South facing roof free solar pv?

[Jordon]

Hi all I have been offered to have solar pv on my roof for what they say is free, this is a sales word as nothing is free. I would like to know the ins and outs on haveing it fitted and leasing my roof for 25 years, is it worth it? Will it be hard to sell with the panels? Whats the catch?

Cheers.

 

[warmadmax]

catch is the company installing the panels will take the FIT's payments,
recooping their cost of investment and earning themselves a profit at the tax payers expense (goverment payment!).

the FIT (feed in tarrif) payment can be about £1000 per year that the company keep to cover a £15,000 install (less vat?)

It's worth it to the company, long term investment with a high return.
Is it worth it to you to reduce your electric bill by about £60 - £80 a year depending how big the panels are???

better deals can be had from numerous providers,
as they give you the option to buy them out and take the FIT yourself at a later date.

a good source of info i use is http://www.moneysavingexpert.com/utilities/free-solar-panels

 

[bernardgreen]

The other "catch" is the company is likely to take out lease on your roof which if you sell the house the new owners will have to take over or cancel at a cost to them and that could make selling your house much more difficult.

 

[flameport]

a good source of info i use is http://www.moneysavingexpert.com/utilities/free-solar-panels[/QUOTE]

A typical system could cost c.£12,000, but over 25 years the feed-in payments could net you £25,750

£12k shoved in a savings account paying 3% interest per year would do the same.
For any investment or savings scheme over 25 years, 3% is very poor indeed. Better deals are available even with today's low interest rates.

It's worth it to the company, long term investment with a high return.

Can't see how it can be. The initial 'investment' is nothing of the sort, it's just expenditure.
If these companies are borrowing money to install these systems, then the interest payments will wipe out most or all of the income from the FITs. There is also the question of what they are using as security for the loan, as it certainly won't be the panels.
If these companies have substantial piles of cash just laying around which they are using to pay for the installations, they are fools - far better investments are available, without destroying the initial capital.

In either case, where is their cashflow to pay for ongoing expenses? And what happens next April when the FITs for new installations will be severely reduced?

 

[timtheenchanter]

The other "catch" is the company is likely to take out lease on your roof which if you sell the house the new owners will have to take over or cancel at a cost to them and that could make selling your house much more difficult.

I've been looking at this, and so far its this that has put me off, no estate agents know weather this would be a problem, as they have not come across it (yet) and the companies seem reluctant to give an answer too.

 

[Aquilani]

The feed in tariff is linked to inflation and tax free, it would see a better return than having the cash in the bank.

Do not lease your roof when you can have the benefits for yourself, Cheaper electricity, about £1000 a year return, adds value to your home and is a selling point, you will be selling a home with an income.

 

[ban-all-sheds]

catch is the company installing the panels will take the FIT's payments,
recooping their cost of investment and earning themselves a profit at the tax payers expense (goverment payment!)

No - it's not at the taxpayers' expense - the FIT payments do not come from the Government.

They come out of the pockets of all the people who do not have solar PV systems, including those who cannot afford it, or who can't even be given the "free" systems because they don't own a suitable roof.

FACT: 5-6 million households are in fuel poverty.

FACT: Every year people die because they cannot afford to heat their homes properly.

Increasing fuel bills to pay for FIT schemes must put more people into fuel poverty - it cannot do otherwise.

And so it's possible that someone will die because of FIT levies on their bill who would not have died had there not been people renting out their roofs to make a quick buck.

 

[Stoday]

They'll tell you that you get any generated electricity you use for free, but that's a lie.

The amount of generated electricity you use isn't metered; it's assessed. All you get for free is the amount they assess you will use.