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From the Front Line

Government Cuts Affect Green Grants

Posted by Jason Orme on 25th May 2010

Although the Low Carbon Buildings Programme (LBCP) was always predicted to end this summer - there was about £3m worth of funding left in the pot and it is all due to be replaced by the lucrative Renewable Heat Incentive (RHI) which offers cashback for green energy generated - its early closure yesterday as part of the new Government's swingeing 'emergency' cuts puts the emerging solar and heat pump market in a very difficult situation.

Although anyone installing a solar panel or heat pump today will still enjoy the RHI when the programme kicks in next year, this next few months is likely to be a little flat for suppliers - many customers will simply wait until next year to get instant financial help rather than install for a year or so without any financial assistance.

This is particularly an issue because the RHI is still at a stage where the detail has been undecided and nothing is set in stone. This Government, which talks a good game about creating a green economy, has within two weeks left dozens of companies in limbo.

Jason Orme

Jason Orme

Jason Orme has been the Editor of Homebuilding & Renovating for many years and has written on property and self-build matters for, amongst others, The Independent and The Telegraph. He self-built in 2004 and is looking for another plot.

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#1

REnewable energy grants etc.

A Cotterell's photo

Why can't a 'selfbuilder' instal their own renewable systems and gain the new incentives to suppy the grid. Why do they think that only bonafide installers should have this right of installation. I have been an Associate Member of the Institute of Electrical Engineers and as such I am competent enough to do this myself. Its a 'close shop' deal that has no foundation whatsoever just to protect their own interests. There should be an alternative option for capable self-builders with a final check from local planning office before connection. Another HMG 'stitch-up'

AC.

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