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Why are my feed-in tariff payments taking so long?

Posted by Cathy Debenham on 23 May 2014 at 10:45 am

Q: I'm with SSE and my feed-in tariff (FIT) payments were always supposed to be within 28 days of the meter reading. This has never happened, but after complaining each time I get my payment about a week later. Last time I gave my meter reading the SSE FITs office told me that the 28 day commitment had become 64 or 65. Is this right? I'm a pensioner and invested part of my pension in the solar panels. It's all very frustrating. Can you help at all? After all, they expect me to pay my bills on time.

A: While I'm sure that this isn't the answer you want to hear, I suspect that you may have no joy with your complaint. The energy companies collect readings quarterly; then that data goes to Ofgem which puts it through a process called levalisation, which makes sure that those companies who have more FIT customers aren't out of pocket. This process takes time. Some energy companies have always waited until this process is done before they pay customers. For example, Good Energy* takes 10 weeks to pay. Some of the big six choose to pay quicker as they have the cashflow that enables them to. However, there is no obligation on them to do so.

As you'll have read in our blog about customer service on administering the feed-in tariff, if this is communicated well, then people don't generally seem to mind. It seems as if this is where SSE has let you (and others) down. 

If you still want to complain you'll find SSE's complaints procedure here

Photo: RecreaHQ

* This is an affiliate link which means that if you click it and switch to Good Energy we get a small payment which helps with the costs of running the website.

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Comments

6 comments - read them below or add one

mshhal

mshhalComment left on: 4 August 2014 at 8:14 am

EON may get some bad press, but after a bad start in 2012,  they have made FITS payments promptly within just a few days  and have just introduced an on-line system.  Last reading submitted 27 July and payment in bank 1 August.  

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Gilly Jones

Gilly JonesComment left on: 6 June 2014 at 10:08 am

@KetteringUK - its always great to hear when thing have improved as we normally only hear about things have gone wrong.

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KetteringUK

KetteringUKComment left on: 6 June 2014 at 9:57 am

I've been with EDF since April 2011. The first 2 payments took an age but now I get an email reminder from them on the first day of each quarter, complete the details online and get paid within 10 days (this month, meter reading submitted 01/06, paid 05/06). It shows that it can be done...

Just found this too.

http://www.yougen.co.uk/blog-entry/1917/How+to+switch+your+feed-in+tariff+'28FIT'29+provider++/

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Fred1

Fred1Comment left on: 2 June 2014 at 7:46 am

Why anyone would give an electricity company an interest free three or six month loan beats me.

All the payments to generations come from electricity company sales, which are billed usually by direct debit on a monthly basis on the electricity companies estimate. The companies get paid monthly on an their estimate.

Levilisation is only a mechanism to sort out between electicity companies if they are due to pay more FIT payments than their market share, it is a mechanism to move money between electricity companies.

Generators produce for three months then submit a meter reading.

Sounds like generators should move to or initially select quicker payers, or move to the quicker payers

Sounds like that although levelisation is a red herring DECC should move to implement monthly levelisation, this was the plan and has been delayed...

Sounds like electricity companies are getting a very good deal, and in fairness should pay generators on monthly estimated basis just as the electricity companies get paid for their sales on a monthly estimated basis

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Cathy Debenham

Cathy DebenhamComment left on: 28 May 2014 at 10:15 am

@Biggran - that seems like a great way to do it. What a pity that more of the energy companies don't copy UW. Maybe they will soon...

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Biggran

BiggranComment left on: 27 May 2014 at 11:46 pm

We initially did not receiive FIT payments . We have changed over to Utility Warehouse who supply our electricity, telephone and broadband.  Our monthly bill has our FIT payments set against our other utility bills. The last months bill for April PAID US  £5 75... All I have to do is send in our 2 meter readings each month  

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