FiT Cuts Could Threaten the Stability of up to 70% of Solar PV Companies

The call comes after the trade association sought the views of hundreds of its registered installers to find out how the proposed changes would affect their businesses.

Commenting on the consultation, NAPIT Trade Association Chairman Frank Bertie said: “The Solar PV sector has experienced record growth in the past year and is currently leading Europe in bringing output from renewables into line with levels produced by nuclear power.” However, according to the company, from 2016 the Government is proposing to cut tariff subsidy levels for the technology by up to 87 per cent.

The NAPIT survey showed that 70% of respondents believe the tariff changes would affect the financial stability of their business and almost the same proportion said they would leave the solar PV industry all together if the cuts were introduced. In addition, four out of five said they would expect the changes to reduce the amount of installations they are able to do by 80% or more.

Frank Bertie commented: “The feedback we received suggests the Government could be on the cusp of destroying a huge chunk of the solar PV supply chain, and with it, the livelihoods of thousands of hard working people who not only install but also repair and maintain this valuable source of energy”.

NAPIT claimed this would also have a negative effect on the remainder of the renewables sector due to a lack of government support and would have destructive consequences for an industry close to self-financing. The company has responded to the Government’s consultation along with many other organisations and installers who want to see this industry achieve its potential.

The Government is expected to announce their plans for the Feed-in Tariff by the end of the year, with changes taking effect as early as January 2016.

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