Thursday, February 2, 2012

Solar Panels: 100,000 Rushed to Beat Subsidy Cut

The frenzy late last year saw almost as many solar panels installed during a six-week window as in the preceding 19 months as homowners fought to set up their equipment before cuts were imposed.
The Government has cut the amount paid for electricity
generated for the national grid by household solar panels

It came after ministers announced on October 31 that any panels installed after December 12 would attract a lower feed-in tariff subsidy, paid to homes that generate green electricity.

Figures announced by the Department of Energy and Climate Change (DECC) show that between April 2010 and the announcement late last autumn there were 127,474 installations – a rate of 220 per day.

But the Government's decision prompted a spate of panic-buying, with a further 102,183 panels installed during the six-week window between the announcement and the cut-off point for the higher subsidy, equal to 2,376 a day or an increase in rate of 1,100pc.

DECC estimates that an average household will earn about £1,000 a year tax free by installing solar panels, meaning the cost to the Government of the six-week 'gold rush' could reach more than £100 million.


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