DECC plans FiT tariff cuts or scheme closure
The Feed-in Tariff (FiT) scheme could be closed to new applicants from January 2016, or generation tariffs revised downwards, in a series of measures detailed in a consultation launched by DECC on cost control of the scheme. Released on Thursday 27 August, the document sets out proposed new generation tariff bands with the 0-10kW band’s current October-December 2015 rate of 11.30-12.47p/ kWh reduced to 1.63p/ kWh from January 2016. If these measures are not introduced and if costs are not limited to £100mm by 2018-19 DECC outlines that “the only alternative would be to end generation tariffs for new applicants as soon as legislatively possible, which we expect to be January 2016”. DECC is also proposing forced degression each quarter, in the form of a tariff cap, with tariffs reducing to zero under domestic and standalone by 2019. Responses are invited until 23 October.