Payments Illustration


Payments Illustration

The current rate of the FiT for a retro-fitted (non-new build) solar PV system, less than 4kWp, is 43.3p per kilowatt hour (kWh). This is the new rate as of April 1st 2011, after the inflation review increased it from 41.3p. Therefore anyone currently eligible for the FiT will receive 43.3p per kWh or above for every kWh produced.


Expected Returns on Investment

When taking into account all of the potential benefits, an expected rate of return on the capital invested in a solar PV system is very good – often a far better return than any savings account currently offered.


Here is a worked example to show you how the figures add up;

A 3.24 kWp Solar PV array for a domestic south facing property will cost in the order of £13,500 including 5% VAT. Taking into account the Feed-in-Tariff at 43.3p/kWh for electricity generation (April 2011 to March 2012 rate), revenue from exported energy (3.1p/kWh) and the offsetting of imported energy at 12p/kWh, it can be shown:


* This ignores the effect of inflation and electricity price rises which will continually increase the value of the system over the 25 year period of the FiT.


To calculate the potential financial savings and returns, as well as carbon, you can expect have a look at the Energy Saving Trust Cashback-Calculator FiT Calculator on their website.



System Size and Cost
Installed System Size(kWp)
Installed System Cost
5% VAT


Total Cost of System


System Output

Estimated System Generation per annum (kWh)


Feed-In-Tariff (FiT) Income
Annual FiT Generation Revenue (43.3p / kWp)
Annual FiT Export Revenue (50% @ 3.1p / kWh)
Total Annual FiT Revenue


25 Year Total FiT Income


Payback Calculations
Annual import offset (50% of generation @ 12p/kWh)


Annual Total value of electricity generated
Break-even Point (years)


Annual Return on investment


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