Protest against Solar Feed in Tariff cuts!
Members of the solar sector are preparing to stage a protest calling on the prime minister to intervene to block anticipated plans to halve feed-in tariff (FIT) incentives for solar installations, which they fear will “kill off” the fast-expanding industry.
The new Cut Don’t Kill campaign, founded by a coalition of 20 major companies from across the solar industry, is planning to hold a march next month calling on David Cameron to halt controversial plans to slash subsidies for small-scale PV installations.
A document from the Energy Saving Trust that was inadvertantly published on its website this morning suggests new rates will effectively come into force from 8 December, reducing the level of subsidy for projects smaller than 4KWh from the current 43p/KWh to just 20p/Kwh.
The Department of Energy and Climate Change (DECC) said the document is inaccurate, but has refused to clarify the scale of the proposed cuts ahead of a parliamentary statement on Monday.
Industry representatives are now convinced deep cuts of around 50 per cent will be confirmed, and a spokesman for Cut Don’t Kill said two Westminster events were now planned to protest against a move that solar firms believe will result in job losses and bankruptcies.
The group revealed it is planning a mass lobby of parliament, accompanied by a protest or stunt, as well as the delivery of a petition to Downing Street demanding more modest cuts to incentives.
Speaking to BusinessGreen, Howard Johns, chairman of the Solar Trade Association which is backing the campaign, predicted a turnout of at least 5,000 people at the protest, representing one fifth of the 25,000 employed in the UK’s solar industry today.
“I think it’s down to how loud we shout at this point,” said Johns. “David Cameron needs to address this.”
Solar developers have warned that if the 20p/KWh rate is implemented it will undermine interest in solar PV from investors, resulting in an end to free solar financing schemes and social housing projects.
Dave Sowden of the Micropower Council predicted that only wealthy households would be able to afford installations, which under the new proposals would only deliver rates of return of around four per cent, well below the five to eight per cent returns the scheme was originally intended to deliver.
Writing to climate minister Greg Barker on Twitter, founder of Solarcentury Jeremy Leggett said that the apparent plan to impose changes to feed-in tariffs from as early as December 8 would spark a crisis for the industry.
“Halving is bad enough, December is a killer. Thousands will be out of work… not without much, much noise… sorry to sound like a cross between Corporal Jones and Robert de Niro, but this is an existential threat for most in our industry.”
The government has consistently maintained that deep cuts to the incentives are required to stop the feed-in tariff scheme exceeding its spending cap and applying further upward pressure on energy bills.
I strongly object to the change in the Feed in Tariff. Why so hasty – people have hardly had time to understand the benefits and get on board.
The decision to cut the tariffs on 12th December is grossly unfair. At least do the decent thing and stand by the original deadline of April 2012. Introduce controls on the fit for free schemes and councils claiming the payments. Give the homeowner trying to make savings a chance for once!
If a private company or individual behaved in such a way – guaranteeing the FIT rarte until 2012 and then reneging on the agreement they would be locked up. And so should the idiot who decided that this vastly unfair change should be rushed through. Why not ( as mentioned above ) make the changes next year when it was due to drop anyway? Much more open and everyone will have time to decide whether the amended figures make sense for them.
People are going to lose deposits on this as I for one would have pulled out of my contract had my installer not been able to set up the array ahead of the 12th Dec.
Ridiculous and totally unfair decision.
Getting Solar PV installed before the 12th December will allow you to claim the current tariff of 0.43p per kWh for the next 25years..