Feed-in Tariff
The feed-in tariff scheme is administered by Ofgem who maintain a register of all installations and publish a guide to how the administration of the scheme works.
The feed-in tariff is a scheme designed to incentivise home owners and others to invest in renewable energy such as a solar photovoltaic system by providing a high level of income from the energy generated by these systems. Under the feed-in tariff scheme, not only do you benefit from the savings you make by not needing to purchase your own generated electricity from the grid and selling any surplus, but you also get paid a fixed rate for all the electricity you generate even if you use it all yourself!
The UK Government is proposing to reduce Feed-in Tariffs (FITs) for new solar photovoltaic (PV) installations as part of their comprehensive review consultation. Find out more at the Department of Energy & Climate Change (DECC) website.
A reduced rate of 21p/kWh for solar PV installations of less than 4kW - tariffs will be introduced from 1st April 2012 and will affect all installations with an eligibility date on or after 12th December 2011. This tariff rate is designed to provide householders with a rate of return of around 4.5%.
The rate of income on existing buildings is determined by the size of the system and the current rates are detailed below:
| Band (kW) | Current generation tariff (p/kWh) | Proposed generation tariff (p/kWh) |
|---|---|---|
| <=4kW (new build) | 37.8 | 21.0 |
| <=4kW (retrofit) | 43.3 | 21.0 |
| >4 - 10kW | 37.8 | 16.8 |
| >10 - 50kW | 32.9 | 15.2 |
| >50 - 100kW | 19 | 12.9 |
Under the proposals, the new tariffs would apply to all new solar PV installations with an eligibility date on or after 12th December 2011. Such installations would receive the current tariff before moving to the lower tariffs on 1st April 2012. Consumers who already receive a FIT will see their existing payments unchanged, and those with an eligibility date on or before 11th December 2011 will receive the current rate.
Renewable Heat Premium Payment (RHPP)
The Renewable Heat Premium Payment (RHPP) is a UK Government scheme designed to help the domestic home owner afford renewable technologies such as Solar Thermal Hot Water. As the forerunner to the Renewable Heat Incentive (RHI) for domestic customers, this scheme ends on the 31st of March 2012. With the RHPP not only do you save on your energy bills, you can also receive a £300 grant from the Government.
Find out more at Energy saving trust.
This will provide a budgetary price for the various systems we offer.