Mixed reaction to FiT levels

There was mixed reaction to levels of FiT revealed today. DECC published its levels for non-solar technologies such as wind, hydro, AD and micro CHP claiming the tariffs were both […]

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By Sumit Bose

There was mixed reaction to levels of FiT revealed today. DECC published its levels for non-solar technologies such as wind, hydro, AD and micro CHP claiming the tariffs were both fair and gave the renewables industry certainty.

However opinion was divided on the issue. RenewableUK’s Small & Medium Wind Development Manager, Indre Vaizgelaite claimed it proved the Government had turned its back on the technology.

She said: “We are deeply disappointed that the Government has chosen to put the brakes on a sector which had the potential to employ up to 9,000 people by 2020. Small wind has been a UK success story – many of the world’s major manufacturers are based here and there is a thriving export market.

“The industry was committed to bringing costs down, but had made the case that this should be done over a two year period, to allow production to ramp up and deliver economies of scale. Instead these cuts have been introduced with just a few months’ notice after a long period of uncertainty for our UK manufacturers.

“There is now a real risk that these jobs will go overseas – an unnecessary risk.”

But Dave Sowden, Chief Executive of the Micropower Council said the FiT levels were fair and should be supported by industry.

He said: “We welcome what is broadly a very positive set of proposals that should bring greater confidence to investors and customers. In particular the decision to increase the export tariff, the clarification of cost controls for microCHP, the community proposals and the decision not to extend energy efficiency requirements beyond PV are welcome developments.

“We will continue to monitor progress of the technologies supported by FITs with a view to maintaining constructive dialogue with DECC to inform further developments to the scheme.”