Feed-in Tariff (FIT) scheme

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.

The 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. Generation and export tariff rates are index-linked which means that they will increase or decrease with inflation.

Ofgem's Feed-in Tariff Factsheet summarises the FIT scheme and how to apply.

The role of Licensed Electricity Suppliers

FIT Licensees are required to take applicants through the registration process. FIT Licensees are also the main point of contact with accredited customers for the submission of meter readings and are responsible for making payments based on meter readings. As part of issuing these payments they are expected to physically check meter readings at least once every two years.

Licensed Electricity Suppliers with more than 250,000 domestic customers are required 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.

Applicants wishing to receive FIT for renewable generation are advised to contact their supplier in the first instance.

The role of Ofgem

We are responsible for some aspects of administration of the FIT scheme. Our key role is to maintain the Central FIT Register, which is a database of accredited installations. In addition, we accredit all hydro and Anaerobic Digestion (AD) installations, as well as solar PV and wind with a Declared Net Capacity (DNC) greater than 50kW. We also verify the status of installations that are applying for community or school benefits. We are responsible for ensuring suppliers comply with the FIT scheme requirements and administer the levelisation process.

Disputes

We do not have a direct role in dealing with general complaints against FIT Licensees. If you have a complaint, you should direct this towards your  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 8 weeks a satisfactory solution has not been agreed, the complaint may then be referred to the Energy Ombudsman, 0845 055 0760.

Further information is available on the Department of Energy and Climate Change (DECC) website.

We monitor the Feed-in Tariff Scheme to prevent abuse. If you believe that someone is abusing the scheme, please contact us with details: fraudprevention@ofgem.gov.uk. Anything you tell us will be used confidentially.

Questions about FITs

To find out more about renewable electricity generation and how to join  the FIT scheme, your initial point of contact should be the Energy Saving Trust. For England and Wales please contact The Energy Saving Advice Service free on 0300 123 1234 or visit www.energysavingtrust.org.uk. For Scotland, please contact Home Energy Scotland free on 0808 808 2282 or visit homeenergyscotland.org. Home Energy Scotland is funded by the Scottish Government and delivered by the Energy Saving Trust.

For all queries regarding Microgeneration Certification Scheme (MCS) Installers, MCS products or the MCS database, please contact the Microgeneration Certification Scheme, which operates independently from Ofgem and can be contacted on +44 (0) 207 090 1082.

Potential FIT scheme applicants are advised to review the Renewable Energy Assurance Limited (REAL) consumer guide.

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. If you have any comments on the Government proposals or policy, please contact the Department of Energy and Climate Change at correspondence@decc.gsi.gov.uk or by telephone on 0300 060 4000.

For any queries relating to VAT with relation to the FIT scheme, please contact HM Revenue & Customs.

Publications and updates

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