VAT move on renewable energy welcomed by AceOn
Leading battery and energy storage pioneer AceOn today gave a cautious welcome to Chancellor Rishi Sunak’s Spring Statement.
The Telford-based company said the Chancellor’s move to scrap VAT on renewable energy products was a ‘good starting point’ but called on the Government to be more ambitious in its support of green technology.
The Chancellor revealed that he is removing the current VAT levy on some green products such as solar panels and heat pumps for the next five years.
AceOn Energy managing director Richard Partington said the move was welcome – but needed to be backed up with a raft of further measures to support the renewable energy sector.
“We have been calling for the axing of VAT on renewables ever since it was increased in 2019.
“With prices for conventional energy spiralling out of control and a growing realisation that we are in the last chance saloon as far as climate change is concerned, this is long overdue but still very welcome news.
“But the Chancellor cannot now sit back and think he has done everything he can to drive the uptake of the clean, renewable technologies which will help this country address the climate change crisis.
“There was no announcement of new, large-scale energy spending or a windfall tax on fossil fuel companies, which would help move the needle firmly in favour of the green economy.
“There needs to be more action to make the installation of renewable energy an integral part of housing policy – both in new and existing homes. Intelligent use of incentives to help consumers and businesses make the switch from fossil fuels is vital if we are to achieve our zero carbon targets.
“If the Chancellor is serious about reducing energy bills for homes and businesses, he needs to do more to encourage uptake of battery storage. This is a clear and effective way to make energy more sustainable and drive down bills for years to come.
“We would also like to see greater support for our social housing sector so that housing associations and local authorities can invest fully in the new, green technologies which will provide clean power for generations to come, help tenants lower their bills and also start building the national energy security which we so urgently need in light of the current situation in Ukraine.”
AceOn has just launched an exclusive partnership with challenger OFGEM-regulated energy supplier Rebel Energy to deliver lower bills for social and affordable housing tenants through a pioneering system which captures solar energy and intelligently stores it for use when the tenant needs it.
“Through our partnership we can offer local authorities and housing associations a green deal which encourages investment in renewable power to meet carbon reduction targets, while lowering household bills and providing an additional revenue stream for the landlord,” Richard said.
“This sort of win-win-win innovation is exactly what is needed if this country is to hit its Net Zero targets and help prevent millions of people slipping into fuel poverty.”
AceOn has over 30 years’ experience in the design and manufacture of custom-built battery packs and the distribution of industrial and consumer batteries to the worldwide market. The energy division provides a training, service and distribution centre to offer a full turnkey solution for residential and commercial battery energy storage systems.
The group has built a reputation as being specialists in solar and battery technology, particularly the development of bespoke, custom-built battery packs.
For more information about the AceOn group visit https://www.aceongroup.com/