Following the announcement on 7 February of the review of the Feed-in Tariffs (FITs), further detail is starting to emerge of the governments intentions for revising the renewable energy incentive scheme.
It appears that Greg Barker, the government Minister responsible for FITs at DECC is determined to ensure that the budget set aside for FITs in the comprehensive spending review is not swallowed up by one technology.
In a meeting with RegenSW this week, he states that he also believes the tariffs should be aimed at domestic and community-type installations, not investors and so is determined that large-scale projects won't take a major share of the funding.
The concern that large-scale solar is set to take a significant amount of the funding is, therefore, the main driver of the review.
The review process will begin with a formal consultation document that will be published in a couple of weeks. This will set out:
- A 'fast-track' review of the tariffs for 'large-scale' PV of over 50 kW and for farm-scale AD.
- A comprehensive review of the Feed-in Tariffs that will run until the end of 2011 and will result in changes in tariffs and scheme design to be implemented for April 2012.
There is good news for AD developers though with the possibility mooted for an increase n the tariff to incentivise more investment in AD technology.
Aardvark is now urgently advising clients on the impact of the review on their proposed solar PV developments - click here for a full commentary of Aardvark's viewpoint.
Contact the Aardvark office for further information 01984 624989 or email firstname.lastname@example.org