Government Announces ROC Rates For Solar
The UK Government has released its consultation on proposed rates for solar power and biomass projects that fall under the Renewables Obligation (RO) scheme. New rates for solar power projects that fall under the Renewables Obligation were proposed. Support levels will be set under the Renewables Obligation that are broadly equivalent to the tariffs for solar PV (>250kW "“ 5MW) under the revised FITs scheme. This reflects the falling cost of the technology in recent years.
"Our proposals are designed to encourage the most economically sound solar PV projects under the RO and ensure value for money for the consumer." Said Edward Davey, Energy Secretary. "˜Solar PV and biomass power will play an important role in boosting our energy security and tackling climate change.'
The proposals from the Department of Energy and Climate Change (DECC) provide 1.5 ROCs/MWh from March 31, 2013 for large scale installations. This would reduce by 0.2 ROCS every year until 2016-17 with a proposed 0.9 ROC when the consultation ends. There is a caveat that suggests the department remains cautious in the approach to fiscal support suggesting that price and market place remains volatile.
Davey confirmed the commitment to solar as a vital part of the UKs energy future stating, "Solar PV and biomass are important renewable technologies as we move towards a more low-carbon energy mix. It is vital that our support for solar PV projects under the Renewables Obligation reflect the fall in the cost of the technology. Our proposals are designed to encourage the most economically sound solar PV projects under the RO and ensure value for money for the consumer."
DECC has also offered a method for interested parties to respond to the consultation. This must be done by October 19th.
"We understand the need for market certainty and have moved quickly to finalise these plans," said Davey. " We want our policy to be based on the best available evidence, so it is vital that we receive strong engagement from the solar industry and other interested parties."
