Raine or Shine
Alternative Energy Solutions Ltd.
Solar energy providers since 2005
Feed In Tariff (FITs)
What is the Feed In Tariff?
FITs are an incentive scheme that pays people for generating their own green electricity. Introduced in April 2010, the tariffs give 3 financial benefits
a) A payment for ALL the electricity you produce, even if you use it yourself.
b) Additional bonus payments for any power you feed back into the grid.
c) A reduction in your standard electricity bill.
Feed in Tariff rates (December 2011)
| Energy Source | Scale | Tariff (p/kWh) | Proposed Tariff (p/kWh) |
|---|---|---|---|
| Solar PV (New Build) | ≤ 4kW | 37.8 | 21.0 |
| Solar PV (Retrofit) | ≤ 4kW | 43.3 | 21.0 |
| Solar PV | > 4 - 10kW | 37.8 | 16.8 |
| Solar PV | > 10 - 50kW | 32.9 | 15.2 |
| Solar PV | > 50 - 100kW | 19.0 | 12.9 |
| Solar PV | > 100 - 150kW | 19.0 | 12.9 |
| Solar PV | > 150 - 250kW | 15.0 | 12.9 |
| Solar PV | > 250kW - 5MW | 8.5 | 8.5 |
| Solar PV | Standalone | 8.5 | 8.5 |
| Anaerobic Digestion | ≤ 500kW | 12.1 | 12.1 |
| Anaerobic Digestion | > 500kW | 9.4 | 9.4 |
| Hydro | ≤ 15kW | 20.9 | 20.9 |
| Hydro | > 15 - 100kW | 18.7 | 18.7 |
| Hydro | > 100kW - 2MW | 11.5 | 11.5 |
| Hydro | ≥ 2 - 5MW | 4.7 | 4.7 |
| Micro-CHP[B] | < 2kW | 10.5 | 10.5 |
| Wind | ≤ 1.5kW | 36.2 | 36.2 |
| Wind | > 1.5 - 15kW | 28 | 28 |
| Wind | > 15 - 100kW | 25.3 | 25.3 |
| Wind | > 100 - 500kW | 19.7 | 19.7 |
| Wind | > 500kW - 1.5MW | 9.9 | 9.9 |
| Wind | > 1.5MW - 5MW | 4.7 | 4.7 |
| Export Tariff | 3.1 | 3.1 | |
Are they guaranteed?
Currently, the Solar PV incentives are guarenteed for 25 years and all other sources are guarenteed for 20 years.
Under the proposals, the new tariffs would apply to all new solar PV installations with an eligibility date on or after 12 December 2011. Such installations would receive the current tariff before moving to the lower tariffs on 1 April 2012. Consumers who already receive a FIT will see their existing payments unchanged, and those with an eligibility date on or before 11 December 2011 will receive the current rate.
Any further details required are available on the FITs website www.fitariffs.co.uk
Renewable Heat Incentive (RHI)
What is the Renewable Heat Incentive?
The RHI is a fixed payment for the renewable heat you generate yourself.
Who is eligible?
RHI is eligible to anyone who has installed a heat producing renewable energy system since 15 June 2009. The system has to have been installed by an MCS accredited installer to qualify.
When can it be claimed?
The RHI tariff takes effect as of April 2011.
Renewable Heat Incentive rates (March 2011)
| Tariff name | Scale | Tariff (p / kWh) |
|---|---|---|
| Solar Thermal | ||
| Solar Thermal | < 200kWth | 8.5 |
| Solid Biomass; Municipal Solid Waste (incl. CHP) | ||
| Small Biomass (Tier 1) | < 200kWth | 7.6 |
| Small Biomass (Tier 2) | < 200kWth | 1.9 |
| Medium Biomass (Tier 1) | > 200kWth - 1MWth | 4.7 |
| Medium Biomass (Tier 2) | > 200kWth - 1MWth | 1.9 |
| Large Biomass | ≥ 1MWth | 4.7 |
| Ground-source & Water-source heat pumps; Deep geothermal | ||
| Small Ground Source | < 100kWth | 4.3 |
| Large Ground Source | ≥ 100kWth | 3 |
| Biomethane injection & biogas combustion, except landfill gas. | ||
| Biomethane | All scales | 6.5 |
| Biomethane (Biogas) | < 200 kWth | 6.5 |
Any further details required are available on the RHIs website www.rhincentive.co.uk
Renewable Heat Premium Payment
What is it?
It's like a grant for household renewable heat installations installed after August 2011 and before March 2012 (the household RHI doesn't start until probably October 2012).
How much?
The following levels apply to each installation irrespective of size:
| Heat Technology | Payment per installation |
|---|---|
| Air source heat pumps | £850 |
| Biomass boilers | £950 |
| Ground source heat pumps | £1,250 |
| Solar water heating | £300 |
A total of just £15m is available for this scheme.
Will everyone be eligible?
No! Except for solar thermal, which is available to any householder, The incentive is only for other technologies if the household is not currently using gas heating.
Householders in England, Scotland and Wales can apply. They must certify that this is their main home and that they have basic energy efficiency measures in place (loft insulation to 250mm and cavity wall insulation, where appropriate).
Both the product and installer must be MCS (or equivalent) certified.
Note also that receiving a Renewable Heat Premium Payment does not automatically mean you'll be eligible for RHI tariff payments Timetable and applications
The scheme starts 1 August and closes 31 March 2012.
Householders can request the RHPP in advance, and once registered, receive a voucher for the relevant amount. They must install the renewable heat system within 3 months for solar thermal and 6 months for all the others. Installations must have been completed by 31 March 2012.
Other requirements
Participants must complete 2 surveys.
Some households will also be selected at random to provide further information via meter installations. Agreeing to this if selected is a condition of the scheme – the meters will be installed free of charge.
Information taken from www.rhincentive.co.uk