Feed-in Tariff Scheme
Over the course of a year, a solar photovoltaic system will save you money by reducing your electricity bill, and will earn you at least 24p for every unit of electricity that you generate on systems under 4kWp.
This revenue is known as the Feed in Tariff (FIT), which became available in Great Britain on 1st April 2010. Under this scheme energy suppliers have to make regular payments to consumers who generate their own electricity from renewable or low carbon sources. This means the initial capital outlay of purchasing a solar PV system is reclaimed much quicker.
The feed-in tariff only pays this increased rate for a set number of years, which for photovoltaic’s (PV) has been set at 25 years and is index linked. The FIT is set at 21p per unit for 25 years for sites registered before 31st March 2012.
Feed-in tariff rates will be paid for each unit of electricity generated even if it is used by the consumer. As well as this, any excess electricity can be exported back to the grid earning an extra 3p/kWh
Please find below an example calculation for a 3.96kWp system such as the one pictured above.
- A – Feed in Tariff – 3400 x 21p = £714.00
- B – Solar Used – 1700 x 14p = £238.00
- C – Electricity Exported – 1700 x 3.1p = £52.70
- A + B + C = £1,004.7 per annum index linked and guaranteed for 25 years.
Switch Solar is accredited as an installer with the Microgeneration Certification Scheme (NIC1697), the regulatory body for the renewable energy sector. Only companies registered through this scheme can apply for Feed in Tariffs for their installations. The MCS scheme also requires that only equipment tested and accredited to their high standards can be used in installations benefiting from FIT’s
