Green Deal financing for solar PV confirmed by DECC

The Department of Energy and Climate Change (DECC) has confirmed that finance via the Green Deal can be used to part-fund solar installations, with a new outline document.

Entitled How the Green Deal and Feed in Tariffs works together, the publication describes in detail how to use both deals and benefit, and clears up any of the surrounding confusion and uncertainty.

The document suggests that a specific amount of Green Deal financing can be obtained on the basis of how much a solar panel system is expected to save a homeowner on future electricity bills. Even if the amount expected to be saved will not cover the entire installation, financing can still be accessed to help pay for the costs.

Calculations of this are based on current electricity consumption estimates of 50 per cent, next to 50 per cent exportation.

For those looking to find out more details about how to calculate this in regards to their own home, it would be worth examining the publication on the DECC website, found here.

As reported by Solar Power Portal, the DECC were forced to reconsider how both the Green Deal and FiT interact, following pressure from solar installers.

Despite the FiT difficulties experienced in previous years, the recent stability of the system has seen solar panel installations steadily increase at the start of this year. This is due to the declining costs of solar panels, making the product more attractive to homeowners.

This news from the DECC will also help to encourage uptake, with more clarity given to how both schemes can be accessed simultaneously for the benefit of a household. A number of homes will now be able to save money on future electricity bills in addition to cutting carbon emissions.

Speaking to Solar Power Portal, chief executive of the Solar Trade Association (STA), Paul Barwell, has welcome the factsheet and praised the DECC for using figures from the STA to shape policy.

“This puts solar within reach of more consumers, as long as they are willing to accept a slight reduction in return on investment,” he said.