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Energy blog

Urgent action needed to stop 87% cut to Feed-In Tariff

Published by Sam Page on 24 September 2015

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On 27th August DECC announced a proposed cut of the Solar Feed In Tariff by 87% by January 2016 for all new projects.

This sudden and very steep cut in the tariff will not only cause significant disruption in the supply side of the industry but may mean that Kennet Community Energy (KCEL) will not be able to economically deploy any new solar PV projects.  This will be a massive blow.  So far KCEL has funded three solar installations using investments from local people:

  • Wadworth Brewery Devizes
  • Devizes School
  • Trowbridge Civic Centre

Find out more here...

These installations have already saved hundreds of tonnes of carbon emissions and several more are at the planning stage.

You can add your name to the petition that has been raised for the Government to review this decision by going to:

https://petition.parliament.uk/petitions/106791

38 Degrees has also started a Keep Fits Campaign - After a series of devastating policy changes, this could be the final nail in the coffin for clean energy in the UK. Just as the global race is really heating up! With thousands of jobs, community projects, and the UK’s carbon targets at risk - we need to step in. Can you add your voice and stand up for the clean energy in the UK? Just click this link to fill out the survey now:

https://speakout.38degrees.org.uk/surveys/keep-fits

Here is the response that I recently recieved from Claire Perry MP:

Thank you very much for your email regarding your concerns about the recently proposed changes to Feed-in Tariffs (FITs).

Please let me assure you that this Government remains committed to supporting the investment and innovation needed to achieve a cost-effective transition to a low-carbon economy, while ensuring security of energy supply and avoiding unnecessary burdens on businesses and households.

As such, we are aiming to meet 15 per cent of the UK's energy demands from renewable resources by 2020, and FITs have led to levels of renewable energy deployment that have surpassed all expectations. I know, for example, that by the end of the year deployment under the FIT scheme will have already exceeded the Government's 2012 projections for wind, hydro and anaerobic digestion in 2020-21, and is expected to be within the predicted range for solar before then too.

It is, of course, good news for the environment that renewable energy has been rolled out sooner than anticipated, but the extra costs associated with providing FITs are ultimately paid by customers through their energy bills. I do think it is therefore only right that the Government ensures that these costs are kept affordable, and that is why it is currently consulting on proposals designed to relieve the pressure on energy customers from rising costs, improve value for their money and keep the costs of renewable energy policies sustainable.

As you will know, the consultation raises questions about a set of proposed new tariff rates, based on the latest information about how much these schemes really cost. It also suggests capping spending on new FITs at £75-100 million by 2018-19, in order to avoid the need to stop providing tariffs for new generation projects entirely. I have established that existing facilities would not be affected by these changes.