Suppliers of commercial photovoltaic installations can finally continue conducting their business.

Suppliers of commercial photovoltaic installations can finally continue conducting their business thanks to new feed-in tariffs issued by the government after a nine-month delay.

The feed-in tariff (the price paid by Enemalta to buy electricity from households) issued by the Energy Ministry replaced the tariff issued in August, which expired on September 30, 2013.

Since the beginning of October, suppliers had no choice but to issue quotations and explain their product in more detail.

Without a feed-in tariff, with which companies considering investing in PV panels could calculate their return on investment, the suppliers could not conclude any deals as firms were reluctant to take a leap in the dark.

The new feed-in tariff is applicable until the end of April 2015, although the price will change from the beginning of November.

Between May 1 and October 31, those providing electricity to Enemalta will receive 16c5 per kilowatt-hour or 16c if the installation has a capacity greater than 40 kilowatts.

Between November 1 and April 30, 2015, the price per kilowatt-hour goes down to 15c5 and 15c.

The maximum units any system can supply Enemalta is capped at 6.4 million.

Feed-in tariffs apply to those who do not benefit from a grant.

Contacted by The Sunday Times of Malta, several suppliers were outraged that the government had waited so long before it issued the new rates.

Companies were thinking of closing down and firing all employees because sales dried up

“We have been almost idle for nine months. I am aware of companies that were thinking of closing down and firing all their employees because sales dried up.

“Doesn’t the government know we had people investing in this business and there are companies considering investing in this green energy which will also help Malta reach its renewable energy targets?” a major supplier asked.

He complained that sales had been reduced to “zilch” because of the lack of a known feed-in tariff that could be offered to potential investors.

Another supplier, who also spoke on condition of anonymity, confirmed the past months’ hardships , adding the lack of a scheme enticing such investments was making matters worse for them.

A €5.5 million scheme that Malta Enterprise suspended last August was never relaunched.

The programme, funded through the European Regional Development Fund, was meant to provide financing for commercial enterprises to invest in power-saving measures and alternative energy sources.

Through it, eligible enterprises could have received part finance on PV installations.

The scheme ran into difficulties when only five suppliers were chosen from the 40 that had originally applied for accreditation through Malta Enterprise.

Malta Enterprise had cancelled the scheme again, this time because of “technical problems in the pre-selection of suppliers”.

The same scheme had been previously suspended in 2012 following a police investigation into financial irregularities.

On the other hand, sale of domestic installations were doing well, with several families opting to utilise the unused space on the roofs to generate electricity and get something in return.

mxuereb@timesofmalta.com