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The feed-in tariff (fit)
The Feed-in Tariff (FIT) scheme is a government programme designed to promote the uptake of a range of small-scale renewable and low-carbon electricity generation technologies. Electricity generated from Solar PV panels can be exported to a utility company through the national grid.
Under the Feed-in Tariff programme, qualifying individuals or groups who install Solar PV on their properties can benefit from regular payments.
The FIT scheme is available through licensed electricity suppliers. It requires some suppliers to make tariff payments on both generation and export of renewable and low carbon electricity. Generation and export tariff rates are index-linked, which means that they will increase or decrease with inflation.
The Feed-in Tariff can be claimed for a period of 20 years and the income amount is dependent on the type and size of the Solar PV installed.