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Feed-in-Tariffs Explained

Feed-in-Tariffs Explained. What is it all about?. 23 rd February 2011 Edward Leddy-Owen Regional Microgeneration Coordinator Energy Saving Trust advice centre West Midlands. Background to FiTs. Helping to delivering national CO 2 reduction targets of 80% by 2050 set out by EU/UN treaties

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Feed-in-Tariffs Explained

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  1. Feed-in-Tariffs Explained What is it all about? 23rd February 2011 Edward Leddy-Owen Regional Microgeneration Coordinator Energy Saving Trust advice centre West Midlands

  2. Background to FiTs • Helping to delivering national CO2 reduction targets of 80% by 2050 set out by EU/UN treaties • Potentially play a vital role in the Household Energy Management strategy (HEM) set out by DECC, to reduce CO2 29% by 2020 • It is extimated that the scheme should encourage 750,000 installs by 2020. • FiTs are tied into the national Renewable Energy Strategy set out by DECC.

  3. How it is Managed • Managed by the energy supplier • Monitored and quality controlled by Ofgem on behalf of DECC • Responsibility of the homeowner to register to the supplier • Responsibility of the MCS installer to ensure quality reporting to Gemserv

  4. Introduction to Feed In Tariffs • Consumer name is Feed in Tariff (used to be Clean Energy Cashback) • Introduced on 1st April 2010, • Will provide financial incentives for people and businesses to install electricity-generating technologies such as solar electricity panels and wind turbines.

  5. Technologies available • The scheme will support the following up to the 5MW limit Microhydro Microwind Solar PV MicroCHP*

  6. Solar PV Worked example Total electricity demand of house = 4000kwhr/year Total generation (1,600kWh) Income £666 Onsite use (800kWhr) £103 saved 2kWp solar PV Generating unit Export (800kWh) Income £24 Remember they still have to import 3200kWhr Total saving £793/year

  7. The Tariff on Paper • A load of numbers? • What is in it for the customer? • How can it be used to maximum effect? • Is it better than a grant?

  8. The Energy supplier checks to confirm that you are eligible for the tariff Once the system is installed you notify your energy supplier You receive the Clean Energy Cashback aka FITs Decide which technology is suitable for your home. You install the system through an MCS certified installer How to Get on Board

  9. Who Can Benefit from FiTs • The FiT range is between 1kW to 5MW • A single macro wind turbine is 2.5 – 3MW • As long as the technologies are within the generation range • Microgeneration Certification Scheme (MCS) Certified for micro (less than 50kW) • ROO-FIT if over 50kW (macro system) • ANYONE who meets the above criteria

  10. How Can They Benefit? • Simple saving and income for a private household • Interest free loan scheme for a local authority • Community cooperative investment project for a ‘large’ microgen system such as hydro • Development options for large construction firms • Large building owners can ‘rent’ roof space etc…

  11. Efficient Use is King • Use your energy whilst being generated • Have an energy efficient home • Savings will have a big impact on what you generate • The export tariff is the ‘cherry on top’

  12. Renewable Heat Incentive

  13. Energy Saving Trust advice centre West Midlands Our role in the microgeneration industry

  14. Regional Microgeneration Coordinator • To work with government, industry, supply chain and homeowner. • To bridge the gap (central targets to personal installs) • Promote the Microgeneration Certification Scheme • To get installs using local installers

  15. Supply Chain: • To work in line with local manufacturers, installers and government. • To assist in the overall development of the supply chain by coordinating projects and advising partners. • Having the ability to channel efforts from central government down to installs.

  16. Advice Centre: • City and Guild Trained in Energy Awareness and Domestic Microgeneration Technologies. • Regularly attend practical hands-on microgen training to enhance advice provision. • Will advise on the best technology for the individual situation through careful consideration of the household’s situation.

  17. Why MCS? • A demonstration of high standards • Services and products • Aftercare • Consumer trust • Confidence

  18. Installer Network • West Midlands referral network • Based on a postcode search • Keep the work within the region • Develop consumer confidence • Case studies • Workshops

  19. Any Questions: • ?

  20. Further Information • Thank you for listening • Call us on: 0800 512 012 • Visit: www.energysavingtrust.org.uk • E-mail: enquiries@est.org.uk

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