While Ofgem have announced three bands reached their cap on the day accreditations opened for the new Feed-In Tariff scheme, the good news is there is plenty of capacity for new installations below 50kW at the current tariff (current tariff is set until 31 March 2016).
The cap for deployment in the 1st quarter of 2016 has been reached for:
- stand alone solar PV (solar farms)
- medium (50-100 kW) and large (100 – 1500 kW) wind
- all Anaerobic Digestion
The quarterly cap and queue system introduced on 8 February sets a limit on the capacity that can be installed in each quarter. If the cap is reached, any applications made after the cap is reached will automatically be pushed to the queue in the next quarter. As there are degressions to the Feed-In Tariff each quarter, this means the applicant receives a lower Tariff than the Tariff in the previous quarter. Ofgem notify applicants when the cap has been reached and their application is put on hold until the next cap opens.
For more on the FIT deployment reached in 1st quarter of 2016 see Ofgem’s report.