Run by the sun
Run by the sun

Feed in Tariff update: there’s still time to invest in a PV solar system and receive the current rate past 1st January

Friday 11 December 2015


The UK was one of 195 countries that committed to limiting the rise in global temperatures to less than 2C at the COP21 (Conference of Parties) summit in Paris last week.

The UK solar industry still awaits the response from the Department of Energy and Climate Change with regards to the reduction of the Feed in Tariff (FIT scheme) rate for small PV solar installations following a consultation with key stakeholders and businesses. The cut to the FiT could be as much as 87%, taking the current rate of 12.47 p/kWh for a PV solar system 4kW or under to 1.63 p/kWh.

On average, we’ve been installing 8 PV solar systems per month in order for our clients to receive the 12.47 p/kWh rate before the reduced rate comes into action on 1st January 2016. However, due to the ongoing consultation process, the UK government has to legally allow for 40 days before any changes can come into affect. For quite frankly complicated legal reasons, this could be 26 days following an announcement being made, but even if this were the case, the changes couldn’t come into affect until the end of January. 

Naturally, there was a massive backlash to these changes to the Feed In Tariff coming into place that many industry experts and businesses replied to the consultation. Legally the government has to respond to each and every reply. Public organisations have also raised concerns over the reduction of the Feed In Tariff to 1.63 p/kWh and have suggested a less excessive rate of around 5 p/kWh. The Solar Trade Association has suggested a reduction to 8 p/kWh which would put a mere 30p a year on everyone’s electricity bill.    

There’s a feeling that the government are waiting for the dust to settle following a leaked memo about the UK actually being behind on meeting its emissions targets and of course with the recent COP21 energy conference in Paris.

Book a solar site survey for early January 2016

There’s still time for solar panels to be installed in January – if you’re quick!  To arrange a free solar site survey, call 0116 270 1926.