The Feed In Tariff Drives Demand For Solar Power
Over the past 12 months there has been an increase in demand for solar panels in the UK.
The interest in Solar PV has been driven by the Feed in Tariff (FIT) Scheme that gives a very good rate on surplus electricity, meaning that when you install solar panels, you can pay off your investment quicker than ever.
There is also a number of pending initiatives that the government has to adhere to in order to meet the target set at the Kyoto agreement. Britain has pledged to increase the percentage of renewable energy to 15-20% of the overall amount.
The Green Deal is one of the shining lights of the UK government, as it will see government loans pay for the parts and installation of renewable energy, then the energy produced will be used to effectively pay back the loan. This is a scheme already in operation in the private sector.
Many solar panels companies will actually install solar panels for free in exchange for the rights to claim the feed in tariff rates — this is a viable business model that many solar companies are looking into.
Global Expenditure On Solar Power Rises
A report from 2010 indicated global spend on renewable energy increased to $211 billion, being $160 billion the year before.
But what is driving this increase?
It is too early to tell whether the increased interest is down to the 18% increases in electricity announced by British gas, a generation of people who care more about the environment, or the government schemes.
One thing is for certain: over the next 50 years renewable energy will be thrust into the limelight when fossil fuels finally run out.
It makes sense to begin investing now as house utility bills and the cost of running our cars continues to soar, many will see renewable energy as a sound investment.
The fact that new technology means that it’s more affordable to install solar panels, and that doing so gives a better return on investment (ROI) and is suitable for most houses weighed up against harmful and expensive fossil fuels are three factors leading to the prediction that renewable energy will become the world’s second largest industry over the next 20 years.
At the moment solar PV is the only type of solar panel hooked up to a government scheme, however, once incentives come in for solar thermal as well, a new wave of customers should be flocking to get their hands on the technology.
With a little help from the government “Green Britain” could become a reality.