The Department for Business, Energy and Industrial Strategy (BEIS) dealt a blow to homeowners looking to install solar panels on their home when it announced that the Feed-in Tariff Scheme (FITs) will close to new applications on 31st March 2019.
Currently, owners of solar PV systems benefit from 20 years of payments under FITs. That means they can earn up to £275 per year* plus save up to £220 on their energy bills – but only if their application for FITs is approved before 31st March. Plus, there are caps in place to restrict the number of installations that can get FITs payments. So, act now to ensure you earn money from going solar.
What’s the Feed-in Tariff Scheme?
The Feed-in Tariff Scheme is a government scheme that pays homeowners who generate their own electricity through renewables, like wind power and solar PV. It was introduced in 2010 to encourage us to invest in renewable energy when the cost of installing solar panels and other renewable technology was much higher.
So how can you benefit from installing solar panels? There are three ways that FITs can help you earn and save money:
This tariff pays you for every unit of electricity you generate (kWh) using your solar PV panels. You’ll get a generation meter to track this.
Estimated earnings: Up to £165 per year
For any electricity you don’t use yourself, you’ll get paid per kWh that is sent to the National Grid. Most homes don’t have an export meter to track this, so most suppliers will estimate that you send back 50% of the electricity you generate and pay you based on this.
Estimated earnings: Up to £110 per year
Savings on your energy bills
Electricity from the sun is completely free, so when you use your solar-generated electricity you’ll need to buy less from your supplier – saving you money on your bills.
Estimated savings: Up to £220 per year
Find out how much you could earn and save by getting quotes for solar panels now.
Maximise your chances of getting the best Feed-in Tariff rate
There are 3 levels of FITs rate: higher, middle and lower. To get the higher rate, your home needs to meet the Energy Efficiency Requirement. That means ensuring that your home has a valid Energy Performance Certificate (EPC) of a level D or higher. Need to make some improvements to get up to a D rating? Take a look at our article on how to make your home more energy efficient.
How do you benefit from the FITs Scheme?
It’s simple to get quotes for solar panels and find out how much you could earn from the Feed-in Tariff scheme – but you need to act fast. Even if you apply before 31st March, there’s no guarantee you’ll get the FITs payments due to caps on installations, so get started now to maximise your chance:
- Fill in our form to get up to 4 quotes from MCS registered installers
- Choose the best company for you – you’re under no obligation
- Get your system installed and apply for FITs
*Figures from the Energy Saving Trust