The UK Government has announced that the Renewable Heat Incentive (RHI) will open for applications in November.
The RHI has been scheduled to launch last month, but the European Commission expressed concerns over the amount of tariff made available.
The good news is that a revised tariff has now been approved and State Aid approval from the European Commission has been received to allow the RHI to go ahead.
The Department of Energy and Climate Change (DECC) has secured the approval after agreeing to reduce the large biomass tariff from 2.7p per KWh to 1p per KWh.
The DECC stated: "Revised regulations have been re-laid in Parliament to reflect the required amendment to the tariff for large scale biomass. We hope to open the scheme to applications by the end of November 2011, subject to Parliamentary approval."