Chris Huhne interview

[Phil]

BBC - BBC News Channel Programmes - HARDtalk, Chris Huhne - UK Secretary of State for Climate Change

around 16 minutes in on solar panels and cut backs

 

[confounded]

BBC - BBC News Channel Programmes - HARDtalk, Chris Huhne - UK Secretary of State for Climate Change

around 16 minutes in on solar panels and cut backs

Chris Huhne, "panel prices have halved so we needed to cut the tariff in half"

Panel price have not halved
inverters have not halved
Mounting gear has not halved
Labour costs have not halved
Overheads have not halved

Good to see they have done thorough research into the market before making such dramatic changes.

 

[Chop]

My job has been more than halved though!!

 

[northernsun]

Dispicable man. We'll see what happens. yup, we'll see if we have to lay off people before christmas or if all work dries up completely. we'll see.
Oh wait......

 

[SRE]

I've just looked at the last few jobs I've done. Our panel costs are 35% of the job. They are the only costs that have reduced, everything else has gone up. Ignoring the fact that everything else is going up in price if the panels equate to 35% of the cost and they have dropped by 50% then I reckon the Fit rate should be dropping by about 17.5% ie 7.5p - have I lost the plot?????

 

[TedM]

Logic left the room a long time ago.

 

[Markc]

Does he honestly believe the cost of product has dropped by 50% or is he using adjusted figures (that have been given to him) to justify the cut? If he does then god helps us all!

I'm off to a Euro country...................Oh bugger!

 

[flamefix]

The cost of the good stuff has not halved, we now just have to fit the cheapest **** going is what he is saying. Even so as rightly pointed out 50% of 40% of the job does not equal a 50% cut in the FIT, the FIT rate will be lower than Germany's after they cut it 50% in the New Year. They could have cut it 25% for the 12th and again in April by an agreed further level having sought various views.
What this has done to the industry is encourage everyone to fit anything by anyone to beat the deadline and most of those won't be around in a month let alone a year to back it any of it up.
My scaffolders told me the company set up opposite them is closing the end of the week having done as many installs they can before the deadline now no work and puff gone with the smoke.

If Government doesn't care about consumers why should anyone else what is the point of MCS and REAL it won't protect any of the clients who have been serviced by similar companies or even the ones set up with integrity who'll close if they don't find work.
Shame on the government/ Chris Huhne

 

[Worcester]

If you do your worldwide research you'll find that local panel and inverter prices track FIT payment levels for that region, we have been buying direct for a while now and are careful to say which country final destination - it makes a big difference on the price you have to pay!

In summary both the Panel makers / frontline distributors and the Inverter manufacturers have been scre*ing the UK market place. Both the prices WILL go down next year.

 

[MorganPVI]

You can get panels for about 2/3 of the typical price for delivery in January.

 

[flamefix]

I'm not saying FIT prices shouldn't be cut but the arbitrary cut is now deeper than German's FIT tariff level will be in the new year. The prices will move to the cheapest supplier of product which is China, I don't doubt premium pricing has been taking place, but the way the cut has taken place is shameful and that's the point I was making along with the mockery it makes of REAL and MCS protecting Consumers. With many companies to close especially after the rush to beat the deadline the consumer is likely to suffer from lack of aftercare service.

profits aren't that high in the industry according to this data.
IMS report sees PV component profits, gross margins take sharp hit in Q4 | PV-Tech

module prices are heading or are at $1/watt
Crystalline silicon cost per-watt to hit US$1 in first quarter of 2012, predicts IHS iSuppli | PV-Tech

 

[topquark]

Confused.com: Was the FIT ever intended to be just a cost subsidy anyway?

 

[whlphil]

Already way lower than $1