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Solar Power: Feed-in Tariffs

Energy and Climate Change written question – answered on 29th November 2011.

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Photo of Julian Lewis Julian Lewis Conservative, New Forest East

To ask the Secretary of State for Energy and Climate Change if he will make it his policy (a) not to change future rates for the feed-in tariff between its scheduled annual review dates and (b) to honour contracts entered into, with deposits paid, for photovoltaic systems up to the date of his 31 October announcement of a 50 per cent. reduction in the rate of the feed-in tariff.

Photo of Gregory Barker Gregory Barker The Minister of State, Department of Energy and Climate Change

We will publish a second consultation around the end of 2011 which will consider other aspects of the scheme including the tariffs for other FIT technologies and proposals for introducing new cost control mechanisms for FITs to ensure the scheme stays within the spending envelope. In doing so, we are looking to develop a cost control mechanism that will minimise the need to make rapid and unscheduled changes to the scheme.

Our consultation on tariffs for solar PV proposes that new tariffs will be implemented from 1 April 2012 but will apply to all new PV installations with an eligibility date on or after a proposed “reference date” of 12 December 2011.

The proposals are designed to strike a balance between the need for quick action and the desire to allow people an opportunity to finish work that is well under way. The proposed six-week period will allow many prospective generators who have made a financial commitment to installing PV (for example, paying a deposit) to do this. We will consider all representations made during the consultation, including those related to the proposed reference date.

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