Huhne announces feed in tariff review 2012
The energy and climate change secretary, Chris Huhne, has announced a “comprehensive review” of the feed in tariff system that was designed to encourage solar power, creating some uncertainty for the renewable energy sector.
Earlier this week, concerns that funds delivered through the feed-in tariff, intended to incentivise microgeneration projects, risk being diverted to industrial-scale solar farms. Cornwall council have recently approved four solar farms and three other counties are currently considering similar proposals.
“Large-scale solar installations weren’t anticipated under the feed-in tariffs scheme we inherited and I’m concerned this could mean that money meant for people who want to produce their own green electricity has the potential to be directed towards large-scale commercial solar projects,” said Mr Huhne on Monday.
The government set aside £400m towards the feed-in tariffs, but this will be cut by 10% by 2014-15. A statement for the DECC added that the “risk of an increasing number of large-scale solar farms” bring that forward.
Mr Huhne advised that all aspects of the feed-in tariffs scheme would be assessed, including the eligibility of technologies. He pledged to complete the review by the end of this year and leave tariffs unchanged until April 2012. Changes will apply only to new entrants: existing solar installations will be unaffected. Leonie Greene, from the Renewable Energy Association, said: “Pretty much everything beyond domestic level is really up in the air.”
She added: “The government places such an emphasis on community schemes, but this announcement could impact on those run by schools and hospitals . . .They have gone too far in terms of escalating the uncertainty and we’re probably worried now about anything above the domestic sector.”
So far. the government has registered more than 21,000 installations that are eligible for the feed-in tariffs. Most serve individual households and include solar panels.
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