Renewable Heat Incentive
The first phase of the Renewable Heat Incentive (RHI) is now open. The initial RHI is for Commercial applicants although within this there is a Domestic element via multi-home “District Heating Schemes”.
Under the RHI tariff based payments are offered to customers for . The Renewable Heat Incentive is currently in place for the following technologies:
- Solar Thermal
- Ground & Air Source Heat Pumps
- Biomethane & Biogas Combustion
The RHI Tariff will provide a strong and reliable return on investment (and increasing yearly in line with the RPI). Payments will be made quarterly based on heat metered readings submitted by the owner of the installation. The amount you are paid will be determined by multiplying the eligible metered heat reading by the relevant tariff level.
Current tariff rates are very attractive in order to reward early adopters (see tariff table) and to encourage uptake by large industries and commercial enterprises. The Commercial RHI however, is not just for large industries, but also open to:
- Small and Medium size Businesses and Offices
- Farms & Agricultural Businesses
- Hospitals, Schools, and other Community Buildings
- District Heating Schemes (e.g. one boiler serving multiple flats/homes)
The eligible output of your Renewable Heating system includes Space Heating, Hot Water, and Commercial / Industrial / Agricultural processes.
|Tariff Name||Eligible Size||Tariff Rate (pence/kWh)|
|Small Commercial Biomass||<200kWh||Tier 1: 8.6|
Tier 2: 2.2
|Medium Commercial Biomass||200< System Size <1000Kwh||Tier 1: 5.3|
Tier 2: 2.2
|Large Commercial Biomass||1MW<||1.0|
|Small Commercial Heat Pumps||<100kW||4.8|
|Large Commercial Heat Pumps||100kW<||3.5|
The Renewable Heat Incentive for individual residential properties is not due to be brought in until Spring 2014. In the meantime the Renewable Heat Premium Payment up front grant has been extended another year.