subject: Free Solar Panels - PV Photovoltaic Installations [print this page]
So having thought about reducing your electricity and carbon footprint, you decide to look into solar pv systems. First stop the internet; and you find yourself confronted with a huge choice of different companies offering a wide range of solar panels with two noticeable differences.
The first are companies keen to install solar panels for free then take all the income from the super lucrative Feed in Tariffs incentive, the second are companies selling and installing the solar panels and then you receive the income from the Feed in Tariffs for the next 25 years.
Over the past few months there has been a lot of publicity from companies vying to install a complete solar pv system on your home for free. With that being the case, you must ask yourself what's in it for them?
What these types of companies are after is the revenue generated from the "Feed in Tariffs" worth up to 1500 per annum. Any excess electricity that is generated is automatically fed back into the national grid and paid for by the government.
What are the pitfalls for this type of deal?
If you are not fortunate enough to have the finance in place to purchase the solar pv panels, it does provide an easily accessible way into the solar market. In return for signing a 25-year agreement to house the panels, you will get the electricity generated by the system during the day, assuming you're in the house to use it. The solar company installing the panels will maintain them and also insure them against theft, fire or vandalism.
The installers will monitor and maintain the panels (these systems need very little maintenance) and insure them against theft or vandalism. The householder has to agree to keep them for the full term, and if the house is sold, the panels are passed on to the new owner.
However, at the end of the 25-year period, the owner will keep the panels. They won't get any FiTs, but will probably still generate electricity, and produce some income for any power exported back to the grid.
How much do the free solar companies make?
After the free solar companies initial investment they pocket the lucrative FiTs for every unit of electricity generated. At the moment the set rate is 41.3p per kWh. For a standard installation of solar pv panels generating 4 kWh, the total payments would be worth about 1500 per year. As these are guaranteed for 25 years, simple mathematics tells you that each property would be worth 37500.
So what is the smart move?
If you have a roof that is eligible for solar generation, you should have the panels installed yourself and pay for them up front or via finance options. This is such a fantastic opportunity to invest in a green almost unending energy supply and increase your bank balance at the same time, it might just be worth going into debt for the first few years. There is a suggestion that FiTs will not be around for ever and even as recent as July 2010 the guaranteed rate of FiTs was reduced to 41.3p per kWh.
In other words, now is the time to get that free evaluation of how suitable your roof is for solar pv panels and the generation of free electricity. Purchase a new solar pv system now and take full advantage of FiTs for its life, as putting it off and waiting another year could cost you more in lost revenue.
Solar PV Quotes install MCSaccredited Solar Panels eligible for the Feed in Tariffs government backed scheme.
