Incentives
Starting from April 2010 the UK government followed the example set by many other nations around the world and introduced a solar feed-in tariff, also known as a FIT, for Photovoltaic Solar Panels. A similar scheme when introduced in Germany lead to a huge surge in domestic solar panel usage as many Germans realised that through this scheme they could not only reduce their carbon footprint but actually make money from simply using electricity and sell any surplus back into the grid. This increase in renewable energy sources has also been seen in Spain and Denmark following their introduction of a feed-in tariff.
A similar scheme to this is being planned for solar thermal systems for April 2011. To find out more about this please go to our Solar Grants Page.
If you are unsure just what the feed-in tariff means to you financially then we have produced an example of just what a standard system through the solar feed-in tariff can earn for you here.
A second scheme is currently in place for those looking to purchase a Solar Hot Water System where the government will give a grant of a maximum of £400 or 30% of the total vat-exclusive installed cost, whichever is the smaller cost. In reality the cost of a solar hot water system means that most will receive the £400 grant.
Is is planned that the current grant scheme to stop soon (Once the allocated money has run out) and to be replaced with the new renewable heat incentive (RHI) scheme which works on a similar basis to the FITs scheme. While the final figures are not currently available it is thought that a payment of around 18p p/kWh for the heat generated will be paid meaning that on top of the average saving in heating bills of £75 you will earn back around £350 per year. This gives a similar 'payback period' as you get with Solar photovoltaic systems.
Act quickly to take advantage of the remaining grants that are available for Solar Hot Water Systems and be ready for the new renewable heat incentive scheme.
We provide professional renewable energy installations throughout the United Kingdom.