**IMPORTANT ANNOUNCEMENT**
Changes to FiT Rates Announced - 25th January 2012
The court of appeal has today upheld a High Court ruling that Governments cuts to the Feed-in Tariff were unlawful. DECC now intend to appeal this ruling, however if this is unsuccessful it will mean that 3rd March 2012 will see the start of the 21p rate for Solar PV and not 12 December 2011 deadline as originally stated.
For further information regarding the Feed-in Tariff ruling follow links below.
Click Green
Business Green
Changes to FiT Rates Announced - 31st October 2011**
The government have published proposals to introduce new Feed-in Tariff rates for the installation of PV systems with a total installed capacity of 250kW or less. It has been proposed that these tariff changes are implemented from April 1st 2012 but will apply to all solar pv installations with an eligibility date of 12th December 2011 or after.
Summary
Reduced rate of 21p/kWh for generation tariff for PV installations with a total capacity of 4kW or less. THis has been designed to provide householders with approx 4.5% rate of return
New energy efficiency requirements from 1st April 2012
What does this mean for your installation, what tariff will you receive?:
* Before 12 December 2011 - Higher tariff rate for 25 years
* 12 December 2011-31st March 2012 inclusive - Higher rate until 31st March 2012, thereafter the reduced rate for remainder of 25 years
* 1st April 2012 onwards - Reduced rate for 25 years.
What does eligibility date mean?
The date the FiT licencee receives consumers request for FiT registration of a commissioned installation.
For further information on this announcement please see:
Guidance Notes
Energy Savings Trust
DECC
APRIL 2011
With the introduction of the Feed-in Tariff (FiT) in April 2010, home owners, commercial property owners and communities installing solar PV are paid for all the electricity they generate, including the electricity that they use. This ‘clean energy cashback’ for retro-fitted installations up to 4kW is 43.3 pence* per kilowatt hour (p/kWh), for example, and is in addition to the savings on electricity bills.
The Department of Energy and Climate Change has introduced the Feed-in Tariffs as part of the UK Government’s
drive to reach the target of 15% of energy coming from renewables by 2020.
If you are eligible to receive the FiT then you will benefit in 3 ways:
1. Generation tariff – a set rate paid by the energy supplier for each unit (or kWh) of electricity you generate. This rate is set as follows until 31st March 2012 after which it will reduce each year for new entrants to the scheme, but once you join you will continue on the same tariff for 25 years in the case of solar PV.
Any system up to 4kW on a new build property = 37.8p per kWh pay-back
Any system up to 4kW on an existing property = 43.3p per kWh pay-back
Any system 4-10kW new build or retrofitted = 37.8p per kWh pay-back
Any system 10-100kW new build or retrofitted = 32.9p per kWh pay-back
2. Export tariff - you receive a further 3p/kWh from your energy supplier for each unit you export back to the electricity grid, that is when it isn’t used on site. Domestic FiT installations are likely to have their export estimated at 50% in most cases until smart meters are rolled out.
3. Energy bill savings – you make 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.
Clean Energy Cashback
As an example, a typical domestic solar PV system, with an installation size of 2 kWp could earn around:
- £732 per year from the Generation Tariff
- £26 per year from the Export Tariff
- £115 per year reduction in current electricity bills.
This gives a total saving of around £870 per year and assumes 50% of the electricity generated is exported. The figure will vary depending on how much is exported. The installed cost of a solar PV system is around £4,500 + VAT (5% for retrofit) per kWp.
Please contact us for further details on 0845 301 3121 begin_of_the_skype_highlighting 0845 301 3121 end_of_the_skype_highlighting
See also more on the Renewable Heat Incentive (RHI)