What is the Feed in Tariff?

The Feed In Tariff generation rate is a price that is paid to the owner of the solar panels for every kWh that the system generates over 20 years. It is also currently RPI linked. In September the Feed in Tariff (FiT) scheme price is 12.92p per kWh, from October it is 12.47p per kWh and the proposed price in January will be a maximum of 1.65p per kWh. A drop of approximately 87%. Additional information

The amount a solar panel system generates varies per installation but the larger the system, the more electricity it should generate and therefore the more it will earn over the 20 years from the Feed In Tariff (FiT). The scheme rewards homeowners who generate and use sustainable electricity, by paying for every kilowatt you generate and export on to the National Grid.

By installing Solar Panels, you could be eligible to apply for the Feed in Tariff scheme and could receive payments that are guaranteed for up to 20 years.

Generation Income:

Through FiT, you could receive a payment for each unit of electricity that you generate. And by using this electricity to run your household appliances during the day, could mean that you’re actually making money while watching the TV.

Export Income:

To make the most out of FiT, you could export some of the surplus energy you generate, into the National Grid and get paid for it too. Although export payments aren’t as much as generation payments, it’s still a great way of making a little extra money throughout the year.

For more information on how to get FiT, don’t visit a gym, visit our “How much can I save with Solar” section for a list of estimated payment rates.

Next: Buying Solar Panels