Would the solar industry be better off without government support

The UK’s only Green MP, Caroline Lucas, takes to the pages of The Guardian to launch a broadside against the UK Government’s investment policy in relation to solar energy.

The UK Government this week lost an appeal in the High Court against a lower court’s ruling that its retrospective attempt to change the solar feed-in tariff rates imposed by the previous Labour Government was “legally flawed”. The Cameron Government had tried to reduce the rates before the agreed consultation period had expired.

The court’s decision is considered to be a victory for the UK solar industry however the Department of Energy and Climate Change (Decc) is threatening to take the case to the Supreme Court. The future of solar investment therefore remains in an unhealthy limbo.

Intriguingly the Hon. Ms Lucas touches on a theme returned to often in these pages: certainty.

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Even though it’s supposed to be a time of federal fiscal austerity, Bill Gates says its time to double down on energy research.

The software industry icon and philanthropist on Friday published an editorial in Science calling for a massive boost in federal energy research and development from about $5 billion a year now to $16 billion.

“In a time of economic crisis, asking policymakers in Washington, D.C., to spend more money might not be the most popular position. But it’s essential to protect America’s national interests and ensure that the United States plays a leading role in the fast-growing global clean energy industry,” Gates wrote, noting that federally funded research in energy has dropped by more than 75 percent in the last three decades.

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The coalition will seek to head off one of the biggest rebellions on policy yet on Wednesday when MPs debate drastic cuts to the subsidies that have sparked a 39,000-job boom in solar power.

More than 20 Liberal Democrat MPs are likely to vote against the plans, in a revolt that observers say is likely to outdo the vote on tuition fees, when 21 of the party’s number broke ranks.

The rebellion extends to ministerial level, with Norman Baker, the transport minister, writing to the climate secretary and fellow Lib Dem Chris Huhne to protest about the cuts, under which incentives to install solar panels would be halved, with potentially disastrous results for the fledgling industry. Baker said: “I have reservations about the speed and level of the proposed changes for communitysize projects [usually for panels to be installed on social housing] and I am therefore asking the secretary of state to examine urgently the case for some flexibility to mitigate any adverse effects of the changes.”

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