Government pays you for renewable energy

Households and communities who install generating technologies such as small wind turbines and solar panels will from April be entitled to claim payments for the low carbon electricity they produce.  Energy and Climate Change Secretary Ed Miliband announced the feed-in tariff (FITs) levels on 1 February 2010.

The tariff, which is available from April 2010, will be administered by Ofgem and energy suppliers will be responsible for paying the reward to their customers.

Communities who install low carbon electricity technology such as solar PV panels and wind turbines up to 5 megawatts will be paid for the electricity they generate, even if they use it themselves. The level of payment depends on the technology and is linked to inflation. They will get a further payment for any electricity they feed into the grid. These payments will be in addition to benefiting from reduced bills as they reduce the need to buy electricity.

The Government also published a blueprint for a similar scheme to be introduced in April 2011 to incentivise low carbon heating technologies. The DECC press release gives more information, as does the website of the Energy Saving Trust.