Energy storage and battery pioneer AceOn has joined an industry call for a change in VAT rules which penalise new technologies which will help drive down the UK’s carbon emissions.
And AceOn is also supporting demands for the Government to introduce a national incentive scheme to promote wider use of domestic energy storage – as it has with other green energy schemes.
AceOn – which has developed a unique Virtual Power Plant which stores domestic solar energy to make the most efficient use of it, cutting bills, emissions and fuel poverty – is one of more than 30 signatories to an open letter which calls for a fair deal for energy storage from the Government.
The letter which is signed by many of the leading national names in the energy and renewables industries, was developed by the Association for Renewable Energy and Clean Technology (REA). It says a thriving storage industry could enable the delivery of up to 86,000 energy sector jobs and boost UK manufacturing.
In the letter the coalition calls for:
Dr Nina Skorupska CBE, chief executive of REA, said: “Domestic energy storage is a key enabler for solar, heat pumps and EV charging in a smart home eco-system yet there remain challenges to deploying it at scale, including that such projects are not eligible for a reduced VAT rate, unlike other technologies, such as fossil fuel heating.
“Energy storage has so far not received any support from a dedicated Government incentive scheme, despite being acknowledged as a crucial building block for the energy transition and the UK achieving net zero. We believe energy storage should be included in the Government’s national package of stimuli measures, along with renewable energy technologies of all kinds.”
Richard Partington, managing director of Telford-based AceOn, said the company fully supported the coalition’s calls.
“There is no question that the introduction of 20 per cent VAT on home energy storage that was implemented in October 2019 has not helped the roll-out of this important renewable energy storage technology.
“This innovative technology and our Virtual Power Plant will play a huge part in cutting carbon emissions and tackling climate change and also help to cut the cost of living for many households across the UK through significantly lower electricity bills.
“We also feel incentives for homeowners to move to renewable energy technologies should apply equally so that the much-needed green revolution can take shape as quickly as possible.”
Pictured: Richard Partington
Businesses will get advice on energy-efficiency measures
Pioneering new grant scheme makes all the difference
Support from Barclays helps new venture to thrive
Businesses must prepare for tax changes
Young company wins nearly 50 clients in just two years
Products will be used in new power network
Barclays launches £250m financial support scheme
Business owners set to furlough staff during second lockdown
Work on Oswestry project is due for completion in September
Marches LEP sets out its plans for the coming year
Companies urged to take advantage of Telford VR suite
Sales increase for fabrication specialist thanks to new contracts
Building transformation is praised by expert judges
Hi-tech facilities are open to local businesses
Thermal insulation specialists see their team grow further