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What is a feed-in tariff?
A feed-in tariff is a fixed rate per unit of electricity paid by your main provider for electricity generated by your PV array, as determined by the government. This will be be introduced in April 2010, and is set to be 41.3p per kWh generated by the solar array, for systems under 4kW installed before 31st March 2012. For systems installed after 1st April, the rate will reduce to 37.8p per kWh. Systems larger than 4kW will qualify for a tariff of 36.1p per kWh, reducing to 33p per kWh thereafter. In addition any surplus energy exported to the national grid can be sold for a minimum rate of 3p per kWh. The tariff is for 25 years and is tax free.
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