mad frankie
Junior Member
- Joined
- Nov 19, 2010
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Initial NAPIT statement on the proposed Feed In Tariff review
Following the Ministerial statement on the 31st October 2011 by Greg Barker MP, NAPIT has decided to clarify its position and provide initial advice to members as to its stance as outlined below and will be lobbying the government over these proposals to ensure both a robust industry going forward and a fair deal to members already in the sector.
The Consultation is now open and will run until the 23rd December 2011, with the results expected early in 2012.
Background
The solar voltaic industry has experienced a heavily incentivised scheme with the most generous FIT currently available in Europe, but one which has to stay within the envisaged spending envelope to ensure that the scheme does not become unaffordable and hence stop altogether.
The cost of PV panels has reduced by up to 2/3rds of the price of 2 years ago the government has quite rightly decided to bring an early review to ensure funds can be distributed to as many properties as possible.
Currents FITs for <4kWp are paying 43.3p/kWh generated giving a return on investment as high as 12.8%, but it was only ever intended to return around 5% to 8%, which has resulted in commercial financial investors getting heavily involved in the market and free installations be offered to the consumer.
Unfortunately with the models currently available, whilst they are providing work for installers and with a significant financial return for the investors, there are no financial benefit to building owners apart from the savings in
Following the Ministerial statement on the 31st October 2011 by Greg Barker MP, NAPIT has decided to clarify its position and provide initial advice to members as to its stance as outlined below and will be lobbying the government over these proposals to ensure both a robust industry going forward and a fair deal to members already in the sector.
The Consultation is now open and will run until the 23rd December 2011, with the results expected early in 2012.
Background
The solar voltaic industry has experienced a heavily incentivised scheme with the most generous FIT currently available in Europe, but one which has to stay within the envisaged spending envelope to ensure that the scheme does not become unaffordable and hence stop altogether.
The cost of PV panels has reduced by up to 2/3rds of the price of 2 years ago the government has quite rightly decided to bring an early review to ensure funds can be distributed to as many properties as possible.
Currents FITs for <4kWp are paying 43.3p/kWh generated giving a return on investment as high as 12.8%, but it was only ever intended to return around 5% to 8%, which has resulted in commercial financial investors getting heavily involved in the market and free installations be offered to the consumer.
Unfortunately with the models currently available, whilst they are providing work for installers and with a significant financial return for the investors, there are no financial benefit to building owners apart from the savings in
