The Feed In Tariff (FIT) WAS a government incentive that paid households and businesses to generate their own energy from ‘renewable’ sources. A new scheme has been proposed for export payments only as at 1st April 2019 but details have yet to be finalised. Accreditation requirements for Battery Storage systems may come under that legislation too.
Feed in Tariff (FIT) (pence per kWh) SCHEME CLOSED TO NEW APPLICANTS MARCH 2019
The full Feed in Tariff – FIT is only payable to properties with an Energy Efficiency Rating of ‘D’ or above. Otherwise the stand alone rate will be paid. Rates taken from the OFGEM 1st July 2017 https://www.ofgem.gov.uk/system/files/docs/2017/07/degression_calculation_july_2017.pdf
PLUS EXPORT TARIFF = 5.24p per kWh with effect from 01-04-2018.
For systems smaller than 30kW the export tariff is paid at 50% of the solar power generated. Systems above 30kW must have an export meter fitted and the export tariff is paid on the actual amount exported. Get a FREE quote now! Notes:
A rate can only stay the same for 3 reviews without automatic degression being applied irrespective of if the installation quotas have been achieved (5).
1 Once a feed in tariff is in payment the tariff rate is index-linked for inflation
2 ‘New’ means where installed on a new building before first occupation
3 Retrofit’ means installed on a building which is already occupied
4 ‘Standalone’ means not attached to a building and not wired to provide electricity to an occupied building
5 These rates will be reviewed 1/4ly .Once a quarters installations targets are met installations will be held back for next 1/4’s tariff rate. Cap limit to 30.06.16 = 76.96 MW PV<10kW; 25.72 MW PV 10-50kW; 14.5 MW PV > 50 kW; 5 MW Standalone PV. Ofgem 1st October 2016 Version
Once a system has been registered, the levels are guaranteed for the period of the feed in tariff and index-linked. For systems registered in future years, some tariff levels will be adjusted to account for the anticipated reductions in system prices. It is expected with technology advances and increased demand prices will fall. For household customers producing energy mainly for their own use, the tariff income is also free from income tax, businesses producing energy should take advice on any tax implications from their tax advisors.
Also be aware that if you have multiple installations the rates may also be different. Please contact us for more details.
The feed in tariff levels are index-linked so they will track the retail price index (RPI).
How long are the Feed in Tariffs paid for?
– 20 years. See the FIT payment table below. Scheme in place for new applications until 31.03.19
Is the Feed in Tariff fixed for this whole period?
Yes – once you start at a given tariff, it is guaranteed for the full period plus any indexation as a result of the change in the RPI.
How does the index-linking work?
Each year the set level of the generation and export tariffs will be adjusted pro-rata to the retail price index. The Tariff administrators (OFGEM) will publish the updated tariff levels.
Do the Feed in tariff levels ever change?
For those who are already registered, tariffs will only change in accordance with the index-linking described above.
For systems installed in the future the FIT is reviewed regularly and changed in accordance with legislation.
Can everyone receive the Feed in Tariff (FiT)?
Yes, so long as all the following rules have been met; the system must:
- have a capacity of less than 5 Mega Watts
- be one of 4 approved types, Solar PV, Anaerobic digestion, Wind, Hydro or Domestic scale micro CHP units
- have the appropriate accreditations (for all parts, materials and installer), either MCS (less than 50kW) or Roof-fit (systems over 50kW but less than 5MW)
- have an approved total generation meter (which would be supplied as part of our installation)
- be connected to the Electricity Network (if the system is >30kW, there must also be an export meter in place)
This information is issued errors & omissions excepted.