Amazingly, considering the government’s shale gas blast and huge cuts in solar panel tariffs, 500,000 homes have now installed small scale rooftop solar panels. About 1,900 installations are being carried out every week, helping to sustain a skilled workforce. Despite government policy, a combination of massive international production volumes and efficiencies achieved by UK installers have helped offset the 65% cut in the government’s feed in tariff – from 49p per unit of power in 2010 to 14.9p/kWh today.
The big (65%) cut in Government subsidies means that it will take longer to get paid back the cost of installing solar panels. Production and installation costs have to fall even further to make it attractive to the rest of the UK to install solar panels.
Alternatively, if energy prices keep rising this will force people to install solar panels to reduce their bills even without a Government subsidy!!!