Reduction in solar PV FiTs

The UK Government has announced a reduction in solar PV FITs – to begin on December 12 - from 43.3p/kWh to 21p/kWh for schemes up to 4kW in size.

This reduction will have a huge effect on the domestic PV market in Wales.  But it does not stop there.  Commercial schemes are also having FIT rates cut. Schemes from 4kW to 10kW will see FITs reduced from 37.8p/kWh to 16.8p/kWh and schemes from 10kW to 50kW will see FiTs go down from 32.9p/kWh to 15.2p/kWh.

Gareth Jones MD of Carbon Zero one of our leading sustainable installers in Wales said the changes will “completely kill any appetite in the business and domestic markets to adopt renewable energy policies and be more socially aware”.

He was quick to add “It’s is a retrograde step and completely undermines the efforts and investment we have made over the previous few years to stimulate this industry and make inroads into our carbon deficit”.

So, the long awaited demand had only now started to appear 18 months after the FITs were introduced will be strangled at birth by Coalition Government.  The pity is that this is a non-devolved issue and we know that the Welsh Government would not be so minded to introduce such a disastrous change. Does this demonstrate yet another reason for more devolution?

Federation of Master Builders