The RHI is a scheme which provides financial support to renewable heat generators. The scheme, which was launched in November 2011, also provides financial support for multiple units such as Residential Social Landlords properties.
There are two programmes to the RHI:
1: Domestic RHI: the government will pay homeowners that install the eligible renewable heating systems (see below) every quarter for 7 years.
2: Non-Domestic Renewable Heat Incentive which provides the financial incentive to increase the uptake of renewable heat installations in the industrial, commercial, public sector and not-for-profit organisations. Paying organisations every quarter for 20 years.
The key objective of the scheme is to increase significantly the level of heat generated from renewable energy sources in Great Britain and thereby enable the UK to meet its binding reduction in carbon emissions targets.
The tariff is put in place to cover the cost of the installation and in the majority of cases you can earn money on your initial investment!
The types of renewable heating technologies covered by the scheme are:
Please note that the tariff rates differ from each technology.
For more information on RHI policies please visit ofgem’s website (regulators).