alternative energy generation

The Feed in Tariff (FiT)

FiTs were confirmed in Feb 10 and came into effect as of April 2010. It replaced the old system of Renewable Obligation Certificates and is a Centrally Government funded scheme to incentivise any grid supplied energy consumer (homeowners, public and private sector) to install renewable energy technologies.

The table below, taken from the Department of Energy and Climate Change (DECC) details the level of FiT for each technology and size of installation.

 

 

Tariff level for new installations in period (p/kWh) [NB tariffs will be inflated annually]

 

Technology

Scale

Year 1: 1/4/10 – 31/3/11

Year 2: 1/4/11 – 31/3/12

Year 3: 1/4/12 – 31/3/13

Tariff lifetime (years)

Anaerobic digestion

≤500kW

11.5

11.5

11.5

20

 

>500kW

9

9

9

20

Hydro

≤15 kW

19.9

19.9

19.9

20

 

>15-100 kW

17.8

17.8

17.8

20

 

>100 kW-2 MW

11

11

11

20

 

>2 MW – 5 MW

4.5

4.5

4.5

20

MicroCHP pilot*

<2 kW*

10*

10*

10*

10*

PV

≤4 kW (new build)

36.1

36.1

33

25

 

≤4 kW (retrofit)

41.3

41.3

37.8

25

 

>4-10 kW

36.1

36.1

33

25

 

>10-100 kW

31.4

31.4

28.7

25

 

>100kW-5MW

29.3

29.3

26.8

25

 

Stand alone system

29.3

29.3

26.8

25

Wind

≤1.5kW

34.5

34.5

32.6

20

 

>1.5-15kW

26.7

26.7

25.5

20

 

>15-100kW

24.1

24.1

23

20

 

>100-500kW

18.8

18.8

18.8

20

 

>500kW-1.5MW

9.4

9.4

9.4

20

 

>1.5MW-5MW

4.5

4.5

4.5

20

Existing microgenerators transferred from the RO

 

9

9

9

to 2027

 

To help put this into context, we have outlined a couple of scenarios in our Incomes and Payback page. (hyperlink)

One of the key points to take from this table is that the level of FiT will be reviewed and may not remain the same from April 2013 onwards. Therefore, it may be prudent to allow for the time it will take your project to pass through your internal and the external processes to ensure it qualifies for the current level of FiT.

On the face of it, there appears time for most projects to complete in this period, but please note that the level of FiT reduces in the third year (outlined above) for PV.

If you would like any further clarification please contact us or visit the DECC website at http://www.decc.gov.uk

Please note that to be eligible for the FiT for installations up to 50kW in size, you must also use a MCS registered installer and ensure that the product being sold to you is also MCS accredited.

The product we sell is MCS accredited and likewise, so are the installers we use.