Feed-in Tariff (Clean Energy Cashback) Scheme
Feed-in Tariffs (FITs) were introduced to Great Britain on 1st April 2010. The scheme requires energy suppliers to make regular payments to householders and communities who generate their own electricity from renewable or low carbon sources such as solar electricity (PV) panels or wind turbines.
The scheme guarantees a minimum payment for all electricity generated by the system, as well as a separate payment for the electricity exported to grid. These payments are in addition to the bill savings made by using the electricity generated on-site.
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 will change each year for new entrants to the scheme (except for the first 2 years), but once you join you will continue on the same tariff for 20 years, or 25 years in the case of solar electricity (PV).
2. Export tariff - you will 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. The export rate is the same for all technologies.
3. Energy bill savings - you will be making 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.
Here are the Tariff Levels, for technologies installed between 15th July 2009 and 31st March 2012.
Tariff levels vary depending on the scale of the installation.
Visit http://www.fitariffs.co.uk/ for more information about the scheme