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From our base in Croydon, Solar4us service clients in the South East:-  London, Surrey, Hampshire, Sussex and Kent.

Cut off date for new FIT rate is set for 1st August 2012

By Siva Muthulingasamy, Jun 2 2012 06:42PM

A two phase consultation on FITs was completed between February and April 2012 and the government has published the results on 24th May 2012 for Phase 2a. The Government announced plans that are designed to provide long term sustainability for the FITs scheme and better value for money for consumers, allowing customers and businesses to plan their investments with confidence.

The key points include:

A tariff of 16p/kWh will take effect from 1st August 2012 for domestic-size solar panels with an eligibility date on or after 1st August 2012.

Increasing the export tariff to 4.5p/kWh for new installations (from 3.2p/kWh)

Reducing the tariff lifetime from 25 to 20 years for new PV installations.

Multi-installation tariff set at 90% of the standard generation tariff, rather than 80% as at the moment, reflecting latest evidence on the costs of such projects.

New tariffs will still provide rates of return of over 6% for typical installations, which makes solar PV a very attractive investment.

New cost control mechanism will reduce solar PV tariffs automatically in line with deployment.

Degression can occur every three months however the rate of degression is dependent on the volume of deployment. If deployment has been low, then degression can be skipped

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