§ Huw Irranca-DaviesTo ask the Secretary of State for Trade and Industry what plans the Government have to increase the use of solar energy by domestic industry; and if she will make a statement. [89482]
§ Mr. WilsonPrivate companies can apply for 40 per cent. grants (50 per cent. in the case of SMEs) to install solar photovoltaic systems under the £20 million first phase of the Major PV Demonstration Programme. With a medium or large scale system they may be able to claim the renewable obligation certificates for electricity they generate if they can reach agreement with their electricity supplier.
VAT on solar water heating professionally installed systems has been reduced to 5 per cent. since April 2000, and private companies can apply for enhanced capital allowances (tax refunds) for installing this technology, among other energy efficiency and energy saving measures.