The Renewable Heat Incentive has been designed to reward renewable energy users for the amount of heat produced. In turn the user will receive regular payments over a 20 year period, based on their energy usage.
To ensure that the correct level of heat is measured, Non-Domestic users will need to use a meter to measure their readings. This will need to be installed at the point of generation and, where appropriate, at the point of usage.
Domestic users can opt to install a meter, for which they will receive an additional financial incentive of £200 per year for a biomass installation. For those who decide not to bother with a meter, the amount of energy required is deemed (estimated) based on an Energy Performance Certificate (EPC) for that property.
For those with a meter, the frequency of the meter readings will be determined by Ofgem and no payment will be made until the meter reading has been submitted for the period in question. It will be down to the energy user to supply the meter readings for each period.
For compliance purposes, the type of meter required is a Class 2 heat meter. This will meet the criteria set out on how outputs need to be measured, how the meter is configured and how it is maintained.