New Feed in Tariff Rates from April 2010 to March 2012
New feed in tariff rates come into force from 1st April 2010 which enable you to receive a payment and sell electricity back to the national grid from renewable energy sources.
What are feed in tariffs ?
The term feed in tariff means a rate payable to you by the government via your energy company for electricity you produce from renewable sources such as solar power or wind turbines. It’s not just about generating electricity for others to use as you get a payment on a predetermined scale for all the following :
- A payment per kwh for simply generating the electrical power whether you use it or not – known as the generation tariff and the rates are fixed once you join the scheme. The rates will gradually reduce for new entrants as more people join the scheme.
- A payment per kwh or selling excess or all of the energy back to the national grid – know as the export tariff which is currently payable at 3p per kwh
- Reduced electricity bills because you have generated clean green energy
What is eligible for this scheme ?
Any renewable sources powered electricity generating system that has a capacity of 5mw or under and installed after July 15th 2009 is eligible for the scheme. The items generating the power include solar panel PV energy systems, wind turbines, hydro electric power, anaerobic digestion and micro combined heat and power (mCHP) on a pilot at this stage. It’s estimated that a home with a 2mw system could generate £700 per year from the generation tariff, a further £25 for the export tariff and around £110 savings on electricity bills from using this scheme.
You’ll need to register your systems with your energy supplier to take part in this scheme.
OK I’m hooked – what can I do now ?
From April 2010 if you want to add solar panels to your home or have a small wind turbine on your roof or back garden then here’s what you need to do.
- Check for any grants that may be available from your local council which would reduce your own cost
- Check for any local planning permissions you may require to install your devices
- Find a reputable company to purchase and install your system
- To qualify for feed in tariffs your renewable energy source(s) must be fitted by a MCS certified installer
- Contact your energy supplier to apply for the scheme and send in your MCS certificate
If you don’t get your system installed by a qualified and MCS company you can still take advantage of lower fuel bills but not participate in the feed in tariffs that are available.
Feed in Tariff table
Here are the rates available for the generation tariff for various renewable energy sources that have under 5mw of total output.
- Anaerobic digestion ≤500kW 11.5p / kwh
- Anaerobic digestion >500kW 9p / kwh
- Hydro ≤15 kW 19.9p / kwh
- Hydro >15 – 100kW 17.8p / kwh
- Hydro >100kW – 2MW 11p / kwh
- Hydro >2kW – 5MW 4.5p / kwh
- Micro-CHP <2 kW 10p / kwh
- Solar PV ≤4 kW new 36.1p / kwh
- Solar PV ≤4 kW retrofit 41.3p / kwh
- Solar PV >4-10kW 36.1p / kwh
- Solar PV >10 – 100kW 31.4p / kwh
- Solar PV >100kW – 5MW 29.3p / kwh
- Solar PV Standalone 29.3p / kwh
- Wind ≤1.5kW 34.5p / kwh
- Wind >1.5 – 15kW 26.7p / kwh
- Wind >15 – 100kW 24.1p / kwh
- Wind >100 – 500kW 18.8p / kwh
- Wind >500kW – 1.5MW 9.4p / kwh
- Wind >1.5MW – 5MW 4.5p / kwh
Most tariffs are set for fixed rates for 20 years except for Micro CHP which is for 10 years and solar PV which are for 25 years. The above rates are also linked to the retail price index and are guaranteed for installations up to and including 31st March 2012. After this date the feed in tariff rates will start to reduce.