There are a lot of unanswered questions out there so congratulations on finding a
website that gives you just the facts in an easy to understand format without the jargon. We hope you find
the information useful.
Feed In Tariff
Explained: As a direct result of government legislation in carbon emission reductions for the UK, home owners and
landlords now have a fantastic opportunity to improve the energy
efficiency of their properties, providing themselves or theirtenants
with free electricity and get well paid for doing so for the next twenty-five years.
In April 2010 the
government launched their latest and most generous incentive scheme to encourage us all
togenerate electricity on a local
small scale basis, the technical term is Micro-generation. To summarise, you can
nowbe paid for generating
electricity using amongst others, wind turbines, mini hydro-electricity systems and Solar
PhotoVoltaic (PV) Panels. The
electricity generated is free to use for the occupier of the property, any excess is fed
backinto the main electricity
national grid system.
These incentives
are commonly referred to as Feed in Tariff's (FiT), a title that has provoked the widely
heldmisconception that the system
owner is only paid for the electricity they generate when fed back to the national
grid.This is most definitely not the
case. The truth of the matter is that the owner of the Micro-generation system is
paidfor the electricity they
generate whether they use it or not. It is this significant point that is exciting the interest
ofhome owners, Housing Associations,
Councils and even Hedge Funds and should be of great interest to everyone!
Unless you have a
fast flowing river in your garden or a have property in a particularly windy area, Solar
PhotoVoltaic (PV) Panels (not to be
confused with Solar Thermal Panels that generate hot water), are likely to be the
mostaccessible form of small scale
electricity generation for the majority of people. Fortunately, this type of system
alsoattracts the most generous of
the Feed in Tariff’s (FiT).
Providing the
system is fitted to an existing property (not fitted as part of a new-build, which has a different FiT)
andhas a maximum or peak capacity to
generate 4 Kilowatts (KWp) of electricity per hour, the FiT payment is 41.3
penceper unit of electricity
generated. In addition, some energy providers automatically assume you will feed 50% of
theelectricity you generate
back to the national grid (whether you do or not) and pay a further 3 pence per unit for
halfof the electricity
generated.
As an example, a
well sited system with a maximum generation performance of 2 KWp per hour, would be
expectedto return approximately £750
in the first year payment, plus deliver reduced carbon emissions of 0.9 tonnes.
Allpayments are guaranteed for
25 years and increase in line with the Retail Price Index. Additionally, where
theinstallation takes place on
your own home all income from the FiT is Tax free and you benefit from free
electricity.
If you have
concerns about how the state will continue to fund this, the answer is that they don't. All payments
aremade by the energy companies who
are legally obliged to do so under the 2008 Energy Act. The scheme itself islikely to be around for some time, it’s expected that by 2020, over
750,000 small scale electricity installations will besupported in this way. Even if it were withdrawn due to
excess demand, once registered, your FiT is guaranteed topay for its full 25 year period.
Although the
scheme has only been in place since April 2010, people are catching on quickly as to how lucrative
theFiT can be. According to the BBC,
research suggested, in excess of 2,250 Solar PV Panel Systems were fitted inAugust 2010 up from 1,400 in June. There are companies offering to
fit Solar PV Panels for free but they take theFiT and you simply get the free electricity. Housing Associations and Councils are actively
looking at fitting thesesystems to
their existing housing stock in view of the financial benefits. We understand that City Hedge Funds
arelooking at using the scheme as a
form of investment.
For more
information on solar or photovoltaic systems, please go to this page:-Photovoltaic
Systems
We like to choose
a video for maximum effect and visual entertainment. The following, very short film gets straight to the point
about how we must harness the energy from the sun in order to save our planet and breathe cleaner air. We hope you
enjoy it and would appreciate any comments you feel may improve our website using the comments box
below.
Renewable, sustainable and free energy from the sun's
rays which we have the technology to harness. It doesn't pollute the atmosphere and therefore has the
capability to save our potentially doomed planet. A great summary for "solar panels information".
You can find out more by going to www.DoItYourselfEnergy.com.