Welcome to the Micropower Council

   

The Micropower Council represents companies and organisations active in the microgeneration sector and campaigns on behalf of its members for a genuine mass market for small scale, low and zero carbon electricity and heat generating technologies.

 

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Micropower Council members include manufacturers and installers of microgeneration technologies as well as energy suppliers and other trade associations active in the sector.

We act as the industry's main contact point for government, opinion formers, the press, and the public and our campaigning agenda is determined by our Executive Committee members.

Government loses Solar Subsidy Appeal (Update 5.00 pm Jan 25) 

It has been confirmed that the Appeal Court has rejected the Government's appeal against the High Court's ruling that the changes proposed in the Phase 1 consultation of the Comprehensive Feed-in-tariff.

The Government applied to the Appeal Court for leave to appeal the Appeal Court's decision to the Supreme Court. This permission was not granted. However we understand the Government does have the option to apply directly to the Supreme Court to grant permission for a further appeal.

Government has now confirmed it will take up this option and seek permission to appeal against today's court ruling that today branded its plans unlawful. In a statement shortly after the ruling Energy and Climate Change Secretary Chris Huhne said, "The Court of Appeal has upheld the High Court ruling on FITs albeit on different grounds," he said. "We disagree and are seeking permission to appeal to the Supreme Court."

What does this mean for FITs?

As the law currently stands, the tariff rate applicable to <4kW PV systems remains at 43p/kWh (and the corresponding previous rates for the other bands), and the court has ruled that the 12 December reference date is unlawful.

The Government has already laid before Parliament modifications to the draft licence conditions of the electricity suppliers to implement a 21p / kWh tariff for <4kW PV systems, taking effect from 3rd March 2012.

If the Government's further legal challenge is rejected then the changes taking effect from 3rd March will apply from that date. We believe that this could change in only two scenarios:

• If the Supreme Court both agrees to hear the Government's case, and overturns the Appeal Court and High Court rulings, then the Government would be able to apply the 12 December reference date


• If a new legal challenge were pursued successfully to challenge the consultation process that has resulted in changes taking effect from 3rd March. To our knowledge no-one has publicly hinted of any intention to do this.

Today's news does not therefore remove all uncertainty, but in our view it significantly increases the probability that a 43p/kWh tariff will apply to systems installed up to and including 2nd March.

Whilst Government has confirmed that the current Feed-in tariff rate for solar installations with less than 4kW capacity will not fall below the proposed 21p per kWh for all systems completed between December 12th last year and March 31st this year, we believe it important that installers make clear to customers that there remains some uncertainty around the timing of tariff rate changes.

Finally, it is also important to remember that we have yet to see Phase 2 of the Comprehensive Review consultation, which we expect to contain proposals for a more structured and predictable degression framework for the longer-term. It is, in our view, inevitable that 21p will at some point in the future be degressed further, although we do not wish to speculate on likely timings or levels.

News is still emerging on this, and we will conduct further analysis and update in due course.

Updates will be published at www.micropower.co.uk and @MicropowerCounc

To see the full pdf, please click here

To see the High Court Report, please click here 

 

Feed in Tariff Update - Published by DECC 19/01/2011

"I know this is a difficult time for the sector and I want to do as much as I can to end the current uncertainty created by the legal challenge. " (Greg Barker)

DECC has today laid before Parliament draft licence modifications which, subject to the Parliamentary process set out in the Energy Act 2008, makes provision for a reduced tariff rate (from 1 April 2012 onwards) for new solar PV installations with an eligibility date on or after 3 March 2012 under the Feed - in Tariffs scheme (FITs).

Energy and Climate Change Minister Greg Barker said:
"I know this is a difficult time for the sector and I want to do as much as I can to end the current uncertainty created by the legal challenge.

"We must reduce the level of FITs for solar panels as quickly as possible, to protect consumer bills and to avoid bust in the whole Feed-in Tariff budget. We're appealing against the court ruling that's challenged our proposal for a December reference date. This remains our aim, and we are waiting for the judgment of the Court of Appeal. But this is too important for us to sit and do nothing while we wait. Today we're putting in place a contingency that will bring a 21p rate into effect from April for installations from 3 March.
"However, we are still pressing ahead with our appeal and if successful, we retain the option of introducing a December reference date. In the circumstances we believe this gives the industry as much certainty as is possible. And it puts us in a better position to protect the budget for everyone involved."

Further information on the Government's response to this aspect of the FITs consultation, together with a summary of the relevant consultation responses, is also being published today on the Department of Energy and Climate Change's website.

The consultation closed on 23 December 2011 and over 2,000 consultation responses were received which we have been analysing carefully. We are intending to announce the outcome of the consultation by 9 February 2012, in time for any resulting legislative changes to come into effect from 1 April 2012. Our aim is that this announcement will be accompanied by a set of reform proposals for the next phase of the comprehensive review of the FITs scheme, which will be the subject of a further consultation.


Written Ministerial Statement by Chris Huhne

 

The Micropower Council AGM & Christmas Reception 

The MPC's Annual General Meeting (AGM) and Christmas Reception both took place on Monday 19th December on the House of Commons terrace.

The AGM was held prior to the Christmas Reception with Dave Sowden, MPC Chief Executive reflecting on the rollercoaster events of the last calendar year for the microgeneration industry as well as looking forward to policy developments expected in 2012. The meeting presented an ideal opportunity for members to voice their thoughts on the burning issues facing the industry including the Feed in Tariff, Renewable Heat Incentive and the Green Deal.

The Christmas Reception, chaired by Baroness Maddock included speeches from Peter Verkempynck, Managing Director of Daikin UK who kindly sponsored the evening, Gregory Barker MP (Minister of State for Energy and Climate Change) and Dave Sowden (Chief Executive, Micropower Council.)

The evening was well attended by a range of industry stakeholders enabling networking opportunities alongside some festive drinks. We would like to thank Daikin for sponsoring the evening and making this event possible as well as all those who attended. We look forward to working with you in the New Year.