9 November 2011
The Government has cut solar energy Feed-in-Tariff payments by more than half - raising widespread fears that green energy schemes will be dropped and jobs lost. Payments are proposed to be cut from 43.3p per kWh to 21p.The cuts will apply to solar panel installations made after December 12th.
Friends of the Earth has already written to the climate change minister Greg Barker, to say that unless the Government amends proposals by 4pm on the 11th November, it will start court proceedings because it was believed that the Government was committed to the current scheme into 2012 - and that was the basis on which solar power companies and customers were making orders on.
At the Braintree District Council meeting of November 7th, Green Party Councillor James Abbott asked about the plans for solar panels on council-owned buildings. As well as the main council offices at Causeway House, 37 other council owned buildings were being considered for solar photovoltaic panels (solar PV).
The Cabinet Member confirmed in her reply that the change to the Feed-In-Tariff could adversely affect the plans.
Cllr James Abbott said
"The Government's announcement was draconian, abrupt and completely unacceptable. A review was expected next year and it is right that schemes should be monitored. But this sudden cut of over 50% has caused huge uncertainty in the industry and amongst potential customers. There are many companies in mid-Essex which supply solar PV. So this change could directly threaten green energy schemes and jobs in Braintree District.
The whole point of the Feed-in-Tariff was to make it attractive to install Solar PV. Countries such as Germany have been running incentive schemes for many years, and it has been successful in massively boosting green energy installation. Although the UK started late, there was a big surge in installations when the Feed-in-Tariff came in, but now, at the much lower rate of return, many people may find it a marginal decision as to whether or not to go ahead.
Being able to generate local green energy has so many benefits - in terms of energy security, tackling fuel poverty and reducing carbon emissions. And in this difficult economic climate the current scheme was proving to be a real boost for jobs.
Not for the first time, this Government's boast of being "The Greenest Government Ever" has been undermined by its own actions."
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