Sian Crampsie
The Scottish government has announced that it will retain the grandfathering guarantee for solar energy projects developed under the renewables obligation (RO).
The move is designed to boost investor confidence in the solar sector after moves by the UK’s Department for Energy and Climate Change (DECC) to reduce support for solar energy and close the RO scheme early.
Scottish Energy Minister Fergus Ewing cited the need for "clarity and certainty" for solar projects to attract funding and reach financial close. The Scottish Government has also announced it will not be reviewing the level of Renewables Obligation support for solar prior to the early closure of the scheme, as is being proposed in England and Wales in what is called a ‘banding review’.
"Decisions on grandfathering policy and support levels under the Renewables Obligation are matters for Scottish Ministers," said Ewing in a statement. "Developers of solar projects need clarity and certainty on the policy environment in order to attract funding and reach financial close.
"To maintain a consistent policy framework until the Renewables Obligation closes, the Scottish government are retaining the current policy on grandfathering and support levels for solar PV projects in Scotland."
The decision was welcomed by the Solar Trade Association (STA). "This shows that the Scottish government is fully committed to solar providing as much as possible of its 100 per cent renewables target for Scotland," said John Foster, chairman of STA Scotland.
"Solar projects in Scotland now know what level of support they are going to get, and that they will get it for the full 20 years. We particularly appreciate how Minister Ewing has moved as quickly as possible in making this decision, allowing solar businesses to plan ahead and focus their efforts on any Scottish projects in the pipeline."