25.01.12
Government tariff reductions ‘unlawful’
The Government has lost its appeal to overturn a High Court ruling that its plans to cut subsidies for solar panels are unlawful. Opponents to the cuts have stated that reducing the tariff would put 29,000 jobs in the industry at risk.
Energy Secretary Chris Huhne is seeking to reduce feed-in tariffs (FITs) on any solar installations completed after 12 December last year, although this deadline fell 11 days before the end of the consultation on these changes.
The Government plans to halve FITs as the current cost is unsustainable, but High Court judge Mr Justice Mitting ruled that it was unlawful to implement plans to approve cuts in April by referring back to the December deadline.
This means that the current tariff is likely to remain in place until March 3.
A DECC spokesperson said: “The Court of Appeal has upheld the High Court ruling on FITs. We are now considering our options.”
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