Boom and bust for PV solar panels

A fresh view of the PV solar panel (photovoltaic) industry. Bank holiday chaos will once again mark the advent of the British summertime.

The sun is shining, and our overcrowded island and roads will fill-up with expectant families. Energy-savvy families wishing to install PV solar panels will gather too. The old feed-in tariff will continue through the summer months. People will receive the tariff at around 15.44 pence per kWh for surplus supplied to the Grid.

The disappointment felt by thousands of people who didn’t manage to get a solar installation completed before the cut-off date, was sizeable. Sadly, it looks as though history will be repeating.

The feed-in tariff rate will reduce, but this is good news. The reason is the fast-falling costs of the technology and installation. Installations today will cost 40% cheaper than the original PV-pioneers.

Good news for everyone.

The reduction rate in tariff payments is equal to a fall in costs of a full installation. Basically, less outlay from the start.

The next feed-in tariff rate will be around 5.44 pence per kWh self-generated. Despite the lower amount, this generation tariff rate is expected to give a respectable 6% return-on-investment.

So here we go again, some people will receive the higher 15.44 pence if installed before August.

An inevitable boom and bust period are about to happen. If you’re thinking about installing solar panels, then don’t hesitate. As solar panels become a widespread way of reducing energy costs, you surely may regret not taking this opportunity.

For those that think PV solar panels are a fad, please think again.

Currently, solar panels are an easy way to insulate yourself from growing energy expenditure far into the future.

If you need more persuasion, then the current trend of falling technology costs are unlikely to last indefinitely, because rare Earth metals involved in the manufacturing process are becoming harder to find.

China currently has a monopoly on the rare earth supply chain. Ongoing price reductions are unlikely to continue longer-term. The UK government needs to be careful it doesn’t trade reliance on imported oil for a dependence on Chinese manufactured solar panels.

This window of opportunity has presented itself, here for you today. Another bank holiday getaway is as predictable as the rain that engulfs it. So too is the next rush for PV solar panels, yet again!