What is Renewable Heat Incentive?
There are two Renewable Heat Incentives (RHI): one for residential homes and one for the non-domestic sector (industrial, commercial, public sector and community organisations). The overall aim of the RHI scheme is to help the UK achieve its target of producing 12% of its heat from renewable sources by 2020. The scheme runs in England, Scotland and Wales.
Who is it for?
The Non-Domestic RHI (commercial) is for industrial, commercial, public sector and not-for-profit organisations. These include, for example, businesses, hospitals, schools, and district heating schemes such as in the case of where one boiler serves multiple homes.
The domestic part of the RHI scheme launched on 9 April 2014. It offers regular ‘tariff’ payments to those using certain technologies to heat their homes. The amount of money you get paid depends on which technology you use.
KEY RHI FACTS
Guaranteed payments made every 3 months for 7 years based on deemed energy consumption from your Energy Performance Certificate (EPC)
Government backed scheme, administered by Ofgem.
20.46 pence/kWh tariff for Ground Source Heat Pumps and 10.49 pence/kWh for Air Source Heat Pumps at time of publication
All self-build and domestic renovation projects are eligible, as well as domestic heating replacement schemes.
Link for more information on current tariff and information:
RHI in simple terms don't get too confused its really not that hard.
After joining the RHI scheme, you receive a quarterly tariff payment for every kilowatt hour (kWh) of renewable heat you produce. You get these payments for seven years. It’s possible for households to install more than one technology and receive payments for each system they use (domestic)
Non domestic you get payed quarterly for 20 years. Unlike domestic you have a meter reading in accordance with the amount of KWH used . You submit your readings off the meter. And get repayments that way.
How much you could earn depends on your personal circumstances – such as the size of your home, how much heating you need and which renewable heat technology you choose to install. On top of RHI payments, you can also make a saving on your heating bills. This will vary depending on which fuel you are replacing and what you are replacing it with. You’d need a EPC rating on the house for domestic. This can be easily done by us and arranged.
For non domestic its simple again you earn off your meter readings for the amount of KWH you run the boiler at is totally up to your demand needs.
In order to be eligible for the domestic RHI scheme, you must own a renewable technology and own or occupy the property it’s in. So applicants need to be either: an owner occupier a social landlord a private landlord a self-builder.
For non domestic you must own the boiler. It can be placed where need be you don’t necessary need to “own the land” for example it could be a rented unit, yard or barn.
- Owner Occupier
- Social Landlord
- Private Landlord
- Businesses unit or warehouse
- District heating schemes such as in the case of where one boiler serves multiple homes.
- Agriculture (i.e farms)