You can be paid for the electricity you generate, even if you use it yourself, and for any surplus electricity you export to the grid. Feed-in tariffs (FITs) are for everyone, including households, landlords, businesses and even organisations such as schools and care homes
The scheme guarantees a minimum payment for all electricity generated by wind turbines (of less than 5MW), 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.
- The generation tariffis a set rate paid by the energy supplier for each unit or kilowatt hour (kWh) of electricity generated. For wind turbines operating between 1.5 – 15kW the feed in tariff it is 21.0p/kWh. It is important to note that all generation will need to be metered.
- The export tariff relates to each unit of electricity exported back to the grid i.e. electricity that is not used up on site. Customers can either opt for a guaranteed 4.5p/kWh from their energy supplier or can opt to sell their electricity on the open market.
- The displaced import tariff is electricity displaced but that would have been purchased at retail price i.e. the bill saving that can be made. Between 10p and 15p/kWhr is available for the displaced import tariff.
Both the generation tariff and export tariff will be linked to the Retail Price index (RPI) to alter with inflation. Feed-in tariff income for domestic properties, generating electricity mainly for their own use will not be taxable income for the purposes of income tax.
The amount that can be saved on energy bills will vary depending on how much electricity is used on site and rates of return will depend significantly on the conditions of individual installations, both the amount of resource (e.g. wind) and electricity demand.
Qualification for feed-in tariffs scheme is dependent on the products and installers of products being Microgeneration Certification Scheme (MCS) approved. The quietrevolution™ qr5 and hy5 turbines and Elite Renewables are accredited under MCS.
For further information and advice you can visit:
- The Department for Environment and Climate Change (DECC)
- The Energy Saving Trust
- The Carbon Trust
- The Microgeneration Certification Scheme
Please contact us if you would like further information on this scheme.