The Renewable Heat Incentive is a Government funded scheme which promises to pump over £860million into encouraging commercial and public sector users to switch into renewable energy.
Although it is funded by the Government the RHI scheme will be managed by the energy regulator Ofgem. They will be in charge of administrating the scheme and monitoring eligible systems and the tariffs paid.
Ofgem have published guidelines on both the application process and the ongoing requirements of the RHI scheme. Once this has been established Ofgem will receive the regular meter readings, calculate the relevant payments due and then make the payments on a quarterly basis. Payments will be made within 14 days directly in to a nominated bank account.
As part of their management of the scheme Ofgem will also be responsible for all compliance issues. If participants in the scheme fail their compliance procedures than Ofgem will be able to suspend or withdraw payments, reduce payments, exclude participants and even prosecute for fraud.
