How to make the most of Renewable Energy Tariffs
Cutting through the jargon and digesting the details of numerous schemes and incentives can make selling your renewably sourced energy seem like an arduous task. But don’t panic! Microgeneration specialists, Ownergy have demystified Energy Tariffs in their plain-speaking user guide and have shown how the average household could stand to gain in excess of £2000 through the latest renewable energy tariff schemes.
Collectively known as the Clean Energy Cashback scheme, the UK renewable energy feed-in tariff (FiT) and the Renewable Heat Incentive (RHI) are designed to provide a guaranteed annual return, free from income tax, of 8% on investment. The Renewable Heat Incentive (RHI) is actually due to go live in April 2011 but any system installed between now and then will be eligible.
The scheme has gathered wide cross-party support in UK government, with plans to double the maximum generation limit to 10MW and an overall aim of sourcing 8% of the UK’s energy through tariffs.
Ownergy’s guide highlights the benefits for UK property owners:
- The average household will be £2,000+ better off a year through the renewable energy tariffs
- The tariffs are for virtually everyone with a property – householders, businesses,landlords, schools, hospitals, entire communities, the list is endless…
- The tariffs put you in control of your energy – you are free to manage your consumption and generation
- By installing renewable energy systems and benefiting from the tariffs, you will make a significant contribution to environmental sustainability in the UK
Outside of the UK, a number of other European countries are quickly implementing and updating feed-in tariff policy with the German system serving as the lead model. Their feed-in tariff has been widely credited with driving the development of one of the world’s largest renewable energy markets and in 2005, 10 per cent of electricity in Germany came from renewable sources and 70 per cent of this was supported with feed-in tariffs. Feed-in tariff’s have now earned a role in US energy policy and several Asian nations have already have launched similar programs. The movement may see FiT’s commonplace within energy markets all over the globe.
With energy prices set to only get more expensive over the next decade – now is the time to get your energy future proof. By reducing or removing dependence on oil and gas and by importing far less electricity from the Grid, it is possible to avoid such price rises and even see a tidy return on investment.