Many Brits may be considering switching to solar power to cut fuel costs and become more energy efficient.
However, confusion over the state of the Feed-in Tariff scheme could be deterring some from taking the plunge.
Consequently, it is important to understand what subsidies you may be entitled to before switching to
solar.
The government has currently begun the process of cutting solar subsidy payments, which they aim to have completed by early March.
This follows the High Court decision in December that their previous reductions to the tariff were legally unsound and Parliament must be consulted before changes are made. However, the government put in a challenge to the ruling and a final decision is expected over the next couple of weeks.
Nonetheless, in a written ministerial statement the government announced that they would be laying before Parliament some draft license modifications to solar tariffs, which make provisions for a reduced rate on new solar installations with an eligibility date on or after March 3rd 2012.
However, if the High Court finds in favour of the government's challenge to the previous ruling they intend to stand by their initial proposals, including the earlier December cut off point for higher subsidy levels.
In the statement the government claims that continuing subsidy payments of 43 pence will "take a disproportionate share of the budget available for small-scale low-carbon technologies.
"We want instead to maximise the number of installations that are possible within the available budget rather than use available subsidy to pay a higher tariff to a smaller number of installations."
Friends of the Earth are however calling on ministers to cut subsidies in line with falling costs, using tax revenues gathered by solar firms to fund the scheme until then.
If the government’s plans go ahead, solar installations in the UK will drop between 50 and 95 per cent each year, the environmental charity claims.
