With the recent forecast of the latest Solar Trade Association (STA) it was discovered that the overall climate for financing solar energy schemes in the UK is no longer as economically viable. Analysts have claimed that large scale solar PV investments are being withdrawn as a result of Brexit.
For this reason, businesses like M&E Maintenance Solutions Ltd, a specialist for building repair and maintenance in the UK and installation of solar PV, agrees this may be the case.
An Ironic Situation
The rest of the world, particularly Japan, is on a fast-paced track of capitalising renewable energy to alleviate the effects of climate change in their country. But, the loss of confidence following the vote and current calm of the economy, threatens to put the country’s sustainability goals on a backburner.
The Renewable Energy Magazine reports states “An estimated two-thirds of the UK's 12 GW solar capacity has been built using Power Purchasing Agreements (PPAs), where solar farms or large commercial rooftops contract to sell their power to a third party. The large-scale solar industry, which matches onshore wind for low-cost clean power, had the great majority of its support removed this year and deployment has plummeted.”
Not a Desperate Situation
Whilst the situation seem dire, considering also the poor quarterly deployment of the country in 6-year period, UK analysts say that a modest Government intervention is all what’s needed to reinvigorate the market again. The Government should actively engage in reforms that will enliven the Feed-In Tariffs, which according to the STA will boost solar deployment on large commercial roof tops.
David Pickup, STA policy manager said, “Even terrific financial innovation cannot get around hard economics; large-scale solar still needs just a little support from Government to provide consumers with one of the cheapest sources of clean power.”
With the UK moving away from European single market, it’s time to focus on a more sustainable future.