Announced last week was the level of subsidy to be paid for people with micro-generation installations on their homes – solar panels, wind turbines etc etc. There are some pretty generous payments up for grabs all designed to give a return on capital of 8-9%.

It could be argued that its a way for people with some spare money to make a profit at the expense of people who dont have spare money as the funding for the payments will be applied to eveyones fuel bills. This point of view was the one I reached after reading the news articles at the time. Another view that I hadn’t considered is given by the Adam Smith Institute which is that the government are interfering in the market for micro generation and basically wasting money on expensive technologies.

Do go and read the article and have a think for yourself.