A new study indicates that solar farms in the UK are facing severe delays and potential cancellations due to a combination of inflation, supply chain disruption, interest rate increases, and grid connection delays. This is hindering the government’s target of a fivefold increase in solar energy capacity by 2035.
Huw Evans, an Energy Consultant and former Head of Global Economics for BG Group, suggests that in the current economic climate, these solar farms may not be viable for the near future. Despite increased prices offered by the government to encourage renewable energy, solar developers are still struggling to make a return on their investment, especially considering the delays in connecting to the national grid.
Challenges for Solar Power in the UK
The study also points to data from the International Renewable Energy Agency (IRENA), which shows that the UK’s climate makes solar energy development less productive compared to other countries. Additionally, grid connection delays are causing significant setbacks, with thousands of projects awaiting grid access and long wait times before electricity production can be sold.
Evans emphasizes that these challenges are creating uncertainties for investors and financiers, making the viability of solar energy investments in the UK doubtful at this time.
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