Renewable energy advisor Darren Edwards takes a closer look at the opportunities and challenges for on-farm renewable energy investments in 2016.
When the Department of Energy & Climate Change (DECC) launched a full-scale review of the Feed-in Tariff (FIT) last August, proposing new stringent cost control measures ahead of a possible phased closure of the scheme in January this year, you could have been forgiven for thinking it was the beginning of the end.
Clarity and a degree of hope, however, arrived on December 17, less than a week after the Paris Agreement, when DECC published its response.
One of the government’s key objectives was “ensuring better value for money,” involving revised generation tariffs to kick in from February 8. However, the FIT scheme
will be paused from January 15 for the changes to be implemented and in the intervening period only those projects with pre-accreditation granted before October 1, 2015 will be able to accredit.
Solar photovoltaic (PV) tariffs will range from 0.87p/kW for stand-alone and 1MW+ schemes to 4.39p/kWh for sub-10kW schemes; wind tariffs will range from 0.86p/kW for 1.5MW+ schemes to 8.54p/kWh for sub-100kW schemes; and hydropower tariffs will range from 4.43p/kW for 2MW+ schemes to 8.54p/kWh for sub-100kW schemes.