Solar FIT rate to fall to 14.38p from April
Ofgem has confirmed that come April solar photovoltaic systems up to 4kW will see feed-in tariff rates drop by 3.5%. It means from 1st April domestic size solar systems will fall from 14.9p/kWh to 14.38p/kWh.
Back in October 2013 feed-in tariff (FIT) rates were frozen until the end of March 2014. There hasn’t been a reduction in this banding since last July. The latest cuts will apply to systems between 0-50kW; there will be no change for systems above the 50kW threshold.
The following FIT rates for each kilowatt hour of electricity produced will apply from 1 April to 30 June 2014:
0-4kW = 14.38p
>4-10kW = 13.03p
>10-50kW = 12.13p
>100-150kW = 10.71p
>150-250kW = 10.25p
>250kW-5MW = 6.61p
The export tariff will increase from the current 4.64p to 4.77p. Visit Ofgem to view the full FIT rate table.
With more than half a million solar arrays installed on rooftops across Britain, installing renewable energies and particularly solar panels to generate electricity continues to grow in popularity. Thanks to rising costs of conventional fossil fuels householders are becoming increasingly switched on about the benefits of solar energy, and not least the financial incentives provided by the solar feed-in tariff (FIT) scheme. Adopters of renewable technologies for electricity generation get paid a set amount for every kilowatt hour of energy generated for the lifetime of the scheme – in this instance 20 years.
In other news this week energy minister Greg Barker continues to vocalise his support for the UK’s solar industry. In an interview with the Daily Telegraph on Monday he said solar PV was a more secure and lucrative investment alternative to a pension.
“Solar is a really attractive financial proposition. You get a guaranteed tariff for 20 years and if your panel is well-sited, it could yield 8% or more. That is more than an annuity, particularly if you are in your 50s or early 60s,” he told the newspaper.
According to figures published by the Department of Energy and Climate Change (DECC) the average cost to install solar PV panels has fallen to just over £4,500. Read more about solar panel costs, savings and benefits.
Solar Guide’s solar PV calculator will estimate the payback profits from the feed-in tariff, depending on the size of your installation. We can also provide free quotes from up to three approved and accredited solar PV professionals in your area.