The house holder pays for the cost of materials and installation. There is now no government money in forms of grants etc. The green loans (if started) are arranged and organised by the installer under licence by the MCS Scheme. As all jobs the project will have to be priced using MCS accredited materials and installer, it will then be put forward to a governing body for agreement and land registry checks etc. As I stated previously the loan is on the property not the house holder. Once the completed job has been notified the payment of the loan will go to said installer. Its not open for guess a figure and double it scenario as the MCS have guide lines as to expected install prices per Kw.
There is no option to buy the product yourself, install it and then claim FITs. It has to be installed by a MCS accredited installer using MCS accredited materials, even down to the type of bolts used to fix it down. You can try and purchase a system and install it yourself but it will never qualify for FITs and it is here where the reasonable pay back comes into play. We’ve fitted two small scale systems only to achieve MCS accreditation. The likely final cost of this will be around £5K for both systems. Add into our training, travel, plant and machinery costs, advertising and man hours in research and purchase of required documentation as a company the investment into the industry will be around £15-£20K.
As a rule of thumb and dependant on system and location the expected cost is £5K to £7K per Kw fitted. So a 4Kw system will be around the £20-24K area. A 2.5Kw system is expected to pay back in 10 years.