FIT 43.3p loophole

[lamb]

Is this fraud?


Order 500 generation meters
Don't take deposit from customer with order.
Open a shared bank account with each customer that requires consent of both parties to release funds.
Customer pays full amount into account.
Go to site, fix a generation meter to the wall. Record serial number.
Issue MCS certificaten and 'PAID' invoice.
Customer registers for FIT on receipt of certificate.
Carry on regardless with installation schedule of existing orders.
As each job is completed, issue handover pack and release funds from account with customer into company account.
Customer has no reason to withold money, because:

1. Money has effectively left their savings account anyway
2. They can't get that money back without your signature
3. They are already receiving FITs every 3 months
4. They have the fully working system that they paid for

Please respond with opinions or other possible loopholes.

 

[Richard]

To be fair, anyone still willing to risk 15k odd on having PV fitted on the roof, IMO has more money than sense!! I looks like they will probibly slash it in december, what stops them finishing it altogether in 6 months time?

 

[poheZ]

Seems complicated!

why not;

register installations before fit reduction date date with mcs installation database. Then complete them afterwards.


In any case i think we will see a wave of 'chuck it ups' and some wont bother with handover packs and REAL requirements (if they did before of course!)

 

[lamb]

Because if you register the system before the customer has paid, what incentive do they have to pay the final amount when you complete the job 6 months down the line.

 

[TedM]

Customer can only register for a FiTs contract with their supplier once the system has been commissioned.

OFGEMs definition of 'commissioned' is:

means, in relation to an Eligible Installation, the completion of such procedures and tests as constitute, at the time they are undertaken, the usual industry standards and practices for commissioning that type of Eligible Installation in order to demonstrate it is capable of operation;

IMO claiming that a system had been 'commissioned' before it was even completely installed would be considered fraud.

 

[lamb]

Fair comment

 

[Cider]

I was thinking on the same lines, all you need is serial nos to register but yes it is fraud but I bet it happens

 

[solgen]

On a similar note - how about fitting the system, commissioning etc. and then structural survey performed when my surveyor can fit in schedule?

 

[Worcester]

Invoice has to be sent with FiT application, you are now liabke for the VAT, and yes it is fraud, you are non compliant with MCS - how can it have been certified?

You will end up in jail and on rogue traders.

 

[powervan]

You no whats going to happen!some installers wont tell clients about FITT drop ie yes u will still get 43.3p if u get installed before march then when client rings in the summer to say FITTS has dropped to 21p ( oh yes i did say 43.3 p until march sir) i wont do that so looks like it wont be worth me carrying on.

 

[markfxy]

Is this fraud order 500 generation meters take maximum 65% deposit as per mcs rules deposit money in your own bank return meters for a refund then book a one way flight to the carribean, would this be ok or should i get full payment upfront?

 

[lamb]

yeah i'm pretty sure that's fraud. hehe

 

[Worcester]

Or just pop over to Spain, where, as I undertsand from my contacts in REAL, Steve Dixon of Energy Saving Group of is currently residing following a staring role on BBC Watchdog after taking £500 from people for "free" solar systems.

 

[markfxy]

wonder if hes got any jobs going in sunny spain! might be worth a call.

 

[BruceB]

Paul Obrien Solar and Ecovision still advertising free solar panels on eligible houses all day on local radio today! I guess already contracted and paid for but would bet their business model will need some adjustment!