Solar panels

Photovoltaic feed in tariffs (FITs)

The Feed In Tariff (‘Clean Energy Cashback’ scheme) was introduced in April 2010 and will last for 25 years.

Under the scheme there will be three elements benefitting householders/building owners:

  • Generation tariff – a payment for every kilowatt hour (kWh) generated
  • Export tariff – an additional guaranteed payment for every kWh exported to the grid
  • On-site benefit – of free electricity used in the building/property and not exported

Note that this model is more attractive than those in Europe as the UK’s is based on total generation not just export of electricity.

How Much is the Tariff?

(published 22/12/2011)

 

Technology Scale Generation Tariff (p/kWh) Tariff + 3p/kWh Export Tariffs + Avoided elec (13p/kWh)
Solar PV ≤4kW (new build) 21 24 37
Solar PV ≤4kW (retrofit) 21 24 37
Solar PV 4-10kW 16.8 19.8 32.8
Solar PV 10-50kW 15.2 18.2 13.8
Solar PV 50kW-100kW 12.9 15.9 28.9
Solar PV 100kW-150kW 12.9 15.9 28.9
Solar PV 150kW-250kW 12.9 15.9 28.9
Solar PV >250kW 8.5 11.5 24.5
Solar PV Stand alone system 8.5 11.5 24.5

Typical Worked Examples

Size of system (kWp) 1.3 2 3 4
Estimated energy generated (kWh) per annum 1,069 1,644 2,466 3,288
Estimated Annual income (based on a FIT of 21p per kWh) £224 £345 £516 £690
Assume 50% exported (@3p per kWh) £16 £25 £37 £49
Assume 50% used in the property (i.e. avoided electricity) @13p per kWh £69 £107 £160 £214
Total Estimated Financial Benefit Per Annum £309 £477 £713 £953

 

The above is for a retro fit and based on a south facing roof, 30 degrees roof angle and no shading along the line of latitude of Sheffield.

Estimates from the Energy Saving Trust.

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