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Feed-In-Tariffs

The Feed In Tariff

Since April 2010, homeowners and businesses have been able to install various types of renewable energy systems and be paid for the electricity the produce through the Feed-In-Tariff (FIT). The tariff guarantees payment for every Kilowatt hour (kWh) or unit of energy your system generates – regardless of whether you use that energy or not – with a bonus for every kWh sent back to the grid. Energy you use directly from the system saves you buying energy from your utility company resulting in greater savings on top of the FIT payments. The tariff runs for 20 years depending on the technology, from whenever your system is registered, and is tax free for domestic installations, generating average returns of 8%-10% on your investment.

For smaller systems from 0-4kWp (usually 13-16 panels) the FIT payment is 13.88p/kWh. For larger systems from 4-10kWp it is set at 12.57p. Any electricity not used on site earns an extra 4.64p/kWh export bonus on top of the generation payments.

The Energy Savings Trust has a useful money saving Cashback Calculatorclick here

Planning Permission
Planning permission is not usually required for PV or Solar Thermal installations on domestic properties and is already included in Permitted Development rights. Some exceptions exist, examples include installations on a Listed Building, in a Conservation Area, in Area of Outstanding Natural Beauty or Site of Special Scientific Interest. Planning permission is always required for commercial installations, flat roof PV arrays and all sizes of wind turbine. Our team can advise you of any permissions necessary for your project and liaise with the relevant planning body on your behalf.

Renewable Heat Incentive

The Renewable Heat Incentive (RHI) is scheduled to start in April 2014 and will provide similar payments to the FIT’s for Heat Pumps and Solar Thermal installations. The RHI will pay 19.2p per kilowatt/hour of renewable heat generated by your chosen solar panel. The KINGSPAN Thermomax DF and HP series evacuated tube systems are rated at 1530 kWh (20 tube) and 2256 kWh (30 tube) respectively. You should receive RHI payments as follows;

Thermomax DF100 – 20 tube 1530 x £0.19.2 = £293.76 every year for 7 years = £2056.32
Thermomax DF100 – 30 tube 2256 x £0.19.2 = £433.15 every year for 7 years = £3032.06

Add the RHI payments to energy savings averaging £150 per annum in a typical family home and you can see the financial benefit of an Eternal Energy Systems solar thermal system. If the price of gas and electricity continues to increase above inflation the savings will be even greater and the system will pay for itself much more quickly.Each house will need to undertake a Green Deal Assesment which calculates the amount of energy used to heat water based on the number of occupants and the output of the system. We can arrange Green Deal Assesments and EPC (Energy Performance Certificates) to ensure that you recieve the maximum benefits from the FIT & RHI schemes.