» The Government backed Feed-in Tariff

The Feed-in Tariff is a Clean Energy Cash-back.

Under the scheme licensed electricity suppliers will be obliged to pay homeowners 43.3p for every unit (or kWh) of electricity they generate, even if they use these units themselves on site!

The Government recently annouced that on 1 April 2010 it will introduce the Feed-in Tariff scheme to incentivise homeowners to become self-generators of electricity, as opposed to simply consumers.

In addition to being paid for Generation, a homeowner will also be paid for every unit of electricity they Export back to the national grid. This will attract a minimum of 3p per unit (or kWh) and will be paid on top of the 43.3p.

  • The Tariff attaches to your property for 25 years so it will benefit from the Generation Amount for this entire period.
  • The Tariff is linked to the Retail Price Index (RPI) and is inflation proof. Every year the government will adjust the 43.3p in line with inflation.
  • FiT income paid under the Generation Tariff will be exempt from Income Tax and will expect to provide an 8-10% return.
  • All FiT payments will be made by your Electricity Supply Company.
  • Early adopters who install solar PV panels will get the full FiT rate. There is an inbuilt degression into the scheme meaning later adopters will only receive 37.8p per unit (or kWh).
  • To qualify homeowners must ensure that the installation is carried out by an MCS Accredited Solar Installation Company like House Choice.
  • Solar PV cells are not affected by the cold. In fact, like all electronic devices they operate even more effectively in cooler temperatures.