Does your home make the grade? From 1 April homes must have an energy performance certificate (EPC) at grade D or above to qualify for higher feed-in tariff rates.
On 9 February the Department of Energy and Climate Change (DECC) released its comprehensive review of feed-in tariffs (FITs). Phase 1 of the review confirmed the new energy-efficiency requirements to be introduced from 1 April. Phase 2 focussed on making the scheme sustainable for the long term, proposing future tariff reductions linked to the rate at which the industry grows.
So what do the proposals mean for the future of the solar industry? And more importantly, how will our customers be affected?
A ‘holistic approach’ to carbon reduction
The good news is that, for many homes, an energy performance certificate at grade D is a lot more achievable than grade C, which was originally put forward.
DECC states: ‘We have listened carefully to concerns raised in response to the consultation and have decided that the energy efficiency requirement should be based on an Energy Performance Certificate (EPC) rating of level D or above, not level C or any other option as previously mooted.’
The rating will apply to both homes and non-domestic buildings installing and registering a PV system from 1 April 2012. It follows several claims by DECC that it ‘wants to ensure that solar PV is considered as part of a holistic approach to carbon reductions in buildings that prioritises energy efficiency.’
In other words, homes will only be credited with the full FIT rate if PV is used in conjunction with energy efficiency measures, such as cavity wall or loft insulation. Homes that fail to qualify will receive the much lower tariff of 9p per kWh – unless they can get their install completed before the 1 April deadline.
DECC estimates that over half (51%) of UK homes and 65% of non-domestic buildings are already rated at EPC grade D or above. For older properties especially, reaching the required standard will mean a bigger investment up front. To give a rough idea, it’s estimated that a detached home with cavity walls currently rated as F would need investment of around £1,280 to bring it up to EPC rating D. A mid-terrace house currently with an EPC rating of E and loft insulation existing would need around £530 of improvements to qualify for the full tariff.
The response also confirmed that for individuals or organisations having 25 or more systems installed, FIT rates will be reduced by 20% – the thinking being that those installing high numbers of system will be likely to benefit from economies of scale.
A gradual reduction for FITs
In the last quarter of 2011, the number of new solar PV installs soared as thousands rushed to cash in on the 43.3p tariff before it was whipped away on 12 December. It seems DECC has learned from this episode and is looking to put a more sustainable – and less damaging – funding system in place.
Energy Minister Ed Davey says: ‘It is no secret that the uncontrolled surge of solar installations in the latter part of last year, driven by rapidly falling costs, placed a huge strain on the feed-in tariff budget, threatening the Government’s ability to roll out those small scale low carbon technologies in the numbers we wanted over the next few years.’
In the second phase of the 9 February review, DECC proposes linking FIT rates to cost reductions and industry growth. It suggests flexing the FIT budget depending on the level of uptake, so the more systems are installed over one set period, the deeper the tariff cut for the next.
The document spells out a proposed schedule for reducing the payments in three separate stages – a cut of at least 20% form 1 July, then further drops in October 2012 and April 2013.
So, if you’re planning to install over the next few months, what sort of tariff can you expect?

Install before 3 March and feed-in payments should be 43.3p per kWh, though this may fall to 21p for those who installed after 12 December 2011, depending on the outcome of governments long-running appeal. It’s unlikely you’ll be able to find an installer with capacity to fit any more systems before this date.

Install between 3 March and 30 June and you’ll receive 21p per kWh.

Install between 1 July and 31 September and payments may drop to 16.5p-13.6p per kWh.

Install between 1 October 2012 and 31 March 2013 and payments may drop to 15.7p-12.9p.

Install from 1 April 2013 and payments may drop to 14.1p-11.6p.

After 1 July it’s proposed that the depth of the cut depends on the number of installation throughout March and April. The document points to three possible scenarios for systems of 4kWp and under:

Scenario A: if installations during March and April exceed 200MW the rate from 1 July would be 13.6p/kWh

Scenario B: if installations during March and April are between 150 and 200MW the rate from 1 July would be 15.7p/kWh

Scenario C: if installations during March and April are less than 150MW the rate from 1 July would be 16.5p/kWh

Further changes ahead?
Hidden away at the back of DECC’s review were two more interesting proposals, both of which will be subject to consultation. The first asked whether the 25-year lifespan of the FIT should be reduced to 20 years, bringing it in line with comparable schemes for other renewable technologies.
The second argued the case for moving from an index-linked tariff to a nominal (flat-rate) tariff for those entering the scheme. Here, DECC suggests that the index-linked model may not be the best match considering that the technology demands a high investment upfront and from then on has very low maintenance costs. It also makes the point that, where installations are financed by loans, repayments will not increase over time, but will actually reduce in real terms with inflation.
It’s worth reiterating that these two points are still subject to consultation, as are the FIT rates post 1 July. DECC is running an open consultation until 3 April, so there is still time for plans to change.
Points to remember

 

Scottish Power yesterday announced it was reducing prices by an average 5%, making it the last of the big six suppliers to announce a fall in tariffs.
The 5% cut will be effective from 27 February and is said to be equal to an annual reduction of £36 for gas and electricity dual-fuel customers paying by monthly direct debit. No reduction will be applied for electricity-only customers.
Here’s how the other big suppliers compare:

While this is good news, it’s worth remembering that the cuts come in the wake of some far more severe tariff increases around the end of last summer. Speaking to moneysavingexpert.com, Adam Scorer, director of policy and public affairs at Consumer Focus, says: ‘Customers will still be paying a lot more for their energy than they were a year ago and there will still be almost seven million households in fuel poverty.’
Thanks to moneysavingexpert.com for the following statistics:

For many consumers, it all comes down to control. Your energy supplier can lower, increase or fix your tariff at will, making it hard to plan for the long term and forcing many to flit between suppliers in search of a better deal. In contrast, one of the plus points of generating your own electricity is the sense of security it brings. Plus the knowledge that, even when energy prices do go up, the amount you save goes up accordingly.

EvoEnergy’s latest commercial project saw us install 400 panels on the roof of the sports hall at Bilborough College, Nottingham. And the installation caused such a stir the local BBC news team came along too.

Nottingham residents who tuned into BBC East Midlands Today on Thursday 5 January might have noticed a cameo appearance from our very own Gary Sucharewycz, commercial sales manager. The BBC crew turned up to film Gary and his project team beginning work on a 100kWp solar PV system at Bilborough College, and took time to chat to students and staff about their reasons for backing solar power.

We’ve got a great deal of experience in the education sector and solar PV is often a great fit with schools and colleges. Not only do they have high energy needs during the daytime, but having the technology on site is also an effective way to teach future generations about energy consumption and the environment.

Gary says: ‘The college have been very forward thinking, looking at the other drivers besides the government subsidy. For example, the system offers live monitoring, which is a great tool for interacting with students.’ The system at Bilborough College should generate around 10% of the energy used by the sports hall, making considerable bill savings as well as reducing carbon emissions.

Forward planning

As the news report shows, it wasn’t all plain sailing for the college. Months of planning meant that by the time the board were ready to give the green light, the feed-in tariff had been cut. But having spent a considerable amount of time looking at the long-term benefits of solar energy, the college were in no doubt as to whether to go ahead.

Principal Chris Bradford says: ‘When the management team and governors first looked at this we were looking at the original feed-in tariff. But having done a lot of work on the long-term benefits we still feel it’s very clearly worth doing.’

It’s always exciting to see members of the EvoEnergy team popping up in the news. But we’re especially happy the BBC decided to cover a positive solar story now, at a time when there’s so much negative media coverage over the handling of the feed-in tariff review. The report reinforces the message that, reduced tariff or no reduced tariff, solar is still a smart investment. And that’s something for the whole industry to be glad about.

Did you know that choosing solar power for your home is still one of the best financial decisions you can make?
You’ve probably heard about the reductions to the feed in tariff, but investing in solar can give you a return on your investment of up to nine per cent a year.
The price of solar panels has fallen dramatically. At the same time, electricity prices and inflation have continued to rise. That means we’ve been able to lower our prices and put together a package which offers a tremendous rate of return for your investment.
By installing solar panels you’ll be saving money on your electricity bills, protecting yourself from future price rises and earning money for producing green electricity.
Evoenergy’s latest deal means you can have a 3.9kWp system with twenty solar panels fitted for £10,500. A typical south facing home could earn £755 a year from the feed-in tariff and make annual electricity savings of £218. That would give you a return on your investment of 9.27 per cent a year.
What’s more the cash you receive is tax free, will rise with inflation and is guaranteed for twenty five years. And every time electricity prices go up, so will the amount of money you’re saving on your bill.
You’ll also be playing your part in reducing greenhouse gases and cutting your carbon footprint. How many other investments can offer you that?

With the feed-in tariff deadline (12 December) fast approaching, the UK’s 100% renewable electricity supplier, Good Energy announce they will be working additional shifts over the weekend of 10/11 December helping home-owners register their last minute solar installations on time.
The Good Energy team will be available to accept FiT applications in person and to provide specialist FiT advice over the phone.  The team will be available from 10am to 4pm on the Saturday (10 Dec) and 12pm to 6pm on the Sunday (11 Dec).
EvoEnergy takes our customer registration very seriously and will be dedicated to making sure our customers are registered before the deadline.
To read more about the support Good Energy will be offering over the weekend, read the FiT for the weekend article.
To find out how you can join Good Energy’s growing community of over 7,000 independent generators, visit the Good Energy website.

Yesterday’s REI award win makes it a three-in-a-row victory for EvoEnergy. We’ve gone for three big industry awards this year, and we’ve won them all.
Our shiny new award from yesterday’s Renewable Energy Infrastructure (REI) ceremony is now fighting for space in the trophy cabinet. The accolades we’ve won this year include:
Renewable Energy Association: Installer of the Year
Renewables Awards: Solar Installer of the Year
Renewable Energy Infrastructure awards: Solar Energy Provider of the Year
We’re thrilled to get so much positive feedback from the industry, and put the awards down to a combination of technical know-how and unwavering customer service. But don’t take it from us – check out what our customers have to say.
All three awards recognise the skill and commitment of the whole company – management to our site teams – as well as our suppliers. Well done all.

 

News just in – we’re excited to announce that EvoEnergy have won the solar energy category at the Renewable Energy Infrastructure (REI) awards.

Reputation means everything in this industry, and we’re delighted that an independent panel of judges have named us their Solar Energy Provider of the Year. It’s a prestigious award and recognises the huge commitment we make to customer service.

We beat six other shortlisted companies, including Ploughcroft, who were highly commended.
Pictured from left to right are Nick Offer, Paul Norrish and Tom Craig.

Tomorrow lunchtime a team from EvoEnergy will be attending the Renewable Energy Infrastructure (REI) awards. And despite some stiff competition, we’re hoping to triumph as Solar Energy Provider of the Year.
Awards ceremonies are always a good opportunity to get some publicity, mingle with industry insiders and enjoy a team day out. The possibility of adding another accolade to our full-to-bursting trophy cabinet is always a bonus.
The Renewable Energy Infrastructure awards celebrate excellence across the renewables sector. A panel of independent industry experts will name winners in 14 categories, and we’re up against competitors including SolarTech, Ploughcroft and Solar South West in the solar energy category.
The awards are being held at the Royal Garden Hotel in Kensington, and will be co-hosted by Charles Hendry, Minister of State for the Department of Energy and Climate Change. Sitting at the EvoEnergy table will be Kevin Hard, Nick Offer, Paul Norrish, Justin Turnpenny and Tom Craig.
Marketing manager Tom says: ‘We’re looking forward to the ceremony and very excited to be shortlisted. The solar category is one of the most popular and the competition is strong, so the winner deserves all the more credit.’
A statement on the REI website reads: ‘The quality and quantity of entries was overwhelming […]. These finalists demonstrate exceptional work in this ever-evolving sector and show they are integral to the successful diversification of future energy sources.’

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.

As solar power continues to soar in popularity, our fitters have found themselves venturing further and further from the beaten track.

Located ten miles from the furthermost tip of Scotland, the wet and windy Orkney Islands may not seem like the ideal spot for solar panels. But having designed and installed systems for three homes on the Mainland, we’ve proved there’s a place for solar energy even in Britain’s not-so-sunny climes.
In the last month we’ve carried out three domestic installs in the town of Kirkwall, the administrative centre of the islands’ Mainland. The homes were each fitted with 16 x Hyundai HIS-250MG panels and will generate between 2,995 and 3,365kWh per year. That means the homeowners’ investments – all in the region of £13,000 – will provide good returns as well as reducing CO2 emissions.
Project manager Ben Colman explains that the main challenge was battling the extreme weather conditions to fix the panels securely. ‘Instead of the usual two rails per panel, we used four. This will make the panels twice as secure in high winds.’
It’s the furthest north our teams have ventured yet and goes to show that solar power is a viable energy alternative for the whole of the UK – come rain or shine.