Looks like the final version of the proposed FiTs offers meaningful rates for renewables, including 41p/kWh for small scale solar, linked to RPI for 25 years.

Looks great to me - maybe a better investment than getting 2% in a building society...

Who's spotted the big hidden catches if there are any, or is it going to be more demand = higher prices ??

Ralph

So depreciate the cost over 20 years and factor that in. With the savings in bills and 3p per kWh back for export and increasing elec charges (above inflation) it is still touch and go on whether the sums add up to a good investment or not. That is not surprising as some larger brains than mine have been putting together this package for many months so that they attract enough people to go for it but not too many people as the indirect taxation on electricity bills will become too high. So my calcs show it is worthwhile if you have the space, the knowledge and the cash to spend now to save later. It is not worth it if you need to borrow to acquire the cells. I suspect that the equations also factor in the need to bring down the fitting costs. I have recently been quoted £250 for a company (MCS approved!) to come 15 miles to assess the site for suitability! They couldn't even tell me a budget figure for fitting without this visit. Strikes me as a good way of ripping off widows and orphans.