Solar panels are getting cheaper to install but beware – those lucrative feed-in tariffs from the Government look set to be reduced in 2012.
Not only are solar panels getting cheaper to manufacture, lowering installation costs for homeowners, but they’re also getting more efficient.
It’s good news for homeowners who’ve been thinking of installing electricity generating photovoltaic solar panels but haven’t actually gone ahead yet.
Now for the bad news…
It was always the Governments reasoning that tariff’s would be reduced in subsequent reviews as the cost of panels and installation fell, either through manufacturing costs or competition between installation companies.
As panels continue to get more efficient, then less panels should eventually be needed to produce the same amount of energy as present installations.
This leaves the door open for homeowners to install larger systems on the same roof-space, earning greater tariff payments.
So if you are thinking of your own solar installation, then now really is the perfect time to get a foot on the tariff ladder.
Tariff payments (based on the tariff at time of application) are guaranteed for 25 years and are also tax free. They’re also set to rise each year with inflation.
photo credit: david blaikie