Ofgem is pleased to publish updated guidance documents for the Feed-in Tariff scheme. These documents have been published as of April 2013.
The latest changes have come as a result of the Comprehensive Review Phase 2B which came into effect from 1 December 2012. These changes provide for:
• Revised tariffs for AD, wind and hydro (with the exception of hydro installations in the range of 100-500kW)
• Revised tariffs for microchp and a new band for hydro installations (when state aids approval is received).
• Tariffs for the largest wind and hydro bands will be adjusted from April 2013 to reflect changes to level of RO support as a result of RO Banding Review.
• A degression mechanism for non-PV technologies which will come in to effect from April 2014.
• A mechanism of preliminary accreditation for ROO-FIT accredited installations (i.e. wind and solar with a DNC over 50kW and all AD and hydro).
- Please see ‘Applying for the Feed-In Tariff’ tab for more information or email the ROO-FIT team on ROOFIT@ofgem.gov.uk
• Changes to definitions of “site”, “commissioned” and “hydro generating station”.
• Extending the ROO-FIT accreditation process to include hydro installations with a DNC of 50kW or less.
• New measures to provide benefits to ‘community organisations’ installing solar PV including:
- A relaxation of the energy efficiency requirement for community energy installations;
- A “tariff guarantee” for community energy installations with a DNC of 50kW or less.
• New measures to provide benefits for ‘education providers’ who have installed solar PV; a relaxation of the energy efficiency requirement for school installations.
- For more information on community or education provider benefits, please refer to the ‘Community Organisations and Education Provider’ tab or email the new community team on FITcommunity@ofgem.gov.uk
Stakeholders were invited by Ofgem to provide feedback on draft versions of updated guidance documents for the FIT scheme. Feedback for ‘Feed-in Tariff Scheme: Draft Guidance for Licensed Electricity Suppliers (Version 5)’ and ‘Feed-in Tariff: Draft Guidance for renewable installations (Version 5)’ was accepted up to 11 February 2013. Feedback for the ‘Feed-in Tariff: Draft Guidance for Community Energy and School Installations’ document was accepted up until 18 February 2013.
Ofgem would like to thank respondees who replied during the feedback session. We have read all feedback and, where possible, have adjusted the guidance documents to better serve their intended audience.
Please note, some comments from respondees addressed concerns that are beyond Ofgem’s mandate to change. Ofgem has been conferred legislative powers and duties that relate to the administration of environmental programmes and the delivery of sustainability projects. As such, we are unable to adjust guidance documents and to make changes to areas such as pre-accreditation or degression tariff rates which reflect government policy and result from legislation introduced to Parliament by the Department of Energy and Climate Change.
Past changes to the FIT scheme
The FIT scheme has undergone a number of significant changes since its launch on 1 April 2010. A number of these changes have come into effect as part of the FIT Comprehensive Review consultation exercises run by DECC, which took place between 31 October 2011 and 26 April 2012.
The FIT Comprehensive Review ran in 3 phases:
• Phase 1, which considered changes to small scale solar PV, came into effect on 1 April 2012;
• Phase 2A which considered solar PV tariffs and a PV tariff degression mechanism, came into effect on 1 August 2012; and
• Phase 2B, which considered tariff changes and degression for all other technologies as well as scheme administration issues, came into effect on 1 December 2012.
A summary of the key changes that have affected the scheme since its launch include:
• Greater clarity in relation to the accreditation of installations that may have received grant funding.
• A reduction in the tariff lifetime for new PV installations and extensions from the current 25 years to 20 years.
• New energy efficiency requirements for solar PV installations with a TIC of 250kW or less.
• The introduction of a multi-installation tariff for solar PV installations where the FIT Generator or nominated recipient receives FIT payments for 25 or more other installations.
• A degression mechanism for solar PV installations which allows for the periodic reduction in tariffs on the basis of deployment.
Questions about FITs?
The initial point of contact for anyone wanting to find out more about electricity generation and how to join the FIT scheme is the Energy Saving Advice Service in England and Wales-link opens in a new browser window or 0300 123 1234 and the Energy Saving Trust in Scotland-link opens in a new browser window or 0800 512 012.
For all queries regarding your MCS Installer (or the MCS database), you will need to contact the Microgeneration Certification Scheme - link opens in a new browser window, who are completely independent from Ofgem.
Potential applicants are advised to review REAL Assurance's consumer guide for applications under the Feed-in Tariff on the REAL Assurance Website - Link opens in a new browser window.
Background to the FIT scheme
Read our factsheet for a simple guide to the FIT scheme.
A detailed report of accredited Feed-in Tariff installations is available below. This report will be updated on a quarterly basis.
The Feed-in Tariff (FIT) scheme is available through licensed electricity suppliers. It requires some of them to make tariff payments on both generation and export of renewable and low carbon electricity. Both generation and export tariff rates are index-linked which means that they will increase or decrease with inflation. The tariff rates are adjusted annually by the percentage increase or decrease in the Retail Price Index over the 12 month period ending on 31 December of the previous year.
The FIT scheme policy is set by the Government. Information on the Government’s policy behind the FIT Scheme is available on the Department and Energy and Climate Change (DECC) website - link opens in a new browser window. If you have any comments on the Government proposals or policy, please contact the Department of Energy and Climate Change at firstname.lastname@example.org or by telephone on 0300 060 4000. For any queries relating to VAT with relation to the FIT scheme, please contact HM Revenue & Customs - link opens in a new browser window.
The scheme itself is administered by Licensed Electricity Suppliers and Ofgem. The Energy Saving Trust and the Carbon Trust have been nominated by the Government to provide public information on the scheme and advice on how to apply.
The role of Licensed Electricity Suppliers
Licensed Electricity Suppliers with more than 250,000 domestic customers are mandated to join the FIT scheme (Mandatory FIT Licensees). Other licensed electricity suppliers can elect to join the scheme and become Voluntary FIT Licensees. They are collectively known as FIT Licensees. Licensed Electricity Suppliers cannot offer FIT Services unless they are confirmed to be a FIT Licensee, however they are obligated to participate in the levelisation process.
Generators wishing to receive FIT are advised to contact their supplier in the first instance. A list of FIT Licensees is available.
FIT Licensees play the main customer-facing role for this scheme and they are required to take generators through the registration process, take regular meter readings and make tariff payments.
The role of Ofgem under FITs
Ofgem’s key role is to maintain the Central FIT Register, which is a database of accredited installations. In addition, Ofgem administers the levelisation process and accredits small scale generators (installations with a capacity greater than 50kW) or micro and small scale anaerobic digestion and hydro installations. Ofgem is also responsible for ensuring suppliers comply with the FIT scheme requirements.
Ofgem does not have a direct role in dealing with general complaints against a FIT Licensee.
Complaints against a FIT Licensee should be directed towards the FIT Licensee in the first instance. All FIT Licensees have a duty to participate in the complaints process in relation to compliance with their obligation under the FIT scheme. If after 12 weeks a satisfactory solution has not been agreed between both parties, the complaint may then be referred to the Energy Ombudsman at 0845 055 0760 or by going to the Energy Ombudsman website - link opens in a new browser window.
More information on complaint procedures and processes under the scheme is available from the Department of Energy and Climate Change (DECC) website - link opens in a new browser window.
The Feed-in Tariff Scheme is carefully monitored by Ofgem to prevent abuse. If you believe that someone is abusing the scheme, then please contact us with details. Anything you tell us will be used confidentially, email email@example.com.
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