Monthly archives: September 2009

The Energy Savings Trust has released a report that the installation of solar panels on residential properties would significantly increase the price that house buyers would be willing to pay for those properties. With the government’s announcement that the clean energy cash back scheme will be introduced in April 2010, a great deal of interest has been stirred in the viability of solar power and will undoubtedly see an increase in the uptake of photovoltaic (PV) equipment .

The clean energy cash back scheme, essentially a feed-in tariff will offer homeowners with solar kits premium rates for surplus energy which they feed back in to the national grid. The legislation will oblige the energy companies to purchase the renewable energy units at inflated prices, the costs of which will be spread across the consumers.

The survey found that out of a total of 2,700 people who were questioned, over half answered that they would be interested in looking into whether solar panels would be suitable for their homes. Similarly, a third responded that they would be willing to pay more for a house with a solar installation. These findings would suggest that despite the initial costs of installing solar panels, the cash back scheme along with the fact that they will add value to your property will go to add financial viability to a renewable energy option which, in the past has been considered too expensive to consider.

Regarding the findings, Chief Executive of the Energy Savings Trust, Philip Sellwood stated,

“It seems Britons are willing to pay more for a home with a renewable energy source so investing in a solar panel or a wind turbine could add to the resale value of a property and be as attractive to house hunters as a new kitchen or solid wood floors”.

While high costs still remain a barrier to renewable installations, the government legislation which will be implemented in 6 months will enable homeowners to cash in on their investments in the long term.

China has reinforced its commitment to moving forward to a more progressive, green economy by agreeing with First Solar the construction of a 2GW solar facility in Ordos, Inner Mongolia. The construction of the large solar facility will begin in June 2010 and is expected to be completed by 2014 in a multi-phase operation expected act as a demonstration of the Chinese governments resolve to make giant leaps towards a renewable energy economy.

 With the solar feed in tariff legislation making the headlines in the UK under the guise of the Clean Energy Cash Back Scheme, the Chinese project will be taking advantage of a similar tariff system with the price of electricity guaranteed at a premium rate over a period of years. Tariff systems such as this have generally proved to be extremely effective means of generating investment in new solar sectors.

 Mike Ahearn, CEO of First Solar commented that,

 “The Chinese feed-in tariff will be critical to this project. This type of forward-looking government policy is necessary to create a strong solar market and facilitate the construction of a project of this size, which in turn continues to drive the cost of solar electricity closer to ‘grid parity’ where it is competitive with traditional energy sources.”

Certainly, it is expected that with the Chinese feed-in tariff policy in place, there will be a number of other large investments in the Chinese photovoltaic (PV) market over the coming months and years. China is also the largest manufacturer of PV product needed for solar projects around the world and is therefore attracting much interest from those wishing to provide turn-key products from manufacturing, construction and installation.

“This major commitment to solar power is a direct result of the progressive energy policies being adopted in China to create a sustainable, long-term market for solar and a low carbon future for China. We’re proud to be announcing this precedent-setting project today. It represents an encouraging step forward toward the mass-scale deployment of solar power worldwide to help mitigate climate change concerns,” announced Mike Ahearn.

With China and in particular the capital, Beijing under the spotlight in recent years with concerns over pollution and carbon emissions, China is now making a very powerful statement to the world that they are about to be at the forefront of the solar revolution.