27 Feb Solar Feed in Tariff (FiTs) explained.
The UK Government has created a system whereby you can get paid for the electricity you generate with your solar panel array.
About the Scheme
The Feed in Tariff (FiTs) scheme guarantees a minimum payment for all electricity generated by the system, as well as a separate payment for the electricity exported to the national grid. These payments are in addition to the bill savings made by using the electricity generated on-site, we will automatically provide you with a Feed in Tariff (FiTs) form, which you can submit to your Energy supplier.
Once you have a microgeneration technology installed you should experience a monthly reduction in your electricity bill and then receive an income from your Feed-in tariff provider (Energy supplier). How the scheme works
You will benefit from the FiTs in 5 ways:
• Generation tariff – a set rate paid by the energy supplier for each unit (or kWh) of electricity you generate. This rate will change each year for new entrants to the scheme, but once you join you will continue on the same tariff for 20 years in the case of solar electricity (PV).
• Export tariff – you will receive a further payment from your energy supplier for each unit you export back to the national grid, that is when it isn’t used on site.
• Energy bill savings – you will be making savings on your electricity bills, because generating electricity to power your appliances means you don’t have to buy as much electricity from your energy supplier. The amount you save will vary depending how much of the electricity you use on site.
• Cost of electricity per kWh is around 13 pence so the more power you use while you are generating the better saving you will see. “Use it rather than lose it”
• Smart Meters are due to be installed throughout the UK, but until then, you will get paid for exporting 50% of the electricity you generate regardless of how much you actually export.
Other benefits include:
• Receive an return on your investment tax free, get paid for every unit of electricity produced, significantly reduce you energy bills, protect yourselves from rising electricity prices and increase property value and rental yield.
• Co2 Reduction, reduce your carbon footprint, reduce your reliance upon fossil fuels and generate you own clean green electricity
• A typical 2.3 kWp system will save around 1040 kg/Co2 per annum
• Meet planning targets such as – building regulations / Part L, Carbon reduction commitments, BREEAM (BRE Environmental Assessment Method) and the Code for Sustainable Homes