Eco boss hits out at Government plans

THE boss of a Liverpool-based supplier of green energy equipment has hit out at Government plans to cut subsidies for solar power.

In February the Government launched a review of the feed-in tariff system that was designed to incentivise businesses and homeowners to adopt green energy technology, such as solar power, by paying premium rates for surplus energy sold into the national grid.

Under the Government’s proposals installations producing between 50 and 150 kilowatts will see tariffs slashed by 40%. Larger schemes could lose up to 60%. A group of 11 solar firms are already seeking a judicial review into the plans.

David Hunt, a director with Eco Environments, believes projects for more than 50 kilowatts have already been put on hold.

In a letter to David Cameron he states: “The coalition said it would ‘encourage community-owned renewable energy schemes where local people benefit from the power produced’. Indeed, Vince Cable told me personally at an event in Liverpool that the Government is ‘fully committed to feed-in tariffs’.

“We have therefore been shocked by these proposals which will once again leave the UK’s solar industry lagging far behind other countries. Unless the UK approach on solar is reconsidered, the sector could be sent into another tailspin in just 18 months.

“Allocated support is likely to run out for solar projects of any size, as a result of  recasting the feed-in tariff as a capped mechanism in the Spending Review. The attack on the solar industry is particularly stupid given solar’s proven record of rapid job creation and truly exceptional reductions in cost.

“There is widespread frustration that your Government does not understand this technology or its potential. Solar is crucial to a genuinely sustainable and competitive energy system in the UK. It could easily meet a third of the UK’s electricity needs.”

Eco Environments supplies equipment such as solar panels and heat pumps. It has a turnover of £1.3m and 20 staff.