Under this scheme energy suppliers have to (compulsory for the big six suppliers) make regular payments to householders and communities who generate their own electricity from renewable or low carbon sources such as solar electricity panels.
The FITs scheme guarantees a minimum payment for all electricity generated by the system, as well as a separate payment for the electricity exported to grid. These payments are in addition to the bill savings made by using the electricity generated on-site.
Once you have a microgeneration technology installed you should experience a monthly reduction in your electricity bill and then receive an income from your Feed-in tariff provider.
You will qualify for the full FITs payments because G.P. Green Ltd is an MCS certified installer that only uses MCS certified products.The Microgeneration Certification Scheme (MCS) is an independent scheme that certificates microgeneration products under 50kW and installers in accordance with consistent standards
How the scheme works
If you are eligible to receive the FIT then you will benefit in 3 ways:
- 1. Generation tariff – a set rate paid by the energy supplier for each unit (or kWh) of electricity you generate. This rate will change each year for new entrants to the scheme (except for the first 2 years), but once you join you will continue on the same tariff for 25 years.
- 2. Export tariff – you will receive a further 3.1p/kWh from your energy supplier for each unit you export back to the electricity grid, that is when it isn’t used on site.
- 3. Energy bill savings – you will be making savings on your electricity bills , because generating electricity to power your appliances means you don’t have to buy as much electricity from your energy supplier.
Example of how the Feed-in Tariff works