The solar photovoltaic (PV) industry and biomass developers were given certainty on projects to be supported under the Government Renewables Obligation (RO) on 18 December.

In order to incentivise solar projects on buildings, building-mounted solar PV projects will receive higher rates than ground-mounted projects in an attempt to encourage the installation of solar projects at large factory or warehouse buildings.

The government also announced decisions that will ensure that the RO brings forward new biomass projects that are both cost and carbon effective. The support set out could unlock investment decisions worth £600m, creating around 1,000 construction jobs.

Edward Davey, Energy & Climate Change Secretary, said: “We want to see a healthy solar industry that grows in a sustainable way. That’s why our support levels reflect the fall in the cost of the technology.

“Biomass will make a significant contribution as we seek to increase the amount of cost-effective, low carbon renewable power in our energy mix. The support we are setting out will bring new investment into the economy and create new jobs.”

On solar, Greg Barker, Minister of State for Energy and Climate Change, added: “We have listened to industry about the need to differentiate support between building mounted and ground mounted installations and we have introduced two bands as a result.

“Our proposals for solar projects on commercial buildings will encourage businesses to consider solar PV as a serious option for meeting their power needs.”