News & Blog

A decade worth of FIT

December 9, 2019
A decade worth of FIT

As the UK general election looms and the decade draws to a close, now is a better time than ever to reflect on the government backed Feed-In Tariffs scheme that saw the rise of Solar Panel usage in the country over the previous decade.

In 2009, former labour leader Gordon Brown was Prime Minister, Brexit was yet to consume the country and the solar energy industry was still in its infancy. One thing that has remained is the push towards renewable energy, particularly solar, to reduce the country’s emissions. This saw the introduction of the UK’s innovative tariff scheme, an incentive aimed at homeowners and small businesses to encourage the use of solar energy.

Feed-In Tariffs in the UK were announced by the government in October 2008 and were introduced at the start of the decade, in April 2010. One stand-out feature was the inclusion of a mechanism that will see users receive a bonus, measured by kWh, for surplus electricity delivered to the grid (over and above their domestic use). This meant that the average household utilising solar energy could expect to recoup their set up costs within 12 years. This applied to all renewable energy generating systems using solar PV panels, a domestic wind turbine, anaerobic digestion and more.

The scheme was an undisputed success, receiving an overwhelming number of applications. This led to a review of the tariff rates less than one year after its initial launch. Following this review, it was announced that, as of April 2012, FITs applications will be subject to the new rates.

This was followed by a further review in later years which saw the tariff rates reduced to 21p/kWh from 3rd March 2012, with a further reduction in 2014, following yet another review. New tariffs would also be paid over 20 years instead of 25 years.

Tariff rates remained steady until 2019, when it was announced that, as of April 2019, the FIT scheme would be closed to new applicants, ending a decade of heavily increased solar PV installs.

Although the FIT scheme is no longer available, solar panels are still a wise investment for several reasons. For instance, in June of this year, OFGEM announced that the department of Business, Energy and Industrial Strategy (BEIS) have introduced the Smart Export Guarantee (SEG), a new initiative rewarding solar generators for electricity exported to the grid. Whilst this is not a replacement of the FITs, it ensures new solar panel users will still profit in the long run. Additionally, the installation of solar panels will dramatically reduce your energy bills, in turn, increasing the value of your property, leaving plenty of incentive to get the process started today!

To find out more about the benefits of installing solar panels, don’t hesitate to get in touch with the New Age Innovation team on 0203 936 2785.

More from New Age Innovation

Future Trends in Solar

Pigeon Proofing and Protecting your Solar Investment

Did you Purchase Solar Panels from Solar Plants

About The Author

Let’s See if Going Solar Is Right for You.

Contact our friendly team today!
Email Our Team:

You can send an email to us by filling in the form below.
Please don’t forget to include all of your contact details and we will give you a call when it best suits you.

Or Call Us Free Today! 0203 936 3785