What is the feed-in tariff scheme?

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Did you know you can sell your export electricity for greater than 3.1p/kwh?

The feed-in tariff scheme (commonly abbreviated as ‘FiT Scheme’) is a government initiative aimed at encouraging the development of microgeneration of renewable energy in the UK. Practically, this means that feed-in tariffs can be claimed for certain renewable technologies under an installed capacity of under 5 megawatts (mw).

It follows in the tradition of other similar feed-in tariff schemes that have seen success in places like Spain, Germany and parts of the USA.
The feed-in tariff scheme was launched in April 2010 and replaced the existing Renewables Obligation for eligible technologies under 50 kw. The Renewables Obligation continue to exist for larger renewable energy generation (i.e. over 50kw).
It is designed to provide an incentive to consumers to generate their own renewable electricity, with rewards for those who then ‘feed in’ to the rest of the National Grid.
Who is eligible for feed-in tariffs?
The short answer is that anyone, anywhere in the UK can claim feed-in tariff payments if they meet a few criteria.
1.       Size of installation
  • Much is made of the under 5 mw figure. It’s hard to get a handle on what 5 mw actually means in reality so, to give you an idea of scale, we have outlined the installed capacity of the following:
    • An average, household solar system is around 2.5kw.
    • Our hydropower station at Roshven: 500kw.
    • Sizewell B nuclear power station: 1188 mw  (i.e. 1188000kw).
2.       Type of technology
  • There are a variety of ways to generate renewable energy. The feed-in tariff scheme covers the following:
    • Wind
    • Solar (photovoltaic)
    • Hydropower
    • Anaerobic digestion
    • Domestic scale microCHP (combined heat and power) of under 2kw.
3.       Accreditation
  • If you choose the right technology of the right size, you must be able to prove it is accredited in one of two ways in order to claim feed-in tariffs:
    • Through the Microgeneration Certification Scheme (MCS). Make sure you only get a technology installer who is MCS accredited and keep hold of your microgeneration certificate. You can only get MCS accreditation if you are under 50 kw.
    • Through ROO-FIT. You can apply for ROO-FIT accreditation if you are between 50kw and 5mw.
How do you claim feed-in tariff payments?
How you claim feed-in tariff payments depends on the size of your installation.
  • If you are under 50kw: 
    • You speak to an electricity supplier. All electricity suppliers are obliged to pay you feed-in tariffs.
    • LoCO2 Energy wants to help customers to claim feed-in tariffs. If you have renewable technology installed and want to claim feed-in tariffs then call us on 0845 074 3601 or email us.
    • If you are between 50kw and 5mw then you need to speak to Ofgem directly.
LoCO2 Energy and Feed-in tariffs
Even if you generate your own renewable electricity, you will still need an appointed electricity supplier. This is to make sure that the lights don’t go out if you exceed your generation.
We have teamed up with our sister company, TradeLink Solutions, to offer a complete feed-in tariff package. LoCO2 Energy can supply you with renewable energy and TradeLink Solutions will handle your feed-in tariff payments.
The benefits of using LoCO2 Energy and TradeLink Solutions for feed-in tariffs are:
  • Keeping your electricity supply and feed-in tariff payments with 1 company.
  • We will buy your export for our renewable energy portfolio.
  • We don’t run call centres, so if you need to speak to someone then you will reach a professional employee at the heart of the business straightaway.
  • There are no administration fees.
Feed-in tariff payment table
The table below illustrates what you can receive for your feed-in tariff payments for eligible technologies and was correct as at 1st August 2011.

Energy Source
Scale
Generation Tariff 
(p/kWh)
Duration (years)
Anaerobic digestion
≤250kW
14.0
20
Anaerobic digestion
>250 - 500kW
13.0
20
Anaerobic digestion
>500kW
9.4 20
Hydro
≤15 kW
20.9
20
Hydro
>15 - 100kW
18.7
20
Hydro
>100kW - 2MW
11.5
20
Hydro
>2kW - 5MW
4.7
20
Micro-CHP
<2 kW
10.5
10
Solar PV
≤4 kW new
37.8
25
Solar PV
≤4 kW retrofit
43.3
25
Solar PV
>4-10kW
37.8
25
Solar PV
>10 - 50kW
32.9
25
Solar PV
>50 - 150kW
19.0 25
Solar PV
>150 - 250kW
15 25
Solar PV
>250 - 5MW
8.5 25
Solar PV
Standalone
8.5
25
Wind
≤1.5kW
36.2
20
Wind
>1.5 - 15kW
28.0
20
Wind
>15 - 100kW
25.3
20
Wind
>100 - 500kW
19.7
20
Wind
>500kW - 1.5MW
9.9
20
Wind
>1.5MW - 5MW
4.7
20
 Existing generators transferred from RO 9.4  to 2020

Please note that the tariff rates are for 2011-2012 and account for inflationary and government review adjustments.



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