The UK Department of Energy and Climate Change (DECC) has announced the new feed-in tariff (FiT) rates for large solar PV installations following its recent 'fast-track review' into solar subsidies.
From 1 August 2011, new entrants into the FiT scheme will receive amended tariffs as set out below:
>50 kW – ≤ 150 kW Total Installed Capacity (TIC) - GBP0.19/ kWh ($0.31)
>150 kW – ≤ 250 kW TIC - GBP0.15p/ kWh
250 kW – 5 MW TIC and stand-alone installations - GBP0.085p/ kWh
The 'fast-track review' looked at reducing the tariffs for large scale solar to protect the money available for small-scale projects and the range of technologies supported under this scheme. The review was launched following initial evidence showing the number of large scale solar projects in the planning system to be much higher than anticipated.
DECC minister Greg Barker said: “Without action the scheme would be overwhelmed. The new tariffs will ensure a sustained growth path for the solar industry while protecting the money for householders, small businesses and communities and will also further encourage the uptake of green electricity from anaerobic digestion.”
Over 500 responses were received and carefully analyzed before a decision was made regarding the change in tariffs, said Barker. Every 5 MW large scale solar scheme would incur a cost of approximately GBP1.3m per year, which means that 20 such schemes would incur an annual cost of around GBP26 million, money that could support PV installations for over 25 000 households.
Solar schemes under 50kW are unaffected by the FiT review, said Barker.