After Energy and Climate Change questions yesterday, several commenters wondered if the government might be about to backtrack on the swingeing cuts in feed-in-tariffs that were announced recently. MPs on both sides of the house had certainly been very vocal in their demands on behalf of their constituency energy companies and there was scarcely a voice heard in support of the proposals. MP after MP demanded that FiTs be retained for renewables operators. Meanwhile, Aberdonian MPs wanted cash for North Sea oil operators as well. Pressure of the FiTs front continues today.
It's a vicious circle of course and the government risks getting generating a spiral of subsidy, with money having to be thrown at all market participants simply to keep them afloat.
This is going to be a test of Cameron's resolve. Is he going to play the Conservative, and put the consumer interest first, or is he going to cave into the producer interest?
We watch with interest.