Renewable Heat Incentive Tariffs increase in line with inflation

Fri, 05 Apr 2013 11:33:35 +0100

From 1st April 2013 the Commercial Renewable Heat Incentive (RHI) Tariff Rates increased in line with inflation to the levels shown here

The increase reflects the pro-rated index-linking of the RHI to the Retail Price Index with an increase of just over 3% applying to both installations currently receiving the government incentive and future installations.

Save Money, Make Money

Not only can Renewable Heat make you money through the RHI you could also save money on your heating costs. As an example switching to Biomass from oil or LPG typically results in 20% – 40% savings on fuel costs and with fossil fuel costs rising there has been no better time to ‘go green’.

If you would like to make an enquiry please call 01423 359 600 or click here

Solar in the UK is more compelling than ever

Tue, 19 Mar 2013 09:26:07 +0000

This week British Gas reported an 11% rise in profits. A particularly cold snap was to thank for a 12% increase in gas consumption that was worth £606 million to the energy giant.

British Gas’s profit announcement comes less than four months after the supplier upped its tariffs by 6.5%. According to the Express, the average annual British Gas energy bill has risen from £543 in 2004, to £821 in 2008, and now stands at £1,336.

What’s more concerning is that energy bills in the UK are only going one way – up. Outgoing Ofgem Chief Executive, Alistair Buchanan, said that he expects the impending closure of around 10% of the UK’s generation capacity within the next month to lead to an over-reliance on imported energy. He said: “Ofgem estimates that, by 2020, 60% to 70% of our generation may have to come from gas to fill the gap. That’s up from about 30% today.”

The UK’s over-reliance on volatile global gas markets means that more energy bill price rises are inevitable. But there is another way.

A large 4kW domestic solar PV system can now be purchased for around £7,000 (the same amount of money the average British Gas customer spends in five years).

Forget the feed-in tariff for now. What that £7,000 buys you is a way out – an escape from the Big Six’s stranglehold. For the next 20 years (absolute minimum) not only will your consumption of grid electricity drop dramatically, but you will also be insulated from any future energy bill hikes passed down from suppliers. As an added benefit, the feed-in tariff scheme will allow you to earn returns in the region of 8-12% by paying you for every unit of electricity you generate.

Ben Hill, Head of Europe at Trina Solar, is keen to stress that consumers can be proactive in fighting rising energy bills, he said: “Consumer choice in where we source our energy from is still in its infancy, so the public can be forgiven for not realising that they don’t have to just accept whatever their energy provider puts in their bill. Installing solar PV is a real alternative and will help residential and commercial consumers insulate themselves from the impact of the UK’s growing reliance on foreign gas,” he said.

“The current level of feed-in tariff continues to represent good value for residential consumers, and with balance-of-system costs coming right down, rooftop panels can yield the same return on investment in percentage terms as they did before the cuts. And when you factor in the likelihood of increases to wholesale electricity prices, self-generation can offer a good deal of financial security. Untapping the full potential of the residential sector will be crucial to sustaining the upward trend of the UK market, and official recognition like this is an invaluable proof point of the importance of solar PV that will help the industry do just that,” he concluded.

Within the domestic solar market consumer confusion is rife. Now is the time for clear messages: every solar PV-owner is independent and in control of their energy bills for the next 20 years.

With no degression for <50kW size installations until August, the UK solar industry has a wonderful platform and opportunity to underline just why it forced itself into the government’s reckoning and the renewables roadmap.

Source: http://www.solarpowerportal.co.uk

Leading Furniture Supplier Switches to Biomass

Thu, 14 Mar 2013 00:00:00 +0000

Duncan Renewables have just completed a 198kW biomass installation at one of the country’s leading contract furniture suppliers. The installation allowed Hill Cross Furniture, based near Northallerton, to switch from LPG and electric heating to wood pellets which are sustainably sourced from a local supplier. The district heating system saw several buildings on the company’s manufacturing facilities linked to a central plant room housing the boiler and the wood pellet store.

Energy Now - Farmers & Landowners on the Right Track

Mon, 25 Feb 2013 10:26:32 +0000

Recently I read an article in Energy Now magazine which discusses the energy concerns of Farmers and Landowners. I found it interesting because it makes a lot of great points as we embark on a new year of rising energy costs and increasing demand for renewable investment. With the potential for more FiT cuts in the summer, and a likelihood of increasing PV equipment costs as the value of the Pound falls, now is prime window to install renewables under the best possible conditions with the best value for money return on investment. And, it is important to remember that even if rates may fall, if you begin your project in advance of the rate cut it is possible to pre-register your system for the higher rates. So, if you are thinking of installing, now is a great time to discuss your project with the Duncan Renewables Team.

2013 Energy Challenges Open New Window for Renewables

One of the biggest energy challenges farmers will have to deal with in 2013 will also be one of the biggest: traditional electricity prices increasing by 10% in the first few months of the year

This is likely to continue to encourage confidence in renewables as a profitable alternative and stop the misconception that the Feed-in-Tariff (FiT) scheme has ended…

…“because the market is picking up from a slow start, however, it means that under the new FiT system customers’ take-up has not been enough to trigger one of the quarterly cuts of 3.5% in payments…there wasn’t a reduction in November and there won’t be one in February either – but that isn’t going to last as cuts come in automatically after the rate has been pegged in this way two quarters in a row. So there will be a reduction in May….Put simply: low costs and the highest FiT returns present a window of opportunity for farmers which won’t last beyond the spring.”

As business picks up on farms around the country in 2013 the alarm bells over cowboy installers will ring even louder.

“Farmers must remember that just as they wouldn’t automatically buy the cheapest machinery, the same rules apply to renewable energy, whether solar arrays or wind turbines. Cheap, poor quality and badly fitted equipment simply won’t last as long or give the hopes for returns, so it is vital to pay attention to the quality of your contractor”

Ofgem Warns of Energy Shortfall and Increasing Bills

Wed, 20 Feb 2013 15:35:29 +0000

While the subsidies / financial returns are fantastic, one of the biggest draws of renewables is that they can help you to gain control over your energy overheads. And, with energy costs going nowehere but up, and with the cost of installing renewables coming down, there has never been a better time to bring renewables into your home or business. In particular, many clients are taking advantage of the “Free Biomass” model which Duncan Renewables can provide which allows you significant savings against your oil or LPG but without a capital outlay.

Ofgem has warned consumers that energy bills will rise in the immediate future due to an increased reliance on the volatile gas market.

Alistair Buchanan, Chief Executive of energy regulator Ofgem, expects that the impending closure of around 10% of the UK’s generation capacity within the next month will lead to an over-reliance on imported energy.

Writing in the Telegraph, Buchanan explained: “If you can imagine a ride on a roller-coaster at a fairground, then this winter, we are at the top of the circuit and we head downhill – fast. Within three years, we will see the reserve margin of generation fall from about 14% to less than 5%. That is uncomfortably tight.

“So where will our new sources of power come from? Wind has also been hit by the financial crisis and it will take time to reach a critical mass; nuclear will not be with us until well after 2020; and carbon capture and storage technology is still in its infancy. So that leaves gas.

“Ofgem estimates that, by 2020, 60% to 70% of our generation may have to come from gas to fill the gap. That’s up from about 30% today. The government asked Ofgem to look at gas security of supply last year and we concluded that in all but the most extreme circumstances, supplies for domestic consumers should be secure. However, power stations and large industrial users may be affected in a squeeze. The big worry about gas for all consumers is what price will we have to pay to get it? Because just when we need more gas, world demand for gas is set to rise while our own supplies are predicted to fall by another 25% by 2020.”

Responding to Buchanan’s comments, a DECC spokesperson said: “Around one-fifth of our ageing power stations are due to close over the next decade, so as Ofgem highlights, we cannot afford to be complacent and may face a looming energy gap.

“The reforms we are introducing to the electricity market through the Energy Bill are aimed at plugging this gap in order to keep the lights on. We have legislated to introduce a capacity market that will help guard against blackouts and ensure there is sufficient supply when margins get tight. Our reforms will incentivise a record £110 billion of private sector investment in new clean power generation – in renewables, new gas, nuclear and Carbon Capture and Storage. Investing in a diverse energy mix will help us to insulate consumers from the high price of wholesale gas, which drives up bills.”

Buchanan’s comments will shine a more focused media spotlight on the looming energy gap and its impact on consumers’ energy bills. However, those operating in the renewable market will be disappointed that Ofgem makes no mention of alternative technologies other than wind. Leonie Greene, REA Head of External Affairs, commented: “Alistair Buchanan’s warnings of a supply crunch must be heeded, but we’d like to hear more emphasis on the UK’s legally binding renewable energy targets. The UK’s Renewable Energy Action Plan anticipates delivering nearly a third of our electricity from renewable sources by 2020. This should represent timely and cost-effective investment, given the natural retirement of large amounts of old energy infrastructure. The UK lags far behind both the European and World average for renewable energy production – and our poor performance on renewables is key to the national supply crunch we face. The tendency to downplay the importance of renewables is increasingly a UK characteristic that risks costing us dearly in the global clean energy race.

“Key to increasing deployment is simpler and more timely policy It is also vital to secure the confidence of the industry and investors in the current Energy Bill. The REA is currently pressing for vital measures to ensure the Energy Bill can be made to work for independent generators, who are vital to delivering the infrastructure we need. The priority for government must be to provide certainty for those technologies which are genuinely low carbon, cost-effective, and can be rapidly deployed before the capacity crunch hits. The only technologies which meet all three of these criteria are renewable, such as biomass, onshore wind, solar PV and waste-to-energy technologies. These need to be combined with intelligent energy efficiency and demand-side response measures, and sensible use of gas.”

Rising energy bills have consistently been identified as one of the most important financial concerns for the British public. In order to tackle the issue, government will be enforcing a limit of four electricity and gas tariffs each for energy companies