For the latest news on Feed-In Tariff changes please click here
The UK Feed in Tariff scheme was introduced in April 2010 and has since been the driver for huge changes in the UK PV market, with regional industry growth of up to 200% seen in the past year.
Traditional rates of return for power generated by a solar PV system have been low to non-existent, via the ROC (Renewable Obligation Certificate) programme since 2002. This all changed in 2010, closely following the model used in a growing number of European and other Nation and Federal States. Although the first feed-in-tariff was developed in the USA in 1978, it was not until the German RESA Act in 2000 that the market really started to see growth in Solar PV on an unprecedented scale.
With the UK launch of the Feed-inTariff for PV generators in 2010 last year, the market has grown very significantly.
The recent government review of the Feed in Tariff resulted in reduced tariff rates for solar PV installations over 50kW installed capacity. The rates as of 1st August 2011 for new entrants into the FiT scheme are set out in the table below
Size of PV system |
Installations registered before 31st March 2012 will receive the following Feed in Tariff rates until 31st March 2012 (p/kWh) * |
<4kW (new build) |
37.8 |
<4kW (retrofit) |
43.3 |
4 - 10kW |
37.8 |
10 - 50kW |
32.9 |
50-150kW |
19.0 |
150 – 250kW |
15.0 |
250kW – 5MW |
8.5 |
Off Grid Systems |
8.5 |
FiT Specialists
Good Energy is the UK’s 100% renewable electricity supplier and was founded over a decade ago with one clear purpose – to make a difference to climate change.
It’s as true to that today as it was when it began.
With its innovative approach, Good Energy has already effected real change in the energy market.
It now has 26,000 customers and supports nearly 2,000 independent renewable generators spread across the country. Its aim is to help the UK on a path to a 100% renewable future by making energy a visible part of the local community and reconnecting people with its the source.
Good Energy believes that if people understand where energy comes from they will value it more and use it less.
Click this link for for more information about generating renewable energy with Good Energy.
This demonstrates that the payback from a PV system is now a highly viable investment.
Indeed the target of the FiT legislation is to provide a return on investment of between 5 and 8 % per annum for the duration of the 25 year feed-in-tariff agreement. Many of our customers have reported even higher returns on systems installed since April 2010 – see our Customer Feedback and Case Studies.
The UK government is trying to encourage the early adoption of PV systems as widely as possible, by effectively dis-incentivising waiting until next year, or thereafter. The full Feed-in Tariff rates will be available for new installations in the first two years, and these initial rates will then be reduced each year thereafter by 7% or more - for NEW installations only.
Once a system is installed, however, the rates received will NOT be reduced; any given installation will continue to receive the initial rates that were offered at the time of installation, guaranteed for 25 years.
Obviously, the larger the system, the better the return will often be, thanks to economies of scale. Clients procuring our largest arrays can expect a return on investment of somewhere around 10-12% per annum, guaranteed for the warranty period of the panels themselves – 25 years. This represents a phenomenal change in fortune for owners of PV systems and those looking to fit the technology
First review of Feed-in Tariffs
On 7 February 2011, Chris Huhne announced the start of the first review of the Feed in Tariffs (FITs) scheme for small scale low carbon electricity generation. The review will be completed by mid-2011, with domestic and smaller array (<50kWp) tariffs remaining unchanged until April 2012 (unless the review reveals a need for greater urgency).
This unexpected review of the Feed in Tariff also has the aim to potentially limit the eligible system size to 50kWp.
We feel that although this limit should be much higher – more towards 250kWp – but there is some sense to limiting any outpouring of UK tax and revenues to overseas investors, by reducing markedly the incentives offered for vast solar arrays, particularly on greenfield land, thus soaking up the money which is intended to benefit UK householders and business owners.
Try our Feed-In Tariff Calculator to see what you could save!
The key points are:
- High rate of return when compared to bank and building society base rates
- Ownership of your investment – it cannot be frittered away.
- Higher home resale value and increased Energy Assessment rating.
- Security of Energy Supply (when fitted with auxiliary battery storage)
- Security against spiralling energy prices rises – effectively insulating PV generators from electricity market forces.
- Year-on-year carbon dioxide savings
Please note that prices used by our Feed in Tariff calculator are averaged over a varied range of different solar modules and as such are indicative prices only and not our published sales price list.
Please also note that whilst Solarsense UK Ltd has taken every care to accurately portray the figures and scenarios as we see them, our information is reliant on 3rd party sources and is taken in large part from the DECC website. This information is provided in good faith for information only and we cannot accept responsibility for financial planning conducted on the basis of these figures. You are advised to seek financial advice if you are planning to use critical savings to invest in a PV array.
Solarsense can supply / install systems for off grid use, including for boats, stables and remote buildings and for use abroad. We use only the best components available, and our systems are configured and commissioned in such a way that they are eligible for the feed-in-tariff.
Back 
