The solar photovoltaic (PV) industry and biomass developers have been given certainty on projects to be supported under the Government’s Renewables Obligation (RO).
In order to incentivise solar projects on buildings, building-mounted solar PV projects will receive higher rates than ground-mounted projects. This will encourage the installation of solar projects at large factory or warehouse buildings.
The Government also announced today decisions that will ensure that the RO brings forward new biomass projects that are both cost and carbon effective. The support set out could unlock investment decisions worth £600m, creating around 1,000 construction jobs.
Edward Davey, Energy and Climate Change Secretary, said: “We want to see a healthy solar industry that grows in a sustainable way. That’s why our support levels reflect the fall in the cost of the technology.
“Biomass will make a significant contribution as we seek to increase the amount of cost-effective, low carbon renewable power in our energy mix. The support we are setting out today will bring new investment into the economy and create new jobs.”
On solar, Greg Barker, Minister of State for Energy and Climate Change, added: “We have listened to industry about the need to differentiate support between building mounted and ground mounted installations and we have introduced two bands as a result.
“Our proposals for solar projects on commercial buildings will encourage businesses to consider solar PV as a serious option for meeting their power needs.”
Robert Goss, MD of Conergy UK, the largest European supplier of panels to large debt-financed solar projects, welcomed the announcement.
“Britain may not be the sunniest country in the world but neither are we rich in mineral resources,” he said. “The government response has been well thought out and shows that in an era of austerity, solar offers a cheap and efficient way of powering the nation.
“There are 300,000 acres of brownfield sites and commercial roofspace available in the UK, offering opportunities for investors, landowners and property owners who now have clear visibility up until 2017. We expect significant interest from large users of power across both the public and private sectors."
