For businesses that generate electricity from a renewable or low-carbon source, a Feed-in Tariff (FiT) enables the business to be paid for the energy it uses and any surplus it exports into the national grid.
Apollo Energy can help to set up a Feed-in Tariff contract with the suppliers ensuring they are completed in a cost-effective and timely manner to ensure correct payments are made in full.
How do Feed-in Tariffs work?
- Electricity is generated and the electricity supplier pays a fixed rate for each unit of electricity generated.
- Organisations are self-sufficient, using their own energy rather than drawing from the national grid.
- Any surplus electricity is exported to the national grid according to a specific export tariff which varies according to different system’s sizes.
- If businesses require additional energy it is imported from the national grid via the normal import electricity supply.
How can I benefit from a Feed-in Tariff?
If your business is eligible for a Feed-in Tariff, there are several key benefits:
Guaranteed tariff – for each unit (kWh) of electricity generated the energy supplier will pay a set rate. Once the business has registered for a FiT, the tariff levels are guaranteed for up to 20 years (the period of the tariff).
Export tariff – for each unit exported back to the grid, an additional reimbursement (pence/kWh) from your energy supplier will be paid.
Lower energy bills – because generating your own power means you won’t have to purchase as much (if any) electricity from your energy supplier, you will be able to enjoy savings on your commercial energy bills.