Great Brain – a new solar market
In spring 2010 the British government introduced a new incentive scheme to promote the production of electricity through renewable sources.
Big incentives for generating electricity
From 1st April 2010 the production of electricity generated from photovoltaic systems is promoted through a feed-in- tariff up to 34.3 pence per kWh.
Guaranteed income for 25 years
The guaranteed feed-in tariff will be granted for 25 years and is indexed linked to inflation (retail price index).
Global irradiation levels
In the UK the yearly global irradiation level, the measurement of intensity of the light to be used for the production of electricity, is between 800 to 1090 kWh/m2. By assuming system losses, design requirements and local environmental impacts the yearly output for producing electricity in the area of London for example is around 940kWh/1kWp.
Example of income generated
By using five standard sized panels with a performance of 200 Watt each (which will be an overall 1kWp performance) an operator can generate 940 kWh electricity in London, generating up to £322 gross income p.a.
Double digit returns
Investors operating PV systems may achieve yields of more than 10% depending on the location, technology used and the system constructed. Loan finance can further enhance this to Internal Rates of Return exceeding 15%.
