The solar industry has not reacted well to the changes proposed to the feed-in tariffs on the 31st October. The proposed changes would see the FIT scheme payments cut by over 50% which solar companies believe will cause a massive decline in interest and demand for their products and services.

The proposal has a date of the 23rd December for the final consultation to make a decision on the changes, but the deadline date for installations to receive the current rate is the 12th December. Any installations after the 12th December will receive the higher rate until the 31st March 2012 and then move on to the new lower proposed rates.

A group of UK solar companies have joined together to seek an interim injunction to stop the DECC using the 12th December as the cut off date for installations. The group has said that having a date that is weeks before the consultation date is 'illegal, unreasonable and irrational'.

The group strongly oppose the changes and are calling on the government to not make any changes until a full review has been carried out by the DECC in a legal manner following the correct procedures. The group has said that having the cut off date in early December is, 'a cynical move made without due regard to the inevitable and negative commercial consequences for thousands of new businesses, their staff and customers.'

The industry has seen a noticeable affect even before the changes have come into place, with large orders due for after the 12th December being cancelled. The cancelled projects include large-scale schemes by local councils and housing associations that had the aim of trying to improve fuel poverty as well as the effect of reducing carbon emissions. Projects like these would have been worth thousands to the industry.

How far this movement will go or what affect the legal action will have is yet to be seen, but it goes to show many companies will not take the proposed changes lying down!