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Renewable Heat Incentive (RHI) Announcement

Renewable Heat Incentive (RHI) Announcement

After months of determining the Comprehensive Spending Review, the Government has given a commitment to the Renewable Heat Incentive Scheme.

The Chancellor, George Osbourne, has committed £860M to "increased incentives for low carbon energy generation through the Renewable Heat Incentive”. The coalition government is therefore committed to increasing our use of energy from renewable sources to 15% by 2020, as set out in the Renewable Obligations.

The details of the incentive has yet to be finalised, however, we will keep you up to date with all the latest information on the RHI scheme, DECC news, tariffs, funding and applying for grants, impact on installation issues, purchasing pellet boilers etc.


• £860M dedicated to the project from 2011 to 2015
• A better deal than anticipated
• June 2011 Launch
• RHI Consultation is ongoing
• DECC to talk with stakeholders in the next few weeks
• £105M p.a. efficiency saving by 2014/15
• Funded directly by the government
• Final RHI policy to be announced soon
• Tariff Rates to be confirmed
• Updates on Climate Change policy
• Feed-in Tariff has re-focused on the most cost effective technologies

Energy and Climate Change Secretary Chris Huhne said: “Renewable heat is a largely untapped resource and an important new green industry of the future.
This incentive is the first of its kind in the world. It’ll help the UK shift away from fossil fuel, reducing carbon emissions and encouraging innovation, jobs and growth in new advanced technologies.”