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What is the feed-in tariff rate with inflation rise?

Posted by Cathy Debenham on 7 June 2013 at 10:09 am

Q: My PV installation is now 2.5 years old. The feed-in tariff (FIT) is supposed to rise with inflation each year but wherever I search on the web I can only seem to find the rates for new installations. I am registered with Scottish and Southern who no longer provide a breakdown of payments and three emails to them requesting the 2013 uprating and effective date of change have remained unanswered. Help!

A: I fully understand your frustration. It’s not  always easy to navigate the Ofgem website! And I'm surprised that your FIT supplier didn't let you know about the rise. I'd have thought it should be a standard bit of customer service! If you click this link you will be able to download the (rather complex) table that has details of all the FIT rates for the year 2013/4.

The rates change on 1 April each year, and your feed-in tariff supplier should have asked you for a reading just prior to the change, so they know how much of your generation to apply the new tariff to.

More about feed-in tariff suppliers on YouGen

How to choose your feed-in tariff supplier

How to switch your feed-in tariff supplier

Specialist FIT suppliers give the best customer service

Easy guide to the feed-in tariff

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Comments

7 comments - read them below or add one

Toff

ToffComment left on: 13 July 2013 at 9:03 am

Cathy - you are right to be sceptical.

OFGEM's response is as follows: Feed-in Tariff Licensees are not currently obliged to pay on a three month cycle, they can make payments following their own timeframes. Ofgem does require FIT Licensees to report their payments quarterly as part of the levelisation process, and many Licensees base their payment schedule around these dates.

For its part, EDF Energy has corrected the error on my account. I suspect that nothing is going to happen and as my FIT month is March I shall, in future, give them a meter reading as late as possible into the month and take a meter reading at the end of each FY. It really does not need to be this difficult to get accurate FIT repayments.

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Toff

ToffComment left on: 12 July 2013 at 4:50 pm

Sorry Cathy - I perhaps didn't myself clear. I supplied EDF with an energy reading as requested on 1 June. They paid for the total amount generated a few days later. The issue that I had with them was the allocation by them of generated units for FY 12/13 and for this FY (ie, the change of FIT rate). Last year, EDF asked for a meeting reading as close to 31 March as possible - this year they did not.  Sadly, there is no mechanism to provide a FIT meter reading until one is requested. I appreciate that the amount involved is small per capita but the total sum involved is not insignificant particularly if it is in the energy compaines' favour. I offered them 2 solutions: move all FIT generators to an Apr, July, Nov and Jan FIT payment cycle or ask for a 31 March meter reading (technically, I suppose 5th April). As I can submit consumed energy meter readings at anytime, then this cannot be too difficult from a technical point of view.

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Cathy Debenham

Cathy DebenhamComment left on: 12 July 2013 at 4:04 pm

@Toff - either / both of those seem perfectly reasonable requests. I hope they take you up on the suggestion (not holding my breath though).

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Cathy Debenham

Cathy DebenhamComment left on: 9 July 2013 at 10:08 am

Good question @Toff. My energy company always asks us for a reading (Good Energy). I was under the impression that if you didn't supply a reading, you didn't get a payment. But, given your experience that's obviously not so. I'll make some enquiries and come back to you.

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Toff

ToffComment left on: 5 July 2013 at 6:51 pm

After receiving a FIT payment without any BACS remittance, I rang my energy company to ask how the payment had been calculated. In particular, I queried the methodology used to work out the March generation figure. Three staff members later, they gave me their calculated figure which was 75 KWhrs out on a 2.115KW PV system. The calculation was an overestimation of my March consumption which was surprisingly close to my generation figure in March 2012! After giving them the correct figure, I now have a small credit on my FIT account. How many others are owed money? Last year, they asked for a 31 March meter reading: this year they didn't. How can any company estimate energy generation given the vagaries of our weather?  Why doesn't OFGEM require energy companies to ask for a 31 March meter reading? 

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Cathy Debenham

Cathy DebenhamComment left on: 4 July 2013 at 9:43 am

Hi Mark

You're right that once you're on a FIT rate it is index linked, and increases annually from 1 April. The question I was answering was to show people where to go if they want to see what their rate is now, following the most recent rate increase. Ofgem releases a table each year, which will get more complex as time goes on, and more different starting rates are featured! This is what I've linked to above.

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Mark Brennan

Mark BrennanComment left on: 29 June 2013 at 3:20 pm

I do not think Cathy is looking for the FIT rates.  We all know that they are available on the OFGEM website.  I think what Cathy is asking is - does a FIT, once allocated, increase year on year in line with inflation?

Bear in mind, once an individual has been allocated a specific FIT, say 0.1544p prior to 1 July 13, thay are not interested in the general FIT rates.  They just want to know what their own FIT rate is based on any rise due to inflation.

My understanding is that the FIT is supposed to be index linked and so should go up in line with inflation each year.

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