Solar News

20-June-2012

DECC has confirmed the new tariffs for Solar PV installations will be launched on 1 August 2012. The good news is that there will be an increase in the export tariff to 4.5p and but with a reduction in the overall life of the FIT payment to 20 years for new solar customers. Itís interesting that multiple housing installations will receive 90% of the full FIT from 1 August.

The tariff for a small domestic solar installation will be down from 21p to 16p per kilowatt hour, and will be set to decrease on a three month basis thereafter. It has been confirmed that there may be a pause in the three month reduction if the market shows signs of slowing down.

All tariffs will continue to be index-linked in line with the Retail Price Index (RPI)

We calculate that a well designed installation will produce a return on investment of 8%.