UK solar FIT damage claims soar

Ed Davey, secretary of state for energy and climate change.

Ed Davey, secretary of state for energy and climate change.

Damages claims brought against the UK government in retaliation for its ham-handed attempt to retroactively cut the solar feed-in tariff (FIT) in late 2011 have spiraled to £140m ($221.6m), with the average claimant now demanding £6m in compensation.

What began as a joint complaint totaling £2.2m from three companies last summer has swelled to 17 companies across the solar and construction sectors, including Lancashire-based Solarlec and West Yorkshire-based Viscount Solar.

The legal dust-up stems from the Department of Energy and Climate Change’s (DECC) decision to bring forward a deep round of FIT cuts initially planned for March 2012 to December 2011. From industry's perspective, the abrupt move was especially insulting because it was implemented before a consultation process on FIT rates was finished.

Challenged by industry, the move was deemed “unlawful Log in to read complete article.

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