Problems with solar panels and feed-in tariff

The buyer’s claim

The buyer claimed the builder provided incorrect sales and marketing material as the solar panels had not been registered to the grid and they had not been provided with the required Distribution Network Operator certificate.

The buyer also claimed the builder provided poor customer service and requested the builder apologise, expedite the registration process, provide the required certificate and ensure the solar panel system was activated and functioning as originally specified.

The builder’s defence

The builder stated the solar panels had been commissioned and the buyer had been receiving free electricity but that there was no guarantee of income since feed-in tariffs had been eliminated prior to completion of the home.

The builder subsequently registered the solar panels to the grid and issued the required certificate but recognised some shortfalls in its customer service.  The builder offered £400 compensation which the buyer rejected.

The adjudicator’s findings

The adjudicator found no evidence that the builder provided incomplete or intentionally false or misleading statements but noted the builder’s admitted failure in customer service response times. 

The adjudicator also noted that as none of the solar panels at the development had been registered the buyer had been unable to enjoy any benefits from having the panels.

Furthermore, the solar panel information was missing from the welcome pack which led to the buyer losing the opportunity to create further savings from the solar panels.

Learning points

For buyers:

• Solar panels can bring real benefits but it’s important to understand exactly what is being provided and whether any additional steps will be needed to activate the panels or start exporting energy.
• Your builder should include information about your solar panels, including any tariffs they may be linked to and any fixed agreements. If you don’t receive this information or if you have any queries, ask your builder and keep a written note of responses to refer back to if needed.

For builders:

• Solar panels are becoming more commonplace but it’s likely that in many cases, this could be a buyer’s first experience of owning them. It’s essential to provide buyers with relevant information that will enable them to make an informed decision about their home purchase as a whole, including details of solar panels, how they work and any certification requirements.
• Your home warranty body will usually require solar panels to be set up and activated prior to completion, and you should inform your buyer about any existing arrangements with energy providers to export energy.
• Don’t wait for your buyer to ask questions about solar panels. Explain how to monitor and manage the panels as part of their home demonstration, and follow up with copies of any guarantees, certificates and operating instructions. Failure to do so could be a breach of the Code.