Pictured: Ian Stares
The solar PV market has recently been described as "chaotic" as
consumers rush to get in before the Government's reduced feed-in
tariff (FiT) comes into force in mid-December.
The warning is a result of unprecedented short-term demand for
solar PV installations as consumers attempt to install before the
Government's 12th December reference date, after which
installations will only be eligible for the reduced 21p tariff.
Leading plumbing merchant PTS is reporting a huge surge in
enquiries and sales in the last two weeks since the Government's
announcement.
"The Government's reduction to the FiT has created a short-term,
unmanaged boom in sales and enquiries across the industry," says
Ian Stares, product group manager for renewable technologies at
PTS. "On the face of it, this might seem like good news, but the
surge is possibly not manageable demand, it feels like a chaotic
surge."
Mr Stares says that the impact of the Government's FiT
announcement is having an enormous impact right along the supply
chain. "Our worry is that the Government has potentially created a
boom bust scenario that will possibly have an impact on jobs. We
are in a short-term boom at the moment, but it is putting severe
strain on the supply of solar PV equipment from manufacturers. My
concern is what will happen after December 12th? The market
could fall off a cliff overnight. If the Government could see
to extend the deadline that would certainly help matters"
There are also increasing concerns that the rush to get in
before the December deadline could lead consumers to install lower
quality equipment. "Restricted supply of quality solar PV equipment
from reputable merchants will inevitably lead consumers to go for
low quality alternatives, which cannot deliver the same electricity
generating capacity," says Mr Stares.
However, Mr Stares has some sympathy for the Government's
position. "I understand that the Coalition wanted to put a stop to
rent-a-roof installations, but in the process has created massive
instability in the market. Rather than a draconian cut, a managed
reduction over time would possibly have been a much more sensible
route to take."
He continued: "After this boom, I would have thought the
priority now must be to bring calmness and structure back to the
market to ensure that both the consumer and industry confidence in
solar PV technology is not irreparably damaged."