AMBITIOUS plans to install thousands of solar panels on Winchester roofs are set to be scrapped today (Thursday).

The city council is expected to drop the multi-million pound scheme, claiming the financial benefit is much lower than expected.

It was thought that the scheme could be implemented at no cost to the council through a “roof-rent” model, using a commercial company to pay for the installation and maintenance of the panels on some 1,000-1,500 homes.

The company would then receive a government feed-in-tariff (FIT) incentive over a 25-year period, but after months of negotiations, the council have been unable to secure a suitable tender.

The scheme was also facing a race against time as the FIT incentive is to be reviewed in April, 2012,when it will probably be reduced.

But it is highly likely the council will drop the idea when the cabinet (housing) committee meets today.

A council spokesman said: “The prices that came back from our tender were not what we were expecting. In fact, they were four times less than what we were thinking we would receive, which is quite a significant difference."

For more on this story see today's issue of the Hampshire Chronicle.