Solar Power Feed In Tariff

kingway

I would like to introduce about Solar Power Feed in Tariff (FIT) . This is a new thing in Malaysia but already available some countries like German, Australia and western countries quite some time. Japan also just started not long ago.


1. What is Solar PV?
Basically it is a electrical/electronic system that produce electricity from Sun light that is installed on a building or on the ground.
PV stands for Photovoltaic. The term "photovoltaic" comes from the Greek φῶς (phōs) meaning "light", and from "Volt", the unit of electro-motive force, the volt. (Wikipedia).


2. What is a Feed in Tariff (FIT)?
Feed in Tariff is a special tariff rate that TNB would buy electricity from the Solar PV owner. The FIT rate for 2013 is around 4x of TNB residential Tariff rate, this means TNB is buying at a 4x tariff rate compare to the tariff rate that they are selling. The FIT is govern by Sustainable Energy Development Authority Malaysia. (SEDA)


3. How to apply for the Feed in Tariff?
Yoou could engage a SEDA/ISPQ qualified Solar System Integrator or service provider to apply for the Feed in Tariff.


4. Could i apply it myself?
Technically you could do so. Please visit the SEDA site (http://seda.gov.my/) there are tutorials and forms in the site that woud guide you for the application.


5. What is the duration of the Feed in Tariff?
The duration would be 21 years. Basically TNB would sign a contract with the FIT rate with the Solar PV owner for 21 years.


6. How do we see the money?
An additional PV meter (similiar to TNB meter) would be install to record down the electricity generated by the Solar PV system. TNB would pay you based on the unit (kWH) generated multiply by the Feed in Tariff Rate.


7. What is the ROI?
The ROI roughly would be ~12%-17%* *this an estimation only and depends on the solar pv location, geographical condition, design, and many other factors. Please consult your service provider/system integrator to provide the calculation.

8. How much do we earn actually?
We would earn around RM500-RM2000 passive income per month for typical house/shoplot Solar PV system.


Please visit the official government website http://seda.gov.my/ for more details.

Any Kedahan or Perlis frens already installed this? Mind to share here for this investment?