The Feed in tariffs or FITS are a financial incentive to encourage homeowners and businesses to fit renewable energy systems to their properties and generate electricity on a local scale.
Like many other countries we need to accept the fact that our energy consumption requirements continue to increase, whilst our ability to generate electricity using traditional methods will decrease in years ahead as CO2 producing fossil fuels and nuclear power stations are decommissioned - but not replaced. The other key objective of the scheme is to facilitate a significant increase in the amount of power we generate nationally from renewable methods, with the aim of meeting the EU target set for the UK of 15% through renewable energy by 2020.
Since April 2010, the UK Feed In Tariff Scheme offers homeowners or commercial businesses/property owners the chance to receive money for every kilowatt hour (kw/hr) of energy generated using approved technology that is installed on their property.
The consumer is free to use all the electricity they generate or indeed can sell it back to the grid for an additional premium.