Farming News - Clarity over Solar PV tariffs

Clarity over Solar PV tariffs

Farming groups have welcomed the Supreme Court’s decision to reject an appeal by the coalition government against its ruling that the timetable for its proposed cuts to solar PV tariffs was ‘legally flawed’.

 

Cuts to feed in tariffs paid to people with solar PV arrays for generating clean electricity for the national grid came into effect whilst consultation on reforming FIT payments was still ongoing. The UK’s highest court had ruled that the December 2012 cut-off date was illegal, as there were nearly two weeks of consultation time remaining when new tariffs came into effect.

 

The Supreme Court made its announcement last Friday, marking the government’s third defeat in court over its attempts to cut FITs, following unexpectedly widespread uptake of the technology on falling installation costs and huge popular support.

 

Following the ruling, the 30,735 homeowners and businesses whose solar installations were completed between 12th December and 3rd March will be eligible for the original, higher, feed-in tariff of 43p per kWh, instead of the new rate of 21p, which was announced with just six weeks’ notice by the government last year.

 

The government has claimed the court victory, which will benefit householders and small businesses who installed solar PV within the contested timeframe, will add £700 million to energy bills over the next 25 years. In a statement, Secretary of State Edward Davey said, “We are disappointed by the decision of the Supreme Court not to grant permission to hear this case. But the Court’s decision draws a line under the case. We will now focus all our efforts on ensuring the future stability and cost effectiveness of solar and other micro- generation technologies for the many, not the few.”

 

An NFU spokesperson said, “This will give certainty to members who went ahead with their installations in the December to March period.”