With initiatives like the Smart Export Guarantee (SEG), the Boiler Upgrade Scheme (BUS), and a 0% VAT incentive on eligible products, taking advantage of these financial aids can significantly reduce your upfront costs.
Explore how these opportunities can help you invest in eco-friendly technologies, decrease your energy bills, and contribute to a healthier planet.
The Smart Export Guarantee (SEG) allows small-scale generators to earn payments from electricity suppliers for the electricity they export back to the National Grid, subject to certain criteria.
Through the Boiler Upgrade Scheme, you may receive a grant to help cover part of the cost of replacing your fossil fuel heating system (including oil, gas, or electric) with the installation of a heat pump or biomass boiler.
The Government has implemented Zero-Rated VAT on the installation of energy-saving and renewable products (solar panels, air source heat pumps, and battery storage) for all homes in the UK until 31 March 2027.
The Smart Export Guarantee (SEG) is a government-backed initiative that was launched in 2020. This program requires certain energy suppliers to compensate small-scale generators, whether domestic or commercial, with a tariff for electricity that is exported back to the National Grid.
The technologies eligible under the SEG include solar photovoltaic (solar PV), wind, micro combined heat and power (micro-CHP), hydro, and anaerobic digestion (AD).
These technologies are recognised for their contributions to renewable energy generation and can participate in the SEG program.
The tariff value for electricity exported to the grid is determined by the energy supplier and must be above £0.00 per kWh. Currently, the average tariff stands at approximately 5p per kWh exported.
However, some suppliers, such as Octopus Energy, offer specialised tariffs, with rates reaching as much as 20p per kWh exported. It is advisable for participants to shop around for competitive tariffs in order to maximize their financial benefits.
The Boiler Upgrade Scheme (BUS) supports the decarbonization of heating systems in buildings. This initiative provides upfront grants to encourage the installation of low-carbon heating systems.
To qualify for the Boiler Upgrade Scheme, the property must be owned by the applicant, and the applicant cannot apply for a hybrid system, as the heat pump must fully replace the existing system. This scheme is applicable only to properties in England and Wales and is available exclusively through installers certified by the Microgeneration Certification Scheme (MCS), of which Solar Footprint is fully accredited.
Additionally, there is £450 million in government funding allocated for this scheme, available until 2025.
Grants of £7,500 are available toward the cost and installation of an air source heat pump. Solar Footprint submits applications on behalf of property owners.
To apply for BUS funding or explore benefits, contact us.
In April 2022, the UK Government introduced a 0% VAT rate on the installation of energy-saving products for residential accommodation. This measure encourages families to adopt renewable technologies and reduce reliance on energy suppliers.
The eligible technologies under the 0% VAT on Renewable Products scheme include solar panels, air source heat pumps, and solar energy battery storage systems. These technologies play a crucial role in promoting the adoption of renewable energy solutions and enhancing energy efficiency in residential accommodations.
The tax cut directly reduces the total cost of eligible energy products and installations.
To discuss 0% VAT installations or estimated savings, contact us.
Join the thousands making the switch to renewable energy solutions. Start saving on energy costs while contributing to a greener planet. Let us guide you every step of the way.
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