Ofgem has confirmed the Feed-in Tariff rates for solar PV starting from July 01 2013.
Despite installation rates in the sub 50kW range being insufficient to trigger any degression, tariffs will reduce automatically by 3.5 per cent under the Department of Energy and Climate Change’s (DECC) automatic degression model.
DECC stipulates that if there is no degression for nine months, as has been the case since November 2012, tariffs must drop by 3.5 per cent automatically.
New rates from 01 July 2013 are as follows:
|Tariff band||FiT rate p/kWh|
The 3.5 per cent reduction is likely to come as disappointment to installers and suppliers reporting rising module prices across the UK supply chain.
10-20 per cent price increases are being driven by Chinese manufacturers looking to cover the cost of any retrospective EU tariffs being imposed on exports from China and non-Chinese manufacturers seeking to retain price premiums over products from the Far East.