Feed-in Tariff Scheme

This scheme requires energy suppliers in Great Britain to make regular payments to householders and communities who generate their own electricity from renewable or low carbon sources such as solar electricity (PV) panels or wind turbines.

The tariffs available and the process for receiving them vary, depending on when the technology was installed, and whether the system and the installer were certificated under the Microgeneration Certification Scheme (MCS).

Those eligible for FIT will benefit as follows:

  1. Generation tariff – a set rate paid by the energy supplier for each unit (or kWh) of electricity generated.  This rate will change each year for new entrants to the scheme (except for the first two years), but once the scheme has been joined, the same tariff will apply for 20 years, or 25 years in the case of solar electricity (PV). 
  2. Export tariff - the energy supplier will pay a further rate for each unit exported back to the electricity grid. The export rate is the same for all technologies. 
  3. Energy bill savings – savings will be made on electricity bills, because generating electricity to power appliances means buying less electricity from the energy supplier.  The amount saved will vary, depending how much of the electricity is used on site.

The latest Feed-in tariffs can be accessed via a table on the Ofgem website

Tariff levels vary depending on the scale of the installation.  All generation and export tariffs will be linked to the Retail Price Index (RPI) which ensures that each year they follow the rate of inflation.