Last week came the news that solar panel grants will be cut in half in March of this year. As a result of the reduced subsidies, it is feared that thousands of jobs in the solar panels industry could be lost.
”Dark Cloud” Hangs Over Thousands of Jobs…
Previous proposals which would see cuts coming into play in December of last year were deemed ‘impractical’. The new plans will make it easier to get access to solar subsidies in the future and are currently seen as unsustainably high.
The new governmental plans will see a lowered level of energy efficiency making it easier to qualify for subsidies and a reduced rate for multiple installations. With the news of the halved subsidies came the shocking realisation that thousands of jobs could be lost.
Shadow Energy Secretary Caroline Flint says that the cuts could mean 15-20,000 job losses whilst according to DECC, 5,000 of the 15,000 people employed last year will lose their jobs. It has been said however that figures should only be taken as a rough estimate because of the uncertainties over the rate of solar panels installations, how homeowners will respond to the new Feed-In Tariff rate and how the costs of solar panels will change in the future.
With more cuts expected to come in July and again in October, many are dubious to the success of the industry in the future. Although installation costs will be reduced, further Feed-In Tariff cuts could see the industry die and thus more jobs will be lost.