The government's plans to half the feed-in tariff rate has increased the number of people opting for UK solar power investment.
In changes announced at the end of October, the UK government is set to slash the amount of cash it pays for domestic solar PV panels from 43.3p per KWh to 21p per KWh. The date of these changes has been has brought forward from its original date of March 31st 2012 to December 12th 2011.
Announced yesterday, end buyers have until Dec 12 2011 to have their solar systems installed and accredited to be guaranteed current Feed-in Tariff rates. If investors act now and beat the cut-off date, investors will receive inflation proof, indexed linked 25 year income stream from the UK government.
According to the Energy Saving Trust under the current scheme, solar panels on a south-facing roof with at least 24 square metres of space, trigger electricity savings of up to 180 a year. The feed-in tariffs, which are guaranteed for 25 years, on average pay households about 1,200 a year.
Anyone who decides to invest in solar panels after 12 December will still be able to enter the government back scheme, but they will be affected by the lower rate of 21p/kWh. For those who want to take advantage of the current rate for the full 25 year duration, investors will have to enter the scheme before 12 Dec 2011.
According to a comprehensive study conducted by the UK government, the cuts to the current tariff rate are feasible because the cost of installation and PV panels have seen a significant decrease. Alongside other factors, the present returns are much larger than the government had originally anticipated.
Energy Minister, Greg Barker stated that the photovoltaic scheme was "burning through" the allocated budgets and stressed that decisive precautions needed to be put in place.
"The plummeting costs of solar means we've got no option but to act so that we stay within budget and not threaten the whole viability of the FITs scheme," Barker stated. "Although I fully realise that adjusting to the new lower tariffs will be a big challenge for many firms, it won't come as a surprise."
Across Europe in countries including Germany, France, Spain, Italy and Belgium similar tariff reductions have taken place.
With over 16,000 new photovoltaic schemes installed in September alone, the government's Feed-in Tariff has been a huge success. In total around 100,000 are installed in the UK which is equal to 400 MW of capacity - almost three times higher than the original forecast.
With the new plans in place, the changes will come into place and will affect those with an eligibility date on or after 12 Dec 2011.
Classified as an AAA investment, solar panel investment has become extremely popular for investors. This form of investment is backed and paid for by the UK government and is also monitored by the government's Energy Industry's Regulatory body, Ofgem.
The new time restrictions have caused an increase in demand for solar panel investment in a bid to beat the new legislation, which is set to reduce the amount investor receive from the UK government.
If you're interested in solar panel investment and would like more information about how to beat the December cut-off date, please contact Experience International by emailing enquiries@experience-international.co.uk.
In changes announced at the end of October, the UK government is set to slash the amount of cash it pays for domestic solar PV panels from 43.3p per KWh to 21p per KWh. The date of these changes has been has brought forward from its original date of March 31st 2012 to December 12th 2011.
Announced yesterday, end buyers have until Dec 12 2011 to have their solar systems installed and accredited to be guaranteed current Feed-in Tariff rates. If investors act now and beat the cut-off date, investors will receive inflation proof, indexed linked 25 year income stream from the UK government.
According to the Energy Saving Trust under the current scheme, solar panels on a south-facing roof with at least 24 square metres of space, trigger electricity savings of up to 180 a year. The feed-in tariffs, which are guaranteed for 25 years, on average pay households about 1,200 a year.
Anyone who decides to invest in solar panels after 12 December will still be able to enter the government back scheme, but they will be affected by the lower rate of 21p/kWh. For those who want to take advantage of the current rate for the full 25 year duration, investors will have to enter the scheme before 12 Dec 2011.
According to a comprehensive study conducted by the UK government, the cuts to the current tariff rate are feasible because the cost of installation and PV panels have seen a significant decrease. Alongside other factors, the present returns are much larger than the government had originally anticipated.
Energy Minister, Greg Barker stated that the photovoltaic scheme was "burning through" the allocated budgets and stressed that decisive precautions needed to be put in place.
"The plummeting costs of solar means we've got no option but to act so that we stay within budget and not threaten the whole viability of the FITs scheme," Barker stated. "Although I fully realise that adjusting to the new lower tariffs will be a big challenge for many firms, it won't come as a surprise."
Across Europe in countries including Germany, France, Spain, Italy and Belgium similar tariff reductions have taken place.
With over 16,000 new photovoltaic schemes installed in September alone, the government's Feed-in Tariff has been a huge success. In total around 100,000 are installed in the UK which is equal to 400 MW of capacity - almost three times higher than the original forecast.
With the new plans in place, the changes will come into place and will affect those with an eligibility date on or after 12 Dec 2011.
Classified as an AAA investment, solar panel investment has become extremely popular for investors. This form of investment is backed and paid for by the UK government and is also monitored by the government's Energy Industry's Regulatory body, Ofgem.
The new time restrictions have caused an increase in demand for solar panel investment in a bid to beat the new legislation, which is set to reduce the amount investor receive from the UK government.
If you're interested in solar panel investment and would like more information about how to beat the December cut-off date, please contact Experience International by emailing enquiries@experience-international.co.uk.
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