrations will still continue to receive subsidy for the remainder of their agreement term, as will new registrations before the above date.
The feed-in tariff has supported the growth of solar PV in the UK since it was first introduced by the Government in 2010. To date, this subsidy – along with ROCs – has contributed to over 12 GW of solar deployment and has given the UK a chance to meet its carbon reduction targets and agreements.
In the recent Autumn budget, the Government announced in their Control for Low Carbon Levies publication that, following the closure of the FiT, there will be no new subsidies for renewables until 2025. Businesses shouldn’t be distracted by this as the energy savings from a solar installation are strong enough on their own to provide very healthy financial returns. The message here is to take advantage of the free subsidy to top up your returns while it remains on offer.
In the meantime, the feed-in tariff rates will follow the continued regression as outlined by the Government in their feed-in tariff review response.
Categorised in: Industry News