Whocrazieryouorme: Making Money Uk

Chris Huhne will lead a review into the use of feed-in-tariffs (FITs) in the UK in a bid to end subsidies going to large scale solar farms rather than small scale users.

The Secretary of State for Climate Change acknowledged the successful take-up of photovoltaic panel in Britain so far since the FIT scheme began last year.

Since then 21,000 installations have been registered, with the majority of these apparently having domestic applications.

However Huhne highlighted his concerns that the subsidies were making their way into the pockets of big businesses rather than to small scale users.

“I have become increasingly concerned about the prospect of large scale solar PV projects under FITs, which was not fully anticipated in the original scheme and could, if left unchecked, take a disproportionate amount of available funding or even break the cap on total funding,” said Huhne.

“Several large solar installations have already received planning permission. Industry projections indicate there could be many more in the planning system.”

Huhne thinks a procedural review may be necessary to address a number of problems.

“In light of this uncertainty and the risk that such schemes could push FITs uptake off trajectory and may make the Spending Review savings difficult, I have decided to end the potential for damaging speculation and bring forward the review of the Scheme to look at ways of correcting these early teething problems.”

“I recognise that industry needs a long term plan for investment in which it can have full confidence,” he continued.

“Today I am announcing a comprehensive evidence based review in to the FITs scheme and, to provide further certainty to the renewables industry, I can confirm that we also hope to publish next month measures to support renewable heat within the envelope agreed at Spending Review."

The review of FITs will be completed by the end of the year, with tariffs remaining unchanged until April 2012, unless there is specific need for greater urgency.

Some say Huhne may be rather hasty in tinkering with FITs, including Ash Sharma, Research Director at IMS Research.

Talking to TechEye, Sharma says: “While it may mean that installation demand is pulled forward, with many businesses seeking to invest before any changes are implemented, in the long term it may damage both the commercial and residential markets rather than provide any benefits.”

“The government are perhaps concerned that the market may take off to quickly, alongside of course wanting to save money, but this may be too early in the UK market’s growth. In fact the British market was only around one percent the size of the German one last year, having only had a subsidy programme for eight months.”

Furthermore, the UK is likely to fall even further behind other EU countries.

“We are way behind Germany of course, but we are also falling a long way behind many other countries such as Italy, France, Belgium, Greece and more.”

“This could in fact have a negative effect on the economy rather than helping it, with jobs for installations and distributors going if there is no demand for panels due to unattractive prices.”

“For example if the big businesses are not attracted to countries large scale solar plants then that will have a knock on effect on many others area, such as making component prices more expensive for residential users, which of course consequently means that there is less demand to have panels installed.”

Looks like it is all coming together for mobile NFC, the technology that lets people buy things by simply waving a mobile handset at a point of sale. After years of trials, Orange and payment card provider Barclaycard have finally announced that this summer they will start to roll out a commercial, nationwide NFC service across the UK. But don’t think that means if you’re on the Orange network in the UK that you will be able to use the service from the word go…

In what Orange is hailing as a “revolution” in payments, this will be the UK’s first commercial NFC-based mobile payment service, initially covering some 42,500 stores, including the chains Pret a Manger, EAT and Little Chef, with Co-Op markets coming in the future. The service uses PayPass technology from MasterCard with NFC technology from Gemalto at the terminal end and comes two weeks after it emerged that Orange’s head of NFC, Mung-Ki Woo, was leaving for MasterCard.

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But although Orange is promoting the service going live this summer, this won’t actually mean that if you are an Orange customer—smartphone or otherwise—that you will be able to wave your handset at the nearest Little Chef for a cold beer at the first sign of hot weather.

Since this will be a SIM-based NFC service, Orange will still need to roll out upgraded SIMs; and once you have one of those, you will need to download the relevant apps in order to be able to use them. And it seems the services won’t be usable on all devices, either. Nokia (NYSE: NOK) has rolled out NFC capability in select handsets, and Google’s Nexus S is NFC-enabled, but otherwise there have been few signs from the handset makers of actually building this into their devices en masse—although plenty like to speculate about it.

There’s not much detail yet on how, exactly, this will work in the UK. Orange says in the release that it is “working with the world’s leading handset manufacturers” to enable the service. We have reached out to the company to clarify exactly what that means more specifically.

What you will likely be able to use for the service in the early days is a Barclaycard credit or debit card, if you have one—Barclaycard says that today there are 11.6 million contactless credit and debit cards already in circulation in the UK—“of which over 10 million have been issued by Barclaycard and Barclays.” You will likely also be able to download an app on your phone to link up with that card, but this, of course, is not the same thing as waving a handset.

Nevertheless, the move is a sign of how serious operators are about making sure they are not locked out of making money in the next generation of mobile services. Mobile operators have long been pushing for NFC services that reside on a customer’s SIM card, rather than in the device itself. Their claim is that this provides a more secure solution—although it will also mean that operators can be more involved in customer “ownership” and account management, and all of the revenue generation that will entail. This new service is no exception: the NFC service from Barclaycard and Everything Everywhere will be SIM-based in order to provide a “single point of customer contact” says Orange.

The news comes on the back of several other NFC advances: the next generation of Android devices are also getting equipped for the technology; and Apple is reportedly putting NFC into its next-gen iPhone. Among operators, Orange is also driving an NFC rollout in France; and in the U.S. Verizon, AT&T (NYSE: T) and T-Mobile have formed the Isis JV to also look at how they can roll out the technology.

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Thursday, February 17, 2011

Making Money Uk

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