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Solar Panels in the UK
Despite being this far north of the equator, you can still harness energy from the sun to generate power in the UK. Solar panel electricity systems, or solar photovoltaics (PV) don’t need direct sunlight to work. On cloudy and overcast days, you can still generate cheap, green electricity.
As sunlight is free, you can enjoy an immediate reduction in your energy bills after the cost of the initial outlay for your solar PV system. It is a wise investment in many ways, but did you know that you can also receive extra income from the power you generate? You may have heard of the government’s Smart Export Guarantee (SEG) which replaced the Feed-In Tariff (FiT) in January 2020, which essentially means that you can generate your own solar energy and sell the surplus back to the grid.
We all want to reduce our carbon footprints and installing solar panels is a great place to start. Solar energy is renewable and it comes from an abundant source. It doesn’t use fossil fuels or release any pollutants into the atmosphere. Typically, your home solar PV system could reduce your carbon footprint by over one tonne per year. So, you could potentially reduce your emissions by 30 tonnes over the course of your system’s lifetime.
Benefits of the Smart Export Guarantee (SEG)
If you choose to generate your own renewable energy with the help of a certified installer, you may qualify for the Government’s Smart Export Guarantee (SEG). This financial incentive was introduced in 2020 to continue the uptake of renewable electricity-generating technologies.
This covers customers using a renewable technologies:
- Solar PV systems, onshore wind, anaerobic digestion, hydro – up to 5MW.
- Micro-CHP – with an electrical capacity of up to 50kW.
The SEG has two main benefits:
Savings on your electricity bill: You will see an immediate drop in your electricity bill once you have installed your system.
Export tariff: If you generate surplus electricity, you may earn for energy exported back to the grid. There is no set or minimum tariff for the SEG, currently the only requirement is that the tariff must be more than zero.
You will have to meet certain criteria to qualify for the SEG and have your system installed by an MCS-certified installer. For more information visit the Energy Saving Trust website.
0% VAT on Solar Panels
As well as the new SEG, homeowners can now benefit from 0% VAT on Solar Panels, making it even more affordable to generate your own green energy. Starting in April 2022 with an end date of 2027, the UK Government has announced that the VAT will be dropped from 5% to zero VAT on Solar Panels and Heat Pumps to help promote the installation of new Energy Efficient Measures.
UK homes can pay on average between £5,000 and £10,000 for the installation costs of solar panels, with the uncertainty of energy costs, benefits of the SEG along with 0% VAT on installation, now is a great time to consider solar panels for your home!
How Solar PV works
Solar PV systems consist of photovoltaic cells created from semi-conducting material such as silicon, which is built up in layers. The light from the sun hits the cells, generating an electric field across these layers.
Cells produce more electricity in stronger sunlight, but they still generate power on overcast, cloudy days. These cells are mounted in modules or panels which can be fitted on your roof, to ensure maximum exposure to the sun.
The electricity generated by a solar PV cell is measured by the speed at which it generates power during its optimal performance. The technical term is kilowatts peak(kWp). This peak performance occurs during the summer in direct, strong sunlight.
Although many solar PV systems consist of panels that can be mounted on a roof, other types are also available. These include solar slates and tiles, which can be used in the same way as conventional roof tiles. This can cost around double the amount of an equivalent solar PV system, and they are not currently as cost-effective. Nevertheless, they are useful when aesthetics or planning is an issue.
