FIT: act now to beat December deadlineNovember 1, 2011
As the Department of Energy and Climate Change finally releases its Comprehensive Feed-in Tariff (FIT) Review, we urge homeowners to take advantage of the higher rates by installing before 12 December.
After weeks of speculation, the results of the government’s feed-in tariff review are in.
The document proposes to cut the feed-in tariff from 43.3p to 21p per kWh, which isn’t a huge surprise. The rate is completely in line with our expectations, and the document leaked by the Energy Saving Trust on 28 October had already given a strong indication of what was to come.
What is a little harder to swallow is the proposed timescale. The DECC has decided to apply the lower rate to all systems installed after 12 December this year, meaning those considering solar power now have just a few weeks to install systems and bag the higher return on investment.
The pressure’s on solar providers to deliver before the deadline, and we’re bracing ourselves for a record number of installs. We would still remind people, though, that solar power will still be a sound investment after the cut, and that homeowners who install after the December date will still be able to rely on returns of around 6-9%.
Meeting the demand
EvoEnergy CEO Dr Kevin Hard is undaunted by the developments. ‘We’ll be working across all areas of the business to make sure we can cope with the high demand over the coming weeks.
‘The new rate is a challenge, but we’ve faced challenges since day one – that’s the nature of the industry we work in. We’re a smart business, with some excellent people. Our ability to respond to changes in government policy – and give our customers the best possible service – is one of the things that sets us apart from the competition.’
As well as reducing feed-in tariffs, the DECC proposes that homes must reach a certain energy efficiency standard to qualify – likely to be an Energy Performance Certificate at level C or above.
There may be lot of negative coverage surrounding the FIT cut, but even with the lower tariff solar power still offers a reliable return for both homes and businesses. The technology is evolving all the time, and so is EvoEnergy.