Feed in Tariff for solar panels
PV SYSTEMS ARE A GREAT INVESTMENT, EARNING UP TO 10% RATE OF RETURN.
Depending on you roof area, orientation, shading, electricity usage and other factors. Contact us for a budget quote and financial estimate for your project.
Until the end of June 2017 the Feed in Tariff (FIT) rates for systems up to 10kW are
All PV generation 4.04p/kWh (regardless of self use)
Export (assumed to be 50%) 4.91p/kWh
Of course the other important saving is displaced electricity which doesn't have to be be purchased, saving typically 15p/kWh.
These days the so called 'degressions' are on a planned basis for the generation tariff as follows:
July 1st 2017: 3.97p/kWh
October 1st 2017: 3.90p/kWh
So its always better to install sooner rather than later to get the highest tariff.
What is the Feed in Tariff?
HOW MUCH DOES FIT PAY?
Feed in Tariff is the financial incentive paid for the total generation from a PV system, regardless of whether you use all of the electricity in your own home. Up to 4kW, FIT pays 12.47 pence per kilowatt hour (p/kWh) of electricity generated, plus an extra 4.85p/kWh for electricity exported to the grid, with all payments being for 20 years, tax free and index linked.
IS IT A GOOD INVESTMENT?
Yes definitely! Whilst the there have been some recent much publicised reductions in the FIT, these have been more than matched by less well known, but massive, reductions in equipment costs, such that a PV system a better investment now than it was when FIT was first introduced in April 2010.
Its an even better investments for farmers and commercial property owners who can fit larger 10-50kW systems, earning up to a 20% return on investment.
What are Energy Performance Certificates
"DO I NEED AN EPC?
Since April 1st 2012 it has been a requirement to have an energy performance certificate (EPC) rating of 'D' or above before FIT can be claimed. We will arrange for this completely free of charge for home owners (++assuming you eventually go ahead with a PV system from us) via our recommended EPC provider SHINE Energy Services so this is not usually an issue if you are in a house with a cavity wall, loft insulation and a modern boiler.
If you have bought your house in the last few years you probably already have one. CLICK HERE TO CHECK YOUR EPC.
However from December 2012 there is an exemption from meeting the energy efficiency requirements of EPC Level D or above for community, school and further education colleges and projects by community organisations on non-domestic buildings. A ‘community energy’ project is one in which the generation or export is carried out by: 1) community interest company; 2) a co-operative society; or 3) a community benefit society.
WHAT RATING IS MY HOME?
If in an older house then please use this Home Energy Check tool from EST to estimate whether you are likely to achieve a D rating and send us the PDF results file. If you are estimated to be a D rating or above then we can proceed with a survey, quote and order and then issue you with your free EPC certificate, just before the installation. However if you are an estimated E or lower then you will need to have EPC survey and assessment to confirm exactly what rating you currently are so that SHINE and ourselves will advise on the best way to achieve a D rating, which may include low energy lights, loft insulation or a new boiler and/or central heating controls installed by us, prior to the PV installation.
You can get up to 37% of the cost of your PV system paid for under the Green Deal, which could include the cost of renewables, bundled in with other measures such as loft insulation or cavity wall fill. For further details of the scheme and how to get a Green Deal Assessment please click here.
A good web site for further details on FIT is fitariffs.co.uk.
If you want an independent calculation of the savings then please try the Energy Saving Trusts Cashback Calculator