THOUSANDS of homeowners are expected to cash in on a new renewable energy incentive scheme that launches tomorrow.

Households that generate their own electricity through solar PV panels or wind turbines will be paid for every unit of green energy that they produce.

With Hampshire enjoying more hours of sunshine than almost anywhere else in the country, experts say that local homeowners are well placed to capitalise.

Southampton Mayor Cllr Liz Mizon is set to become one of the first to make the most of the Government scheme after she last week had a four-kilowatt solar panel system installed on the roof of her Bassett home.

She said: “We’ve got a really good climate in Southampton and it’s something I would encourage people to make the most of.”

The Clean Energy Cash Back Scheme means that every home with solar panels will get 41.3p for every unit of electricity it produces.

Furthermore, any unused power will be sold back to the National Grid, earning the householder an extra 3p.

A typical 2.5kW system – costing between £10,000 and £12,000 – should give you a return of about £1,000 every year in earnings and reduced electricity bills, according to the Department for Energy and Climate Change.

It’ll generally take about 10 years to get back your initial investment – and then it’s a tax-free profit-making machine. Experts estimate a £10,000 system will earn £25,000 over its lifetime.

One Hampshire eco-business predicts that it will install at least 5,000 solar panels on the roofs of homes across the county over the next 12 months.

Franchise firm Reducing Carbon Solutions, based in Hedge End, was launched at the start of the year in anticipation of the feed-in tariff.

Managing director Philip Robinson said that the number of solar PV systems could increase 100-fold in a matter of years. He said: “This is an incredible deal and could make a real difference to the way people view renewable energy and in particular solar technology.”

Southampton MP Alan Whitehead, said: “This feed-in tariff will make a major difference to homeowners.