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Regen SW communities update

FIT - a call to action, the review and tariff reductions

 

Call to action!

Many of you will be aware about the recent DECC consultation on the removal of pre-accreditation under the Feed-in Tariff (FIT) - the recent update is available here. This consultation could put current and future community energy projects at serious risk and we need your help to respond as a unified movement.

 

What you can do - add your voice!


We need your help to put pressure on DECC to stop the removal of the pre-accreditation from the FIT. The best way of doing so, is to get your local MP to raise the issue with Amber Rudd, Secretary of State for Energy and Climate Change. We suggest that you:

  1. Write your MP a letter or email - find your MP by clicking here. We have designed a template - download it here.
  2. Visit your MP - they all have open surgeries on a Friday. Please note we are planning a coordinated day of action during Community Energy Fortnight for all community groups to visit their MPs - more details soon.
  3. Fill out our survey - details below
  4. Respond to the consultation - this short consultation is only open until 19 August. Available here.

 

Gathering data on the potential impact - please fill out the survey

 

 

We are collecting data on how the changes will impact community groups.

We have a five minute survey for you to fill out - see below. This looks at the total figures for capacity and investment that could be lost in the potential removal of the FIT pre-accreditation. 

If you have projects that are going to be at risk due to the other changes in the planning regime, the Renewable Obligation (RO) and the Climate Change Levy, please send details to us separately - ofrankland@regensw.co.uk.

 

 

FIT review - an update on our thoughts

 

We are due a FIT review and the outcome could be a watershed moment for the sector.

The consultation is likely to come out in late August and to run for around eight weeks. Primary legislation should not be needed so changes can be made relatively quickly and we would expect those in early 2016.

We will be holding a consultation session with DECC in late September - more details soon.

Our predictions*:

  • Some kind of expenditure cap could be introduced to control spending (as well as degressions).  
  • We don’t expect specific technologies to be formally excluded – even wind. Doing so could lead to problems with EU State Aid approval - as in discriminating one technology from another.
  • Low tariff rates and expenditure caps are more likely to be used to restrict particular technologies that are less popular politically (wind and ground mounted solar).
  • DECC ministers would clearly like to continue to provide extra support to community schemes. The most likely measure, in our view, is to stop the removal or reintroduce pre-accreditation for community schemes.

*Please note that these are only based on our analysis. Given the political focus at Cabinet level on the cost of renewables, more far reaching measures are, of course, possible.

 

FIT tariff reductions - forecast for the near future

 

We recently provided a FIT forecast to members on the likely reductions in tariff (also known as degressions) across different technologies. These predictions were confirmed by Ofgem last week in their new tariff tables for the 1 October 2015.

However, we also provided longer term forecasts for 1 April 2016 in Anaerobic Digestion (AD), hydro and wind (see below - second row). This may be useful for those planning such projects. Further details are available here

 

Finally for those active in renewable heat, we have developed a similar Renewable Heat Incentive (RHI) tariff reduction forecast for the  1 September 2015 - available here.

 

Please take the time to engage with this debate. We have a very short period to put forward our case and have an influence.

As always if you have any thoughts or issues please do get in touch. 

 

Olly Frankland
Project manager
Regen SW 
 
T: 01392 494 399 W: www.regensw.co.uk | E: ofrankland@regensw.co.uk  

 





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