Electricity Station, Solar Electricity Panels- Photovoltaic Cells (PV)

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The Feed-In Tariff scheme guarantees a minimum payment for all electricity generated by the system, as well as a separate payment for the electricity exported to grid. These payments are in addition to the bill savings made by using the electricity generated on-site.Therefore once you have a microgeneration technology installed you should experience a monthly reduction in your electricity bill and then receive an income from your Feed-in tariff provider.

The scheme covers the following electricity-generating technologies, up to an installation size of 5 Mega Watts:

• Solar electricity (PV) (roof mounted or stand alone)
• Wind turbine (building mounted or free standing)
• Hydroelectricity
• Anaerobic digestion
• Micro combined heat and power (micro CHP) (limited to a pilot at this stage)

For a system to benefit from the Feed-in Tariff, it must be installed by a company that is registered under the Microgeneration Certification Scheme.

 

A fixed premium rate for renewable energy

Under the proposed system, small-scale energy producers will be offered a fixed, premium rate for renewable energy fed-in to the grid. This energy is bought by the utility companies which are obliged under the legislation to buy the units of energy over a set number of years.  1.5 million households could benefit from this increased support for renewables.
 

There will also be additional payments for exporting to the grid

An added bonus is that there are further payments for exporting surplus energy to the grid. The UK Government has targeted to reduce greenhouse gas emissions by 34% by 2020.  Although cars, businesses and farming will be affected by measure, half the reduction will come from clean energy generation. A legally-binding EU target already obliges the UK Government to generate 15% of its total energy needs from renewable sources by 2020, a figure which, if realised, will represent a ten-fold increase in renewable energy generation.
 

Rates for small scale Solar PV will be 41.3p/kWh

The finalised rates for the new Feed-in Tariffs, announced by DECC on 1st Februrary 2010, will give solar PV microgenerators higher rates than initially proposed.  The rate for retrofit installations of less than 4 kW will be 41.3p/kWh, an increase on the 36.5p/kWh originally proposed by DECC. The announcement also confirmed that tariffs are to be linked to the retail price index to ensure that income from them is in line with inflation.  For private individuals, the scheme will be free of income tax.

Note: Rates are shown in pence per kW. Year 3 rates are subject to RPI increases. 

Solar photovoltaic panels are a fantastic opportunity to not only utilise this technology, but to do so in an affordable way. Not only will those who adopt the technology see a real saving on their electricity bill but also an income from every single unit of electricity generated!

A typical medium sized domestic installation could be 2 kW of solar panels.This would be approximately 12 panels with an average size of 1 x 1.3 meters. Solar electricity systems can cost in the region of £4,000 to £5,000 per kWp installed. 

However the Feed in tariff (FIT) will pay 41.3 p per kWh (for retrofit onto existing properties) generated whether you use it or not. Your electricity supplier will pay for any units exported, so energy generated while you are on holiday will still be used and be paid for, and of course, you don't have to pay your electricity company anything for energy that you generate and you use. Treating this as an investment, the return, which is tax free will be above 7%.
This will also add real value to your house in that it not only has a lower electricity running cost but can make money for the new owner.

The chart above illustrates a typical seasonal spread of energy generation for a 2.2 kWp South facing system.

Benefits of a Solar PV system

Earn an income for every unit of electricity generated, through the Feed-in Tariff

Save money on energy bills

Increase the value of your property

1) How much electricity does a solar PV system generate?

2) What is the Feed-In Tariff (FIT) Scheme?

3) Will I be eligible for the (FIT) Scheme?

4) Do I need planning permission?

5) Do I need to inform builiding control?

6) Can I export any electricity that I generate?

7) How much will I be paid for electricity I generate?

8) What is the difference between monocrystalline and polycrystalline PV panels?

9) How long is the guarantee?

10) Are the Solar PV panels fragile?

11) How does a Solar PV system work?

12) Do the PV panels need direct sunlight to work?

1:  How much electricity does a solar PV system generate?

Answer:   Each kWp should generate around 800-850 kilowatts per hour (kWh) per year, this is based on the condition that the panels are unshaded and are south facing with a tilt of 30-50º.

2. What is the Feed-In Tariff Scheme?

Answer: The Feed-In Tariff is a scheme created by the government that rewards homeowners for any renewable electricity they produce.The FIT guarantees a minimum payment for all electricity generated by the system, as well as a separate payment for the electricity exported to grid. These payments are in addition to the bill savings made by using the electricity generated on-site.Therefore once you have a microgeneration technology installed you should experience a monthly reduction in your electricity bill and then receive an income from your Feed-in tariff provider.

3. Will I be eligible for the (FIT) Scheme?

Answer: For a system to benefit from the Feed-in Tariff, it must be installed by a company that is registered under the Microgeneration Certification Scheme.

4. Do I need planning permission?

Answer: normally planning permission is not required, unless the property is listed or located in a conservation area.

5. Do I need to inform builiding control?

Answer: Yes, you should consult with building control about your intentions, and they will advise you if you need to take any further action with them. 

6. Can I export any electricity that I generate?

Answer: Yes, any unused or excess electricity can be exported, your electricity company can fit an export meter or they can pay you based on estimated export rates (usually 50%).

7. How much will I be paid for electricity I generate?

Answer: From February 2010, The rate for retrofit installations of less than 4 kW will was 41.3p/kWh.

8. What is the difference between monocrystalline and polycrystalline PV panels?

Answer: Monocrystalline solar panels tend to be slightly more expensive than polycrystalline panels, however monocrystalline panels are regarded as having a higher output per kW peak power installed.  Polycrystalline wafer has a dark blue colour, monocrystalline wafer is black.

9. How long is the guarantee?

Answer: The Solar PV system holds a guarantee of 25 years

10. Are the Solar PV panels fragile?

Answer: Solar PV panels are very robust and can withstand the normal stresses subjected by nature.

11. How does a Solar PV system work?

Answer: Solar panels generate electricity using energy from the sun.  An inverter converts the electricity from direct to alternating current, for use in the property. The electrical energy produced is either used directly in the property, or when the system is producing more power than is needed it is exported to the grid. At night, power is imported from the grid in the normal way.

12. Do the PV panels need direct sunlight to work?

Answer: No, The panels produce energy from daylight, not direct sunlight, so they still produce energy on cloudy or overcast days.