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Feed-in Tariffs – FITs

This government backed scheme was initiated by the 2008 Energy Act to provide financial incentives to encourage Renewable Energies to be installed in the UK. It worked well.
Too well in some areas so the scheme has been reduced for NEW ENTRANTS a couple of times – BUT if you have spare money to invest it is still “Better than an ISA” and commercial high energy users can benefit from serious Returns on Investment (15% +) as well as providing a critical hedge against increasing energy costs.
    • Earn by generating electricity – TAX free – and for 20 years!
    • Use the energy you generate for FREE – so, if you are currently paying 15p per kWh for your electricity, the electricity you use will cost nothing.
    • Sell any energy you don’t use back to the grid. The excess energy you produce will automatically Feed-In and be sold back to the grid.
    • Do your bit for the environment. We need to reduce our carbon footprint by roughly 40% by 2020. Renewable technologies are fundamental to this reduction.
    • Feel good! You’re making a better world for your children and grandchildren.
    Underwritten by the UK Government for 20 years
    Once you sign up to generate your own energy, you lock in to the FITS payment – you will get paid for every kWh you generate.
    …and it’s Tax free and Inflation proof
    You pay NO TAX on the money you earn from FITs. So, – if you’re a 20% rate tax payer, £1000 earned from Solar PV is worth £250 more than the same amount earned from interest on cash deposits. At 40% rate it’s worth an additional £667!
    Both the generation tariff and the export tariff are index-linked to the Retail Prices Index (RPI) so that they will rise with inflation. The cost of the energy used is also likely to increase as electricity prices rise. This means that your FITs benefit will increase over the life of the scheme.
    All 2020SolarPV financial predictions use a 3% RPI and a projected 5% Electricity cost increase. We can easily change those if you wish.


    The tariffs WILL go down–degression for new applicants was built into the system at the start.
    The tariffs now change at the end of each quarter. (March/June/September/December)
    Whatever FITS payment you start at will then increase in line with the Retail Prices Index, it will not go down.
  • FIT rates are found on the Ofgem website – FIT rates *and the export rate here.
    *Unfortunately Ofgem changes the address of the page from time to time, so if the link above goes nowhere please let us know and we can advise you and fix the old link.
  • 2020 SolarPV will help you with all the necessary paperwork to register onto FITs initially.
    You read the generation meter every quarter and claim the FITs payment from your Electricity Supply Company which will send you your payment. Simple.