Renewable Heat Incentive

Renewable Heat Incentive - Launched 28th November 2011

After months of delay the Renewable Heat Incentive scheme has opened its doors for applications. Early commercial and public sector adopters stand to benefit the most from the currently generous tariffs.  For example a medium size office block with a 200kW boiler could receive over £20,000 a year from the RHI, depending on usage.

These high tariffs won't be around forever and those applying now will receive fixed quarterly payments for 20 years. Visit our RHI Calculator page to find out more.

What is the Renewable Heat Incentive (RHI)?

The Renewable Heat Incentive is a financial incentive to support the uptake of renewable heating systems across all market sectors. The incentive is designed to cover the cost of equipment and installation, the differential in fuel prices and to provide a Return on Capital of 12%. The scheme started on 28th November 2011 and will offer a quarterly payment for a period of 20 years.

Why have the Renewable Heat Incentive?

In the UK, heating is responsible for 47% of the country’s CO2 emissions. In order to meet environmental targets set, the Government is committed to increasing heat production from renewable sources to 12% by 2020 (currently 1.2%). In order to do so, approximately £860million will be committed to the RHI between now and 2015.

Who qualifies for the RHI?

Any Industrial, Commercial or Public Sector organisation that meets the eligibility criteria and is based in England, Scotland or Wales who has installed and commissioned a wood pellet boiler system after 15th July 2009 can receive payments under the RHI.  However, anyone who has previously received a grant to help with the cost of a wood pellet boiler can only receive the RHI if they repay the grant in full.  Householders cannot currently apply for the RHI, but can apply for a Premium Payment grant.

When does the Renewable Heat Incentive come into force?

Phase 1 - November 2011 - For UK industrial, commercial and public sector organisations only.

Phase 2 - October 2013 (estimated) - Domestic properties become eligible for the Renewable Heat Incentive.

RHI Updates

If you wish to be kept up to date please click on one of the links below or visit our news and updates menu and choose the best option of receiving RHI Updates that suits you.