Renewable Heat
Incentive
Grants & Tariffs | Grants | Feed-in Tariff
In April 2011 the government is introducing the ‘Renewable Heat Incentive’ (RHI). In the same way that the Feed-in Tariff pays you for generating electricity from renewables, the Renewable Heat Incentive will pay you to generate heat from renewables.
The Renewable Heat Incentive will come into effect in April 2011 and guarantee payments for those who install technologies such as ground source heat pumps, solar thermal hot water systems, biomass boilers and air source heat pumps.
Under the proposed tariffs the installation of a ground source heat pump in an average semi-detached house with adequate insulation levels could be rewarded with £1,000 a year and lead to savings of £200 per year if used instead of heating oil.
The heat incentive could help thousands of consumers who are off the gas network lower their fuel bills and gain a cash reward for greening their heating supply.
Proposed tariff levels for Renewable Heat Incentives:
Ground-source Heat Pumps
- Systems up to 45kW = 7p /kWhTariff lifetime: 23yrs
- Systems from 45kW–350kW = 5.5p /kWhTariff lifetime: 20yrs
- Systems from 350kW and above = 1.5p /kWhTariff lifetime: 20yrs
- Systems up to 45kW = 7.5p /kWhTariff lifetime: 18yrs
- Systems from 45kW–350kW = 2p /kWhTariff lifetime: 20yrs
- Systems up to 20kW = 18p /kWhTariff lifetime: 20yrs
- Systems from 20kW–100kW = 17p /kWhTariff lifetime: 20yrs
- Systems up to 45kW = 9p /kWhTariff lifetime: 15yrs
- Systems from 45kW–500kW = 6.5p /kWhTariff lifetime: 15yrs
- Systems from 500kW and above = 1.6-2.5p /kWhTariff lifetime: 15yrs
At this stage the renewable heat incentive is still a proposal. The proposed Renewable Heat Incentive was published on 1st February 2010 with the consultation period running for 12 weeks. We will be keeping a very close eye on developments, attending the consultation meetings and keeping up to date with all the latest announcements.
See additional information on:
Grants & Tariffs
Grants
Feed-in Tariff
For further reading on the Renewable Heat Incentive please go to www.rhincentive.co.uk
