Ourpower Guides - What financial support or grants are available for microgeneration at home?

The UK government currently provides assistance with the initial purchase/install costs of
various microgeneration technologies.These are administered by the Low Carbon Buildings Programme. See their website for more details. Below is an overview of the
situation as of June 2007.

Overview

The grants are available to all property owners

The following are the steps:

  • Complete the energy efficiency measures required by the programme (see below), obtain planning permission for your installation if necessary and obtain a quote from an accredited installer.
  • Make an application online.
  • After receiving a grant offer letter via email, order the equipment and begin installing the technology. The grant validity period varies by technology. See below.
  • After you have completed the installation and you have paid the installer, you can submit the claim documents to the Energy Saving Trust.
  • The grant claim is checked and, if in order, the grant will be issued within 25 working days of receipt of all the documentation.

Grants are valid for different lengths of time after they have been awarded. You need to be ready to go when the grant comes through:

                                              Existing property                    New Build
Solar thermal                           3 months                              6 months
Solar PV                                  4 months                              6 months
Wind Turbines                          4 months                              6 months
Ground Source Heat Pumps        6 months                              6 months
Wood Fuelled Boilers                 6 months                              6 months
Pellet Boilers                            6 months                              6 months
Small Hydro                             12 months                            12 months

The following energy saving measures must have been carried out or be in place
before you can be awarded a grant:

  • insulated the whole of the loft of the property to meet current building regulations e.g. 270mm of mineral wool loft insulation or suitable alternative
  • installed cavity wall insulation (if you have cavity walls)
  • fitted low energy light bulbs in all appropriate light fittings
  • installed basic controls for your heating system to include a room thermostat and a programmer or timer.

You must have received planning permission, or have documents to show you do not need any, before application.

The following are the awards available by technology:

  • Solar photovoltaics               Maximum of £2,000 per kW of installed capacity, subject to an overall maximum of £2,500 or 50% of the relevant eligible costs, whichever is the lower
  • Wind turbines                      Maximum of £1,000 per kW of installed capacity, subject to an overall maximum of £2,500 or 30% of the relevant eligible costs, whichever is the lower
  • Small hydro                         Maximum of £1,000 per kW of installed capacity, subject to an overall maximum of £2,500 or 30% of the relevant eligible costs, whichever is the lower
  • Solar thermal hot water         Overall maximum of £400 or 30% of the relevant eligible costs, whichever is the lower
  • Ground source heat pumps    Overall maximum of £1,200 or 30% of the relevant eligible costs, whichever is the lower
  • Automated wood pellet
    fed room heaters/stoves       Overall maximum of £600 or 20% of the relevant eligible costs, whichever is the lower
  • Wood fuelled boiler systems  Overall maximum of £1,500 or 30% of the relevant eligible costs, whichever is the lower

It should be noted that you can apply for a grant for each of multiple technologies, but since the latest review in 2007, a maximum of £2,500 is available per house. Also, certain parts of the cost (such as VAT for instance) cannot be included.