The sun is shining at last and with it comes some welcome clarity to the UK solar subsidy – Feed-in-Tariffs (FITs).
DECC is introducing regulations today which it says will put the FITs scheme on a more predictable, certain and sustainable footing for householders, businesses and the solar industry.
The changes will take effect from 1 August 2012.
The tariff for a small domestic solar installation will be 16p per kilowatt hour, down from 21p, and will be set to decrease on a 3 month basis, with pauses if the market slows down.
All tariffs will continue to be index-linked in line with the Retail Price Index (RPI) and the export tariff will be increased from 3.2p to 4.5p.
DECC says the new tariffs should give a return on investment of over 6% for most typical, well-sited installations, and up to 8% for the larger bands.
More details are on the DECC press release.
Photo by Apollo 1981 via flickr