Did you know that by installing solar panels, you could reduce your heating bills and sell electricity back to your energy supplier to reduce service charges in your block? New legislation due in April will make it easier than ever before to go green and generate your own electricity.

Lesley Davies reports.

If you like this idea but are wondering how complicated it would be to achieve, the new so-called ‘Feed-in Tariffs’ or FiTs to be introduced in April should make it easier for Resident Management Companies (RMCs) to take advantage of the benefits of renewable energy. These are governmentfunded payments whereby anyone who has solar panels installed, will receive a fixed price for every kilowatt hour (KWh) of electricity produced. There are three strands to the new system:

• A fixed price for each unit of electricity generated;
• A guaranteed price for each unit of electricity exported onto the electricity grid throughout the lifetime of a particular installation’s eligibility for FiT payments; and
• Benefit gained from using your own electricity, i.e. lower bills and partial protection from future electricity price rises.

Still interested?

There will be two separate schemes for electricity and heat. Still interested? Your first step is to determine whether or not your premises are suitable for a solar installation. According to the Renewable Energy Association, if you have a large, un-shaded, predominantly south facing roof space, this is ideal for solar panels. If not, they advise that panels can be mounted on other aspects or proud of the roofline.

Take professional advice. The Green Book Live at www.greenbooklive. com is a free online database that lists products and installers approved under the government’s Microgeneration Certification Scheme. The Renewable Energy Association also operates its own REAL assurance scheme, listing members who must comply with the Consumer code and only use products certified under the Low Carbon Buildings Programme or the Clear Skies programme – both backed by the government.

Once you have identified a reputable company in your area, your chosen supplier will estimate your typical energy consumption and recommend the right installation for your property. The larger the installation, the more electricity you will be able to sell back to the grid but the initial outlay could be expensive, so it is important that equipment is accurately sized to match your needs.

Planning permission is not required for solar installations but as they fall into the category of Approved Development, under current regulations you must notify the local planning department. However, unless you live in a conservation area, an area of outstanding natural beauty or in a listed building, you shouldn’t fall foul of your local planning officer.

Financial benefits?

So how much is a solar installation likely to cost and what financial benefits can RMCs hope to achieve? Terry Sweeney is sales manager for PV Systems, established in 1991 and a government-approved solar PV installer for the Low Carbon Buildings Programme. He admits there is no such thing as an average system or an average cost. “Most people look at a 1 kWp system, which will provide about 850 kWhp per annum and a carbon saving of 830kg of CO2 and then multiply this once they have identified their requirements,” he explains.

This equates to 6-8 panels. Ultimately, size is limited by the size of your roof and by the District Network Operator, which owns the electrical infrastructure system. According to Sweeney, a typical 1kWp system would be around £5,000 installed. He estimates that payback based on proposed April 2010 figures could be calculated as follows:

1. £5,000 outlay
2. Income from FiT 850kwh x 36.5p = £310.25 per annum,
3. Savings on imported electricity at estimated 11p per unit = £93.50 per annum.
4. Total £403.75 per annum

You can export any unused electricity and earn about 5p per unit, which would be an additional income. Therefore the payback period based on this system would be 12 years. The panels should remain in place for around 25 years, so you will still have an income for another 13 years.

If the upfront costs sound high, the good news is that grants are available for renewable energy installations. You can apply online before your system is installed and may be eligible for up to £2,000 per kWp. Contact the Low Carbon Buildings Programme for more information (www.lowcarbonbuildings.org.uk)

Telecoms provider

Another (and perhaps more controversial) way of generating additional income for your block, is to allow a telecoms provider to install a mobile phone mast on or near your building. According to O2, on average this could generate up to £2,000 per annum, which could be used to offset service charges - as well as guaranteeing residents a great signal on their mobile phones.

This may not be enough to convince leaseholders or the planning authorities that the installation should go ahead. Unlike solar panels, mobile masts do require planning permission, and even the phone companies admit that gaining the appropriate permissions can be a long drawn out process.

In the past there have also been concerns raised about the possible health risks associated with mobile phone masts. If you are approached by a site acquisition agent for one of the phone companies, your first step should be to take legal advice to ensure that you fully understand the details of the contract you are entering into. You should also appoint a chartered building surveyor to assess the impact, if any, on the fabric of your building. And there will almost certainly be insurance implications so consult your insurance provider sooner rather than later.

For more information on phone masts, contact the estates departments of the mobile phone companies or go to www. mobilemastinfo.com

DISCLAIMER

Any external products and services listed do not necessarily carry the endorsement of flat-living or imply a recommendation. flat-living.co.uk does not recommend any of the advertisers and cannot be held responsible for any work undertaken by or purchased from any advertiser on this site.

Whilst flat-living makes every effort to ensure that the articles included in the web site are accurate at the time of publication it is inevitable that, as time goes by and circumstances change, the articles may contain out of date information. Readers are strongly urged to check the content of these articles before taking any action that could have legal or financial consequences. flat-living shall not be liable for any loss, damage or inconvenience arising from inaccuracies.