RED Renewables - Solar Panels - The Myths
Frequently Asked Questions
There are many rumours and myths around solar photovoltaic technology and the industry. Here we try to address any concerns you may have. If you would like any questions answered that are not here then please do get in touch.
Q: Should I wait for next summer?
A: No! Each April the tariff paid for new installations is reduced. This is designed to offset the reducing costs of equipment. If you act now then your tariff rate will be set for 25 years (but will increase annually with RPI). At RED Electrical we expect to have a high demand in the weeks and months before each April, as people rush to get on the more favourable tariff rates.
Q: Do you have solar PV at your house?
A: Yes! RED Electrical's owner, Stuart Reid, has installed a solar array on his own house. The financial benefit from the system currently fully offsets the energy bills for the property.
Q: Am I able to view a system?
A: Yes - in fact you should NOT place and order with any company without seeing a system they've installed. We're happy to let you view one of our systems
and compare it to our guide to quality installations. On our travels we've not seen many installations done by others that we would have been happy with!
Q: Who's paying for the Feed In Tariff?
A: The Clean Energy Cashback Scheme is funded by the electricity company. A proportion of your electricity bill is an environmental levy, and this is where the electricity company obtains the funds to pay the Feed In Tariff. Therefore, all of us are funding the scheme.
Q: How long do solar panels last?
A: Solar photovoltaic systems have no moving parts (with the exception of a cooling fan on some inverters). Most solar modules have 25 year warranties on their output but good quality panels are expected to last as long as 40 years.
Q: How are the rewards affected if electricity prices rise?
A: It is generally accepted that they will. Due to the reduced need to purchase your electricity from the grid, rises in the retail price of electricity would make your investment make even more sense. The tariff payable to you for generating your own electricity is not linked to electricity prices, however - it is index linked.
Q: How do the electricity companies know how much to pay?
A: An additional meter is installed that measures electricity generated by the system. This is read at the same time as the normal meter to determine the payments you will receive for generation. Until smart meters are introduced, there is no way to measure what is being sold back to the electricity company, so for now they assume that you use half what you generate, and export the other half.