Under the Feed-in Tariff scheme, you are paid to generate electricity, even if you then use it yourself.
The Feed-in Tariff has two elements:
- The generation tariff: payment for the electricity you generate and use yourself.
This is where you see most financial benefit. Not only are you being paid for the electricity your system generates, your bills are lower because you are buying less electricity in.
- The export tariff: payment for the excess electricity that you export to the national grid.
Solar PV and wind turbine systems generate electricity whenever there is daylight/wind. The electricity has to be used as it is made? it’s not stored. This means that whenever the system is generating more than your building needs at any particular point, the excess goes directly into the grid and you get paid.
Payments come from your electricity supplier. Only the ‘big six’ energy companies are required by law to provide the payments. Some smaller ones do too, but not all. If your current supplier does not take part in the scheme, you can of course change to one that does.
You can only register for FIT payments if your system is fitted by an installer certificated under the Microgeneration Certification scheme.