Question regarding removing panels and reinstating them

[SolarCity]

I have had a customer phone me and he has intends to install some PV panels in the next few weeks. He then intends to remove them, rebuild the house and reinstate the panels.

No problem there.

He then asked about the tariff he can expect. Will he drop to the new build tariff or stay on retrofit tariff? Assuming that we install to old tariff rates.

 

[TedM]

A little bit of a grey area.

The new build tariff is lower as costs for installing on a new build are expected to be lower than for a retrofit. That doesn't apply in this case as there will be two installs.

I would argue that the same conditions should apply as if you had to replace a failing roof with a PV system already on it (could actually happen 20 years from now for example). Take off system, replace roof and then re-install the system. You wouldn't expect that to suddenly invalidate your FiTs contract.

If the system is decommissioned then he would possibly have to notify his electricity supplier (FiTs licensee) under the terms of his contract with them. If this lead them to de-register his system with OFGEM then he would be stuffed as he could not then re-apply later with the same equipment as it would fall foul of the 'second-hand equipment' condition. Assuming the system wasn't de-registered then the owner would not need to re-apply for accreditation, he should just be able to re-activate his contract. You'd hope that OFGEM would handle this sensibly but there are no guarantees.

I suppose the electricity supplier might start to ask awkward questions if the system was decommissioned for an extended time and quarterly readings were showing zero generation.

It's worth a call to the FiTs licensee he would use to see what their response to this 'hypothetical' question would be.

 

[SolarCity]

Thanks for the help, Ted. I'll make some phone calls to different FITs suppliers and ask them their opinion. If I can find a sensible response I'll direct my potential client in their direction.

 

[MorganPVI]

My view is once your signed up then you can do as you wish, there are no expectations or contactual requiremements of yield so if I want to stop generating for whatever reason then I will. Perhaps my view is wrong, but my FIT provider should be happy that they have saved some cash in not paying when they expected to. I have read the SSE FIT contract and I cannot see what business it is of the FIT provider if I choose to remove my panels for roof works or even if I choose to go offline. Personally I would not even bother informing them that I was removing panels for roof works, they are not the boss of me, they have a contract to buy the electricity I supply and if I choose not to supply for any reason then there are no contractual penaties in force. I am not an effing wind farm!!!

 

[Markc]

Would it not be an idea to fit it in the first instance as a temporary ground mount system and keep it energiser while renovation works are being conducted. A simple scaffold frame on hire would suffice as a ground mount frame. Once the building is ready to take the array to the roof move the panels up etc.

When you say "rebuild the house" is this a 100% demolition, removal from site and new build or renovation of structure? As I have been told if the works on renovation carry VAT then it is not a new build.

 

[SolarCity]

Would it not be an idea to fit it in the first instance as a temporary ground mount system and keep it energiser while renovation works are being conducted. A simple scaffold frame on hire would suffice as a ground mount frame. Once the building is ready to take the array to the roof move the panels up etc.

When you say "rebuild the house" is this a 100% demolition, removal from site and new build or renovation of structure? As I have been told if the works on renovation carry VAT then it is not a new build.

Yes, 100% demolition and rebuild. He's not sure when he is doing it though. Temporary ground mount may be an issue and perhaps more expensive than installing on his roof originally.

 

[Markc]

Yes, 100% demolition and rebuild. He's not sure when he is doing it though. Temporary ground mount may be an issue and perhaps more expensive than installing on his roof originally.

No worry on a C rating then as new build which is good. Might just have to settle for 21p Rate is the same for retro as well as new build on the new rate isn't it?

 

[SolarCity]

Yeah, 21p same for retro and newbuild. Of course, we don't know if it will be 21p after April 1st. I'm beginning to doubt it will be.

 

[Markc]

Yeah, 21p same for retro and newbuild. Of course, we don't know if it will be 21p after April 1st. I'm beginning to doubt it will be.

I'll second that. Let's get through the next few weeks first and see what comes up in April.