Solar Grants - what are they all about?

The maximum government grant is £2,000 per Kw of installed capacity, subject to an overall maximum of £2,500 or 50% of the relevant eligible costs, whichever is the lowest. There is currently a £2,500 grant cap per household for micro-generation, solar heating and other technologies. You may apply for grant towards more than one technology, subject to the maximum overall of £2,500.

To qualify to apply for the grant you first need to show you have taken other steps to make your home more energy efficient for example:

What about the Feed In Tariff?

For solar photovoltaic systems, the Government will pay via the utility providers a feed-in tariff of 41.3p per kWh for all electricity actually generated  by domestic PV systems 4kW or smaller. For larger systems up to 100kW, the rate is 36.1p, and for systems over 100kW the rate is 31.4p per kWh.

The rates for systems up to 4kW installed after 1st April 2012 reduces to to 37.8p, and to 33p for larger systems.

The feed-in tariff is fixed for 25 years, and is index linked. The initial rate achieved is the starting rate for the 25 year term. Income for private individuals from the tariff is tax free. The tariff is also transferrable.

In addition to the feed-in tariff, income for which is measured through your generation meter supplied as part of our system, you can also use the electricity generated by your system for free, so providing additional benefit. Surplus electrcity can also be sold back to the utility providers.

Please note that certain restrictions apply to householders who wish to install a PV system and qualify for the feed-in tariff:

Applicants must be the owners of the property for which the grant is being applied;

Selling your electricity

In addition to generating energy and reducing electricity costs, householders who generate excess renewable energy can sell this back to a utility provider for a minimum rate of 3p per kWh. Rates may vary between different providers.

When there is demand for energy in the house, the solar generated energy is used to provide power in the house. If there is little or no electrical energy requirement, the surplus energy is exported and sold to an electricity provider at a minimum agreed rate of 3p per kWh.

The amount of energy generated by the solar array will vary according to the level of sunlight and time of year. In the summer months the system will typically generate five times the power generated during winter.

Reduce your electricity bills!

The sort of energy bill we all dream of has arrived. Instead of receiving a bill for your annual household energy consumption, wouldn't you prefer receiving a cheque from you energy supplier?

It sounds ridiculous, but many people are benfitting from solar panels, and with the government feed-in tariffs you could not only reduce your energy bill to zero but be paid for the excess electricity you produce by selling it back to your energy supplier.

It is now possible to generate so much electricity from the solar photovoltaic (PV) panels on the roof your average three-bedroom house in England, that you can not only satisfies your own needs but also export excess supplies to the National Grid.

The main reason many people have solar panels installed is because they are worried about climate change or our reliance on fossil fuels, but at the same time they can make money out of it!

Most people imagine solar panels only really work during a sunny summer's day, but they even produce a decent amount of power on a cloudy day in the middle of winter.

With various government grant schemes to help you cover the cost of installing your solar panels and a generous government feed-in tariff, why not see if you could reduce your electricity bills to zero!