Is Solar PV a good investment?
In a word, YES!
Solar photovoltaic (PV) systems are a way for you to make money, as well as save on your own electricity bills. This is because you can get paid for the electricity that your solar panels produce. Under the government’s FIT scheme, you receive cash in return for generating your own electricity using renewable energy.
The government’s Feed-in Tariff (FIT) basically pays you in return for having solar panels on your roof. It guarantees cash payments to households that generate their own electricity using renewable technology.
The government is proposing to cut the feed in tariff for small domestic solar PV installations by 87% from 1 January 2016. That means you will now only get 1.63p for electricity generated instead of 12.92p. So if you are considering getting solar PV panels, we recommend you get them now.
Payments are guaranteed for between 20 and 25 years (depending on when you have the panels installed), the price per kilowatt (kWh) of energy is index-linked, meaning that it will rise with the Retail Price Index (RPI) measure of inflation annually, and all proceeds you make are free from tax.