Generating you own power can drastically reduce the cost of your electricity bills and there are government incentives to help.
The FiTs are a government incentive, aimed at encouraging the deployment of small scale renewable electricity generation by communities, individuals and organisations. When installing an eligible wind turbine, the scheme guarantees payment for the electricity you generate and use, and an additional payment for any surplus electricity you export to the grid.
- The Feed-in Tariff is for renewable electricity projects under 5MW in size. The new ‘Contracts for Difference’ scheme is specific to projects over 5MW only. The Feed-in Tariff will continue to offer support to small and medium wind projects across the UK, and is unaffected by CfD.
Feed-in Tariff preliminary accreditation is available to turbine projects over 50kW in size. This scheme allows projects to register for the current Feed-in Tariff rate, assuming the project has obtained an accepted grid connection agreement and an approved planning application.
- Feed-in Tariff degression rates are adjusted depending on the actual levels of deployment under the FiT. The government has set a capacity range for expected deployment. If deployment is lower than expected, degression can be reduced or avoided altogether. If deployment exceeds the default capacity then the degression level is increased.
- Six Monthly Contingent FiT Degression - in order to provide additional assurance that the FiT scheme will be able to remain within budget during instances of high deployment, DECC introduced an additional mechanism allowing a mid-year degression based on uptake in the first six months of the year. Visit page 19 and 20 of the Government Response to Consultation on Comprehensive Review Phase 2B.
You can find out more from the Energy Saving Trust, Department of Energy and Climate Change, and Ofgem