Solar hot water systems trap the sun's heat in panels or tubes and use this energy to provide a hot water supply. A solar hot water system can save 50-70% on hot water heating bills over the year. Up to 100% of hot water needs can be provided during the summer months and a significant proportion can still be provided during autumn, winter and spring. The cost effectiveness of solar hot water systems depends largely on the cost of the fuel being replaced and the quantity of hot water used. Financial incentives are likely to be available under the Renewable Heat Incentive (RHI) scheme. Details are expected to be confirmed later in 2011 with some further background provided below.
Integrating solar technology
Solar hot water systems usually take 1-2 days to be professionally installed and integrated into an existing hot water system. The systems generally work alongside standard boilers. The standard boiler acts as a back up system, firing up automatically at any times when the solar system isn't providing enough heat.
In some instances solar hot water systems can also contribute to central heating. It is unadvisable to use solar hot water systems with radiators, but they can certainly be used with under floor heating systems.
With a well designed system, there should be little, if any, need to use a fossil fuel boiler at all during summer months. Even during the autumn, winter and spring, the system will still make a significant contribution to hot water needs.
Cost Effectiveness
Solar hot water systems can make significant savings on hot water heating bills usually around £50 - £85 per annum. They will certainly save money over the long term, but upfront costs can be relatively high. Systems cost from around £2,500, but a good quality, well installed system is more likely to cost between £3,500 - £4,500 for the average 2 or 3 bedroom property. This price includes scaffolding and all other charges.
There are a number of factors that can affect the cost effectiveness of the system. For example, these systems are most cost effective for buildings previously heating water using expensive fuels (including peak-rate electricity, oil, coal and LPG). As fossil fuel prices continue to rise, the systems are likely to become more and more viable. Installations at larger houses, or that involve complications of some kind, may be less cost effective as they are likely to incur higher installation costs. Factors which might affect this include:
- Access to the roof, loft or plumbing system
- Mains pressure or "unvented" cylinder replacement
- Very long pipe runs or a complex building structure
- Requirements for contributing to an under floor heating system
Costs can be reduced by self installing or installing the system as a house is being built. If buying a professionally installed system, it is advisable to get three quotes, read the small print and never sign up for anything on the spot.
Incentives
The Renewable Heat Incentive (RHI) scheme will provide a financial incentive to invest in solar thermal systems. This may be around £400 per annum for some 20 years. This would typically produce a rate of return on your investment of some 6%.
Installation must be by an accredited installer using accredited products under the Microgeneration Certification Scheme (MCS). For more information visit www.microgenerationcertification.org/.
See also www.decc.gov.uk/en/content/cms/consultations/rhi/rhi.aspx to access RHI Frequently Asked Questions and the consultation document which includes the proposed payment rates and duration.
For further information on installers contact us directly.
Useful Contacts:
Please note that this list of organisations is not exhaustive.
The Solar Trade Association
http://www.solar-trade.org.uk/
Centre for Alternative Technology
The Energy Saving Trust
http://www.energysavingtrust.org.uk/Generate-your-own-energy/Solar-water-heating
