Feed In Tariff

The Feed in Tariff (FiT) is a Government backed scheme whereby your energy company will pay you for all the electricity you generate and a deemed export rate for 50% of the total generated (whether you use it or not), electricity not used is fed back into the grid.

If you have a solar photovoltaic (PV) system installed now, the Feed in Tariff guarantees you earnings from your energy supplier for the next 25 years. The scheme is index linked so the benefits from your system will grow over time. It makes no difference how much of the electricity generated is used (even in the unlikely event you could consume all the energy); you still get paid the same amount from your energy supplier.

An average three bedroom house with a 2.16kWp PV system installed will generate an income of around £800 a year (this is why some companies are offering to install systems for free, they recoup the Feed in Tariff payments for profit), typically you could also gain a reduction of about £110 per year off your electricity costs by importing less - that's a total benefit of £910 per year!