The scale of the renewable energy challenge facing Britain was revealed yesterday by figures showing Britain installed about 270 solar photovoltaic (PV) systems on houses in 2007, compared with 130,000 in Germany.

Britain is the worst performer behind Malta and Luxembourg in the EU in its use of renewable energy and produces only 2% of its energy in this form. Last month the EU said Britain must raise that share to 15% by 2020.

Malcolm Wicks, the energy minister, acknowledged last week that Britain needs a “revolution” in green technologies and insisted the country was showing “leadership” in the area.

But a leaked document shows that Department for Business’ grants for households to install solar, wind or hydro-power would be underspent by £10m over the next year. That is more than half the £18m allocated for the three years to March 2009.

The low carbon buildings programme was cut in May when the scheme was reformed, leading many people to give up trying to install renewable technology. For solar PV, the maximum grant was cut to £2,500.

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Only 2% take-up? Come on London.. you can do better than that!