DECC is proposing to end financial support for solar under the Renewables Obligation, a consultation document published today has revealed.
Under the plans, new PV projects of 5MW or less would be barred, as would any additional capacity added to existing sites.
Projects which have experienced delays in obtaining grid connections, or which have already received significant financial commitments, will qualify for a grace period.
The plan is part of several measures being announced to bring down spending on subsidies which, according to DECC, are set to exceed their budget allocations.
Energy secretary Amber Rudd says the cut will bring costs under control, and give billpayers and taxpayers better value for money.
“My priorities are clear. We need to keep bills as low as possible for hardworking families and businesses while reducing our emissions in the most cost-effective way,” she said.
“Our support has driven down the cost of renewable energy significantly. As costs continue to fall it becomes easier for parts of the renewables industry to survive without subsidies. We’re taking action to protect consumer, whilst protecting existing investment.”
The consultation is open until 01 September. The documents can be downloaded and you can respond by clicking here.