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The Current Status of the Domestic Solar Power Market in the UK

UK domestic solar power market, installer on a roof

Are you in the market and considering the installation of your own renewable solar power in the U.K.? Maybe you have just been waiting for it to become easier, less expensive and regulated. Either way, you may be excited to hear that some of the once tough regulations and expenses on the solar-power industry are beginning to open up.

Government Announces Reinstatement Of Energy Storage Rules

It’s an incredibly exciting time to be living in the U.K. as more officials in power begin to open up to the idea of a nationally, solar-powered system. New reviews of the rules that regulate energy storage for PV panel systems are being undergone by the U.K. Government.

According to a government-commissioned study in 2016, consumers could save around $40 billion in energy costs with the successful integration of solar-power-related expense cuts for consumers of the nation. With such incredible findings, it’s not hard to believe that they want to start working towards a cheaper energy system for everyone.

This means with the reinstatement of existing regulations, homeowners and business owners alike will find it easier to use battery-storage systems alongside PV panels to create their own renewable energy.

In its current state, The Solar Trade Association states that “only moderate progress is being made with the current statements as the Government goes over their 29 point plan to go over the existing rules. If favorable policy framework is put in place, it will also drive down the costs of solar materials and related technology.” This will create a wider market for solar energy in general.

Mayor of London On Board With Solar Plan

Accord to an energy-related post on the official website of Mayor Sadiq Khan and The London Assembly, “The Mayor has set a goal to supply 25% of London’s energy from local sources by 2025.” Their hopes are to reduce the heat produced from generated electricity when power stations aren’t in use.

Since solar energy can create less heat and uses less energy to produce the same demand, they are hoping to make their energy locally using energy supply programs. This will help local businesses and homeowners have more access to solar-powered technology and equipment once the market blooms for the industry.

Taxes Dropped On Battery Storage By 15%

According to the Solar Trade Association, “they are celebrating a 5% rate of VAT for battery storage systems that are installed alongside a new solar PV system.” This significantly brings the tax rate more in line with other household-created energy supplies, making the solar-power dream a reality for homeowners.

With a better opportunity to buy cheaper energy storage, homeowners will be able to control their energy bills and store easily store their own power. Seb Berry, The STA’s Vice Chairman has stated, “The solar deployment industry has struggled with a policy framework. A seven year low had decreased the installment of solar power where fossil fuels were provided tax breaks.”

The access to more solar energy means that there will be a lot of industry competition, bringing on competitive pricing that you might love to take advantage of. Leonie Greene, Head of External Affairs of the STA suggested that the policy win also had come with a current BEIS public opinion tracker poll, with 86% of the public supporting solar power as their preferred energy source.”

Business leaders are embracing a longer term view

Since the early days of solar energy, there have been questions about cost effectiveness and viability in comparison to other energy sources. No-one can deny the practical benefits of solar, but the numbers have to add up, for consumers and businesses. Government subsidies and initiatives with an expiration date make it harder for businesses to plan.

Jason Lavis, who owns Out of the Box Innovations Ltd. (OOTBI), which is an online marketing agency, reports an increase in enquiries from alternative energy companies. Lavis said “We perform services such as copywriting, strategic marketing consulting and web design for energy companies. For a while, the majority of those who we dealt with were oil and gas SMEs. At the start of 2017, we had a number of enquiries in a row from solar retailers and installers, so we listened to the market and diversified”. OOTBI moved into solar in the spring of 2017.

Is Solar Power About To Take Off In The U.K.?

 

At this point, everything is just beginning to bloom and industry experts are feeling optimistic that clean and renewable energy will open up more markets. When people catch on to the fact that governing officials are making solar power cheaper, perhaps they may be more likely to jump on the bandwagon.

It goes without saying, that renewable energy is the smart way to go with the environment, economy, and future as we look into the horizon. If solar energy becomes successful in the U.K., you may even see the world begin to follow in the same direction.

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