Under the terms of the Renewable Heat Incentive (RHI), the owner of the renewable heat technology is eligible for regular payments over a guaranteed period. However, what if the ownership of the installation changes hands?
In the majority of instances, the tariff payments will transfer to the new owner for the remaining period of the agreement. The new owner will have to satisfy the regulatory body Ofgem that they have full ownership of the installation and that all the eligibility criteria are still being met. The new owner should also make it clear to Ofgem that they will continue to comply with the obligations of the RHI.
The original owner of the renewable heating technology will need to provide any information to Ofgem before the transfer, in order for the RHI payments to continue as before. If the original participant tried to continue receiving the payments when they are not eligible then this will be treated as fraud and severe action may be taken.
It is also important to be aware that any changes made to a registered installation may result in the reduction or removal of the tariffs. For instance, if the owner of the renewable heat technology adds additional heating equipment they will need to inform Ofgem of this change, who will then be responsible for choosing whether they still meet the eligibility criteria or not.