What is the Feed in Tariff? The Government launched the Feed-in Tariff on 1 April 2010; this is a premium payment for every unit of electricity that is generated by small solar panel systems. The Government has announced a review of the FiT (31/10/11). This will be a comprehensive review of tariffs up to 250kW. Details of proposed changes are listed below. The consultation period closes 23 December 2011. The Feed-in Tariff is tax free to domestic households and index linked to inflation for both commercial and domestic installations.
Who is eligible?
All PV installations under 5MW, private and commercial are eligible. On the commercial side, the feed-in tariff will encourage photovoltaic (PV) installations among farmers, rural businesses, small and medium enterprises. The Energy Act 2008 provides powers to introduce feed-in tariffs (FiTs) for small-scale, low-carbon electricity generation – up to a maximum of 5 megawatts (MW) capacity, or 50 kilowatts (KW) for fossil-fuelled combined heat and power (CHP).
Latest Domestic Solar PV Feed in Tariff as of 1st January 2016 to 14th January 2016 (0-4kW)
You receive 12.03p per kWh of generated electricity, regardless of whether you use it or not. This is guaranteed by the Government for 20 years and is also indexed linked and totally tax free.
You will also receive a payment of 4.85p per kWh for 50% of the energy that you produce which is exported to the grid.
Latest Commercial Solar PV Feed in Tariff as of 1st January 2016 to 14th January 2016 (4-10kW)
You receive 10.90p per kWh of generated electricity, regardless of whether you use it or not. This is guaranteed by the Government for 20 years and is also indexed linked and totally tax free.
You will also receive a payment of 4.85p per kWh for 50% of the energy that you produce which is exported to the grid.
Latest Commercial Solar PV Feed in Tariff as of 1st January 2016 to 14th January2016 (10-50kW)
You receive 10.92p per kWh of generated electricity, regardless of whether you use it or not. This is guaranteed by the Government for 20 years and is also indexed linked and totally tax free.
You will also receive a payment of 4.85p per kWh for 50% of the energy that you produce which is exported to the grid.
Latest Commercial Solar PV Feed in Tariff as of 1st January 2016 to 14th January 2016 (50-150kW)
You receive 10.34p per kWh of generated electricity, regardless of whether you use it or not. This is guaranteed by the Government for 20 years and is also indexed linked and totally tax free.
You will also receive a payment of 4.85p per kWh for 50% of the energy that you produce which is exported to the grid.
Latest Commercial Solar PV Feed in Tariff as of 1st January 2016 to 14th January2016 (150-250kW)
You receive 9.81p per kWh of generated electricity, regardless of whether you use it or not. This is guaranteed by the Government for 20 years and is also indexed linked and totally tax free.
You will also receive a payment of 4.85p per kWh for 50% of the energy that you produce which is exported to the grid.
Evidence of property’s EPC rating will be required when applying for FITs. If no evidence showing the EPC has a band D or higher than the lower rate will apply (5.73p/kWh).
The export tariff for solar PV is currently 4.85p/kWh
The tariff period (lifetime) is now 20 years
The tariffs are to be reviewed every three months and will be revised according to deployment rates.
Once you are receiving Feed-In Tariffs, the rate you get will increase in line with inflation in accordance with the Retail Price Index (RPI).
For a site-specific calculation and bespoke report showing how much you could earn through Feed-in Tariffs for solar PV, contact us.
The Renewable Heat Incentive (RHI) is a UK Government scheme set up to encourage uptake of renewable heat technologies among householders, communities and businesses through the provision of financial incentives. The UK Government expects the RHI to make a significant contribution towards their 2020 ambition of having 12 per cent of heating coming from renewable sources. The Renewable Heat Incentive is the first of its kind in the world.
There are two phases to the introduction of the RHI:
Phase 1 : the introduction of the RHI for non-domestic installations in the industrial, business and public sectors.
Phase 2: the domestic element of the RHI, is expected to be introduced in spring 2014 following the consultation published in September 2012 and more recently the UK Government Heat Strategy.
Phase 1 of the RHI provides financial incentives to eligible, non-domestic renewable heat generators and producers of bio methane, for the life of the installations or up to a maximum of 20 years.
Non-domestic sectors include industrial, commercial, public and non-for-profit sectors. A non-domestic installation might be a large-scale industrial heating systems or a smaller community heating project.
Ofgem is responsible for administering the scheme.
The details of the domestic Renewable Heat Incentive (RHI) were announced by the UK Government on 12 July 2013. The main details of the scheme which were announced, and which are subject to final clarification and parliamentary approval, are listed below:
The main details of the scheme are listed below:
The domestic RHI is a UK Government financial support scheme for renewable heat, targeted at, but not limited to, off gas grid households.
the domestic RHI scheme covers England, Wales and Scotland only
DECC intend that the scheme will open to applications in Spring 2014 and will be administered by Ofgem
Ofgem guidance will be available before the launch of the scheme on how to apply and the information that will need to be provided
the scheme will cover single domestic dwellings and will be open to owner-occupiers, private landlords, Registered Providers of Social Housing, third party owners of heating systems and self-builders. It will not be open to new build properties other than self-build
it will be open to anyone in these groups who installed an eligible technology since 15 th July 2009, provided they meet the scheme criteria
for those who have installed a renewable heating system before the launch of the scheme in spring 2014 and since 15 July 2009 (legacy applications), the date they can submit their application may not be from when the scheme first opens and will be phased over time. Further details on the phasing will be provided by Ofgem prior to launch
the financial support will be paid at a set rate per unit of renewable heat produced (kilowatt hour or kWh), for seven years, to the owner of the heating system
the scheme will support air source heat pumps (ASHP), biomass systems, ground source heat pumps (GSHP) and solar thermal technologies. The support rates will vary depending on the technology installed
Tariff:
Air source heat pump: 7.42 (p/kWh renewable heat)
Biomass: 5.14 (p/kWh renewable heat)
Ground source heat pump: 19.1 (p/kWh renewable heat)
Solar thermal: 19.51 (p/kWh renewable heat)
for biomass the renewable heat generated will be based on an estimated figure of heat demand from an Energy Performance Certificate (EPC)
for heat pumps the renewable heat generated will be based on an estimate of the heat demand from an EPC combined with an estimate of the heat pump's efficiency
for solar thermal systems the renewable heat generated will be based on the estimate of system performance completed as part of an Microgeneration Certification Scheme (MCS) installation
to help improve performance of renewable heating systems, there will be an extra incentive for applicants who install metering and monitoring service packages, of £230 per year for heat pumps and £200 per year for biomass boilers
to be eligible the system must be certified under the Microgeneration Certification Scheme (MCS) scheme and meet relevant standards for each technology
all applicants are required to complete a Green Deal Assessment (GDA) before applying and to ensure they meet minimum energy efficiency requirements of loft and cavity insulation where required by the GDA
any public grants previously received, including RHPP, will be deducted to avoid a double subsidy
tariffs will change annually in line with the Retail Price Index (RPI)
DECC intend to introduce a system of digression to control the costs of the scheme. This is where tariffs are reduced over time for new applications to the scheme. Those who have already secured their tariff will not have their tariff reduced due to cost control. DECC will announce further details on the cost control policy in autumn 2013.
Please note that this is not an exhaustive list of all the criteria of the scheme and the details of the scheme are subject to further clarification and parliamentary approval therefore please keep this in mind when making a decision about installing a renewables system. You can find further details about the scheme and link to all the related policy documents on the UK Government website .