Feed-In-Tariffs (FITs)

Please note that all details are subject to change. For current information, check here.

What are ‘Feed-in-tariffs’?

Feed-in-tariffs (FiTs) are payments made to generators of renewable electricity. They were introduced by the Governmnet to help increase the level of renewable energy produced in the UK. The three main technologies are wind power, hydro power and solar photo-voltaic (PV). FiTs are for everyone, including households, landlords, businesses and even organisations such as schools and care homes.

How do they work?

FiTs are paid to you via your energy supplier and are based on the amount of electricity you produce and a fixed rate of how much electricity you supply back to the grid.

Generation tariff-

For every unit (or kWh) of electricity you generate your energy supplier will pay you a set rate (even if you use the electricity yourself). The rate payable is dependent on the renewable technology that you install and the generating size of your installation. Once your system has been registered, the tariff level you will receive is guaranteed for the remaining period of the FiT. For Solar PV installations to receive the highest tariff rate it is now a requirement that the house has an energy efficiency rating of A-D (proven by obtaining an Energy Performance Certificate).

Export tariff-

You will also get a further payment from your energy supplier for each unit you export back to the electricity grid. Currently there is no system in place to measure exactly how much of your self-generated electricity you use and how much the grid buys back, therefore the export amount is set at a standard amount of 50% of what you generate.

In addition to the FiT you should also see a reduction in your electricity bill as you will be using the electricity that you produce yourself, so will need less from the national grid.
All the tariff payments received are tax-free.

To qualify for FiTs you need to use a ‘Micro-generation Certification Scheme’ (MCS) – approved installer. You will also need to be using approved equipment.
Once your system is installed you need to register it with your energy supplier in order to access the FiTs. You will not receive any payments until this process is done so it is advisable that you start the procedure as soon as possible. It is also worth making a regular note of your meter readings during this process as suppliers will generally back date payments from the date that the application is received rather than the final approval date. You could take a photograph of your meter for further information.

For further details on FiTs as well as tariff rates please take a look at these websites-


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