About Feed-In Tariff
Oblige distribution licensees (DLs) to buy from feed-in approval holders (FIAHs) the electricity produced from renewable sources and sets the FiT Rate. The DLs would pay for each unit of the renewable electricity supplied to the electricity grid for a specific duration.
On Grid Feed-In Tariff (FIT)
Guaranteeing access to the grid and setting a favourable price per unit of renewable electricity
Distribution licensees ae (e.g. TNB, SESB, NUR)
Fixed premium rate payable for each unit of electricity solf to distribution licensees
The duration is 21 years for solar PV
Critical Success Factor of FIT
SEDA Solar Energy Project (Roofting Installation)
System Capacity: 12KWH
Cost of Investment: RM 120,000.00
Feed In Tariff Rates As per 2014: 0.9936
Additional FIT Rates
+0.2153 (Use as installation in building or building)
+0.0500 (Use of locally manufactured or assembled solar PV modules)
0.9936 + 0.2153 +0.0500 = 1.2589 ( Total FIT rate for your system)
12kW x 4 hours/day x 1.2589 x 30days/month = RM 1,812.816 per month
RM 1,812.816 x 12 = RM21, 753.792
Return on Investment
RM21, 753.792 / RM120, 000 = 18.12% per year
It takes 5 years and 7 months to return on investment.
PROJECTED Net Yield
RM21, 753.792 (each year earning) x 21 years - RM 120,000
= RM336, 829.632
* Projection Yeild might be affect by roof size, tilt degree, solar array direction, location & angle and current FIT rates.
FIT rates are according to latest updates from SEDA, any changes have to refer to SEDA.