Clean Energy Cashback - Updated April 2011

(Feed in Tariff’s for photovoltaic systems)

The Department of Energy and Climate Change (DECC) introduced a feed in tariff in April 2010. The scheme will be know as ‘Clean Energy Cashback’.

The scheme pays for every kWh generated by a photovoltaic system – even if it is used within the property!

Owners of grid connected, retrofitted, photovoltaic systems of 4kWp or less will receive an index linked 43.3p per kWh generated in Clean Energy Cashback for 25 years. For domestic customers this is tax free.

• Cost of import assumed at 15p/kWh

For a typical 2.96kWp domestic PV system this equates to an annual cashback payment of around £1,100. DECC’s intention is to incentivise photovoltaic systems with a return on investment of between 5 and 8%.

Further, it is worth mentioning here that the electricity regulator OFGEM has recently warned the public to expect electricity price rises in the region of 20%.

The above rates apply to systems installed until 31 March 2012.

Also see: www.guardian.co.uk/money/2010/feb/06/solar-power-bright-investment

And: www.decc.gov.uk/en/content/cms/consultations/elec_financial_elec_financial.aspx

Community groups, public and non-profit sector

Looking for funding? Give these websites a try!

http://www.grantsnet.co.uk

http://www.j4bcommunity.co.uk/default.aspx

Small & Medium Sized Businesses can apply for interest free renewable energy loans from the Carbon Trust. You can borrow from £5,000 to £100,000 unsecured, interest free and repayable over a period of up to 4 years.

From April 2010 SME’s will be eligible for the Clean Energy Cash Back Scheme. (See above)

Go to http://www.carbontrust.co.uk/energy/takingaction/loans_renewables.htm or call 0800 085 2005 for more information.

‘Our house is burning down and we are blind to it’
President Jacques Chirac