Feed In Tariffs
Feed-in tariffs for solar PV systems
The Feed In Tariff (FIT) - also known as the Clean Energy Cash-back Scheme
Under the FIT scheme, all owners of eligible solar PV systems are paid a rate for every unit (or kilowatt hour - kWh) of electricity that they generate. This “generation rate” is paid on all electricity generated by the system even if it is used on the site. An additional “export rate” is paid for any surplus electricity that is exported to the national grid. Owners also benefit from savings on their electricity bill as a result of the electricity they no longer need to buy.
The tariff rates payable for electricity generated by eligible solar PV systems are set out in the table below:
| Solar PV Systems |
|
Rate paid from 1st April 2012 |
|---|---|---|
| Tariff paid for 25 years (rates from 1st April 2012*) | ||
| 0 - 4kWp retrofit | B)21.0p | |
| 0 - 4kWp newbuild | B)21.0p | |
| 4 - 10kWp | B)16.8p | |
| 10 - 50kWp | B)15.2p | |
| 50 - 150kWp | B)12.9p | |
| 150 - 250kWp | B)12.9p | |
| 250k - 5MWp & stand-alone | B)8.5p | |
| Export payment | ||
After installing and commissioning a new PV system, the accredited installer will register it with Ofgem and issue an accreditation certificate to the owner. This allows the owner to enter a 25 year Feed-in Tariff (FIT) contract with any electrical utility company. The FIT rate is fixed from the commissioning date and will rise every year during the lifetime of the tariff (subject to retail price index linkage).
• The additional rate payable for exported power is currently 3.1p per kWh in all cases.
• The feed-in tariff payments are made to the owner of the system by licensed electricity suppliers.
• Feed-in tariff payments for domestic properties are exempt from income tax.
