Scotland solar panel funding faces withdrawal concern
Scottish Government's Funding Withdrawal Sparks Controversy Over Low-Carbon Transition
The Scottish Government's decision to withdraw funding for solar panels, air source heat pumps, and solar batteries has sparked a significant backlash from industry experts. According to the authorities in Scotland, the funding withdrawal includes solar PV and energy storage systems (solar batteries) from the Home Energy Scotland Grant and Loan scheme.
The Government recognizes the role of solar power in decarbonizing energy supply but prioritizes support for heat pumps and energy efficiency measures due to finite resources. However, this decision threatens Scotland's low-carbon transition strategies, as industry experts believe.
Helen Melone, head of heat and solar at Scottish Renewables, is concerned about affordability for households due to the funding cut. She believes the decision could impact households wanting to install solar panels as a means to avoid high energy bills. Similarly, Alan Wilson, chair of CICV, has expressed concerns over the impact of this decision on Scotland's transition to low-carbon energy.
Wilson emphasizes that solar PV and solar batteries are essential for economic stability and environmental sustainability. He states that a stable policy environment is crucial for businesses to invest in low-carbon technologies. Wilson warns that excluding these technologies from funding could discourage investment and innovation in Scotland's renewable sector.
Industry experts are not the only ones voicing their concerns. Wilson, the Scottish Government's spokesperson, maintains their commitment to ending Scotland's contribution to global emissions. However, they aim to prioritize the Scheme's support on measures that maximize home heating decarbonization and reduce heat demand.
Last year, the Scheme supported more than 2000 heat pump installations, a 17% increase compared to the same period the previous year, and over 1500 energy efficiency measures. The Government spokesperson claims emissions in Scotland have already been cut in half.
Despite the controversy, no new customers can apply for solar PV and battery storage starting from the announcement date. Applications submitted before June 6, 2024, will be processed as usual. The Government is "well positioned to continue leading on climate action that is fair, ambitious, and capable".
However, Wilson warns that the current policy fluctuation risks stalling Scotland's progress towards its environmental goals and undermining market confidence. Excluding solar PV and solar batteries from funding could discourage investment and innovation in Scotland's renewable sector, potentially leaving homeowners with heat pumps more vulnerable to high energy bills.
