Feed-in tariffs … coming soon to a roof near you!?
The feed-in tariffs scheme certainly looks to be of great interest. For the unitiated, feed-in tariffs are the governments new scheme to encourage the takeup of renewable technologies through financial benefits. These financial benefits are two-fold, firstly in the form of savings made to on-going energy costs and secondly through a payment made through the scheme:
Installing solar panels [2.5 kilowatt peak photovoltaic system], which cover a space of around 10ft x 10ft on an average sized roof, will cost around £12,500 but this will be paid back in 10 years because the households will be paid £900 per annum, plus making £140 savings on the yearly electricity bill.
Given the feedback I’ve had on this site in relation to heat pumps and running costs I’m a little concerned that air source heat pumps are included in this:
Mr Miliband also introduced a renewable heat incentive that will pay households for producing their own heat from woodchip boilers or an air source heat pump. A ground source heat pump, that costs more than £1,000 to put in, could be rewarded with £1,000 a year and lead to savings of £200 per year if used instead of oil.
So a step in the right direction, as some financial incentive has to be good for the takeup of renewables and is well overdue - I’ve been moaning about this for sometime now.
Given that this technology is already being sold by ex-used car salesmen who graduated from selling uPVC windows (i.e. sales over-whelmingly motivated by commission) I have concerns for the future morals of the renewables industry and will watch with interest the degree by which demand drives price rises following the introduction of the scheme.
But putting my cynacism aside, one to watch and a step in the right direction.
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