Solar news UK: Six good reasons to order solar PV this week.
Yes, this is a naked pitch for solar PV panel business. What, if anything you wear while reading this is up to you…
1/ Guaranteed 21p minimum feed in tariff. In response to industry, the government have just clarified that there is a PV subsidy floor tariff in order to boost confidence. Now have the 21p minimum confirmed until 31 March. Consumers now have 1 weeks of certainty about a minimum 21p solar PV Feed in Tariff. (UK government have now said: “The tariff rate for PV installations less than or equal to 4kW will not fall below 21p for installations with an eligibility date between 12th December 2011 and 31st March 2012.”)
2/ In practice, there is only about 10 weeks of “21p minimum” opportunity left. The installation deadline is 31 March, but to allow for time to get kit and installers and scaffolding arranged and to allow for the possibility of bad weather causing disruption, there are several “pipeline weeks” less.
3/ These low prices may not even last until 31 March. Right now, solar prices are the lowest that they have ever been, because PV kit suppliers are discounting heavily in order to shift stock. I am 100% certain that will not be able maintain our current low pricing if another gold rush starts, because the price of kits will soar, just as they did last November and December. So it makes sense to order solar PV in the next few days.
4/ After 1 April the effective cost of solar PV installations may actually be forced to rise, typically by several thousand pounds, according to the Government’s disputed cuts consultation. You may then have to invest thousands into your home as a precondition of getting a higher subsidy than 9p after that date. The proposed Home Energy Performance Certificate “level C requirement” may then come into force. Why expose yourself to that risk when you don’t have to?
5/ Funds are running out. They may even have run out already. But to officially make cuts they need to operate a consultation. The government has even been thinking about a very basic 9p subsidy if they can’t afford more. Today’s 21p looks great compared to that.
6/ Seize the moment. The point is that under the feed in tariff, whatever tariff you start at, AND RIGHT NOW 21P IS GUARANTEED, the starting tariff is the tariff that you then continue with, index linked with inflation, tax free for 25 years. So it makes sense to get on board right now, while 21p is confirmed, while prices are low and well before 31 March and well before and possible gold rush, at which point we know that the speculators will make everyone’s costs rocket.
I hope this has been useful. For more updates please take a look at this link… It takes the wrappers off the UK government’s court case on solar PV and looks, light heartedly, at the consequences. Solar has never been better value (well… er this year anyway…)
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