Feed-in Tariffs (FiTs) were introduced on 1 April 2010 as a key part of the Government's strategy to increase generation of electricity from renewable sources so as to reduce carbon emissions and to stimulate "the green economy".
Everyone (from individual householders to the largest private and public sector organisations) is eligible to receive these "clean energy cashback" payments. FiTs can offer a very attractive return on investment and the opportunity to earn a valuable income stream, whilst contributing positively to the environment.
The value of the payments will vary according to the technology used, the size of installation and the volume of electricity generated. All technologies and installers must be accredited under the Microgeneration Certification Scheme (MCS) and there is a maximum capacity of 5MW per project.
The schematic below summarises how FiTs work. It's important to appreciate that FiTs are paid for every kWh generated. An additional 3ppkWh is paid for export. Of course, generators will benefit even more by using their electricity on site by saving what they would otherwise have to purchase from their supplier.
Furthermore, the FiTs are indexed to inflation (RPI) and have a guaranteed lifetime (with one exception) of 20 or 25 years.
If you would like more information on Feed-in Tariffs or help and advice on how you might take advantage of this scheme, please drop an email to
solutions@watt-knots.co.uk with your name and 'phone number and we'll be in touch.
