There are altogether too many contradictory pieces of information regarding the solar panel installations and FiT payments. Different suggestions are being bandied around almost hourly. At this point there isn’t anything which can be done and until either the government or some other official body confirms their position it isn’t helpful to anyone to continue with speculations.
The end of the consultancy period – 23rd December, and the date from which the changes in the proposed FiT payments are going to be reduced, 12th December, are the only dates mentioned at this point. There isn’t sufficient detail of how, why and when changes will happen and in what time-frame. At the moment it has been said that the reduced FiT payments will be applied from the beginning of the new financial year in April but will also apply retrospectively to installations from 12th December 2011.
It has been stated that this is the beginning of the end for the government’s green deal with the number of companies and people involved in the installation of the new technology having rapidly increased to around 27,000. One of the main problems appears to have been that the FiT payments when selling excess electricity back to the national grid have been used to encourage people to progress their initial interest into a firm commitment to have the solar panels installed. Many of these installations can’t happen before the FiT payments reduce which is expected to affect the numbers of businesses and homeowners willing to proceed.
The whole industry has galloped along, well ahead of the level which had been expected. The number of new recruits and training offered had snowballed and eventually there was bound to be some sort of rift or breakdown.
There are now news items stating that there will be many firms of installers which will go out of business due to the revelations of the change to the FiT payments.
There were probably too many firms with one or two installers who had decided to use the opportunities which were bound to increase their business that recruited and trained new installers. The number of unemployed people meant that one advertisement for staff brought a high number of responses and from then on the proposed expansion at the firm who were planning on taking on one person may have persuaded the company to employ additional trainee installers.
There needs to be a few weeks where nothing is said until firm commitments have been made by the government as to the way ahead. The change toward moving to green technology will continue in one format or another – however this may have slowed it down. Perhaps a few quiet weeks whilst everything is confirmed will give the opportunity for installers to catch their breath and consider whether they want to put all their eggs into this one particular basket.