Everything you need to know about the Renewable Heat Incentive: how it works, what systems are eligible and a whole lot more...
There's also a scheme for renewable electricity.
CHANCELLOR OF THE EXCHEQUER GIVES THE RHI THE GREEN LIGHT!!!
The Government has confirmed that the RHI will go ahead next June although reduced in scope by 20% and paid for directly by the Treasury. Exactly what impact these changes will have on the scheme as published within the consultation document remain to be seen and we are unlikely to know before the Government's response to the consultation is published - date tbc!
For more information, go to our dedicated Spending Review page.
THE RHI AND HOW IT WORKS
You want to reduce your carbon footprint and your energy bills, become more self-sufficient in energy, and earn some extra income. The Renewable Heat Incentive is a new Government-backed measure being introduced in 2011 to make it worth your while to produce renewable heat.
The Renewable Heat Incentive is still being designed, so all the details described in this website are provisional and may change.
Get paid for the renewable heat you produce
You earn a fixed income for every kilowatt hour of heat you produce. This is likely to be used in your own property, but if you are lucky enough to be connected to a heat network you could get an additional payment for 'exporting' surplus heat.
Save on your heating bills
Many renewable systems produce all the heat you need, so you can consign your old oil-fired, gas or coal boiler to the scrap heap and wave goodbye to fuel bills. Some renewable heat systems might leave your old boiler in as back-up. Even then your heating fuel bills should be greatly reduced.
Renewable electricity has its own similar tariff mechanism, called Feed-In Tariffs.
For more information on the Renewable Heat Incentive see our Quick Guide or look at the detailed pages listed below.
FAST FACTS ON THE RENEWABLE HEAT INCENTIVE
For the average household using 15,000kWh of heat a year, the Renewable Heat Incentive will provide the following benefits if solar thermal panels and a biomass boiler were installed:
13,700kWh of heat generated paying the homeowner £1,400 a year (the kW difference being made up through energy efficiency measures such as insulation)
Biomass fuel costs could be as much as £575 per year
Therefore the total annual benefit is £825 per year
