Solar FIT or TOU - What's Right for You?
When it comes to choosing a solar tariff, there are two main options:
- Feed-in Tariffs (FIT)
- A FIT is a payment that you receive for the electricity that your solar system generates and exports back to the grid. In Thailand, the payment amount is Bt. 2.2/kWh. FITs are a good option for people who want to generate their own electricity and sell it back to the grid. They can also be a good way to offset the cost of installing a solar system. However, it’s important to note that FITs are declining in value over time, so you may not be able to earn as much money from your system in the future.
- Time-of-Use Tariffs (TOU)
- A TOU tariff is a type of electricity pricing that charges different rates for electricity depending on when it is used. Peak times are typically during the day when demand for electricity is high, while off-peak times are typically during the night and weekends when demand is low. In Thailand, peak time is from 9 am to 10 pm, while off-peak is from 10 pm to 9 am + Saturdays, Sundays, and some holidays.TOU tariffs can be a good option for people who want to save money on their electricity bill. By shifting their energy usage to off-peak times, they can take advantage of lower electricity rates. However, it’s important to note that TOU tariffs can be complex and difficult to understand. You may need to monitor your energy usage closely to take advantage of the lower rates. Typical TOU rates in Thailand are Bt. 5.1 Peak and Bt. 2.6 Off-Peak, plus a service charge of Bt. 312.
- Q: What is the difference between a FIT and a TOU tariff?
- A: A FIT is a payment that you receive for the electricity that your solar system generates and exports back to the grid. A TOU tariff is a type of electricity pricing that charges different rates for electricity depending on when it is used.
- Q: What are the limitations with FIT?
- A: The limitations depend on your power supply. If you have a single-phase supply, the maximum Solar PV allowed is 5kWp. If you have a three-phase supply, then the maximum Solar PV allowed is 10kWp.
- Q: Which is the better option for me?
- A: The best option for you will depend on your individual circumstances. If you want to generate your own electricity and sell it back to the grid, a FIT may be a good option for you. If you want to save money on your electricity bill, a TOU tariff may be a better option.
So, What's Right for You?
The decision of whether to choose a FIT or a TOU tariff is a complex one. There are many factors to consider, such as your individual energy usage patterns, your budget, and your goals for your solar system. If you are unsure which option is right for you, it is a good idea to consult with your local Solar Installer.