Member Article

Rewnewables Stay Sustainable As Oil Price Falls

RENEWABLES STAY SUSTAINABLE AS OIL PRICE FALLS

Falling oil prices have failed to make a dent in the region’s booming interest in renewable energy heating.

According to Michael Wright, of leading installer Yorkshire Heat Pumps, conscience as well as cost is now a key driver.

Said Michael: “We are finding customers are continuing to look at the long term picture and are attracted by the green credentials of a renewable heating system – they believe in the sustainability and stability of renewables.

“The current price of oil is not proving to be a major deterrent to changing heating system – people recognise that the cost of oil is an unstable beast.”

Oil prices have been falling since the latter half of 2014, but there is uncertainty over how long this will last.

Said Michael: “The price of oil may be low at the moment, but historically it is notoriously volatile. Nobody knows for sure, but it’s not unreasonable to assume that the price of oil could rise just as quickly as it has fallen. Indeed we’re already seeing prices creeping up at the petrol pumps once again.

Customers looking for a renewable solution to their heating needs are generally thinking several years ahead - at a long term investment, but coupled with the long term benefit of significantly lower operating costs.“

Of course, there are many factors influencing the future of renewables when competing against oil, but, Michael added, it is worth remembering that governments and the EU have introduced policies committed to promoting renewables - and fossil fuels will not last forever.

Michael said: “The government’s Renewable Heat Incentive scheme is designed to help homeowners and businesses recoup the cost of changing from a fossil fuel system to a green heating solution for their home or business. Payments are made over seven years under the domestic scheme and 20 years under the non-domestic scheme, and although we are seeing tariffs start to come down as uptake increases, many people will see a healthy return as a result of making the switch to renewables.

“Whatever the price of fossil fuels, I predict renewables, by their very nature, will prove to be more stable and cheaper for the long term.”

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This was posted in Bdaily's Members' News section by Yorkshire Heat Pumps .