Renewable Heat Incentive – Announcement from DECC

The Department for Energy and Climate Energy and Climate Change (DECC) has now announced its plans for the future of the Renewable Heat Incentive (RHI)with the publishing of three consultations.

RHI:proposals for a domestic scheme

The Government proposes that the Domestic RHI will support the installation of ground and air source heat pumps, biomass boilers and solar thermal panels and will work in the same manner as the existing commercial RHI and the Feed-in Tariff (FiT) scheme, where subsidy is provided through tariff based payments for every unit of renewable heat generated.

DECC states that the domestic RHI is aimed at any householder looking to replace their current heating with renewable heating technology as well as supporting any householders who have installed an RHI-eligible technology since July 15,2009.

Proposal at a glance:

  • Tariff      period: 7 years
  • Tariff      rates:
    • Biomass: 5.2 to 8.7p
    • ASHP – 6.9 to 11.5p
    • GSHP – 12.5 to 17.3p
    • Solar Thermal – 17.3p

Final  tariff will be based on cost evidence submitted through the consultations and the most up to date data from the RHPP.  All installations will need to conform to MCS

The tariff is to be based on deemed heat requirements, to be assessed by an MCS installer.

  • Heat pumps will need to meet minimum standards of efficiency, currently considering SPF of 2.7 using MCS accreditation standards.
  • Tariff only applicable to retrofit properties, DECC are considering how to address newbuild.
  • Second homes will not be eligible
  • Social landlords likely to have a different tariff structure.
  • Degression of tariffs to be based on the non-domestic RHI scheme, with pre-set trigger points
  • Deadints
  • Deadline for responses : 7 December 2012


RHI:expanding the non-Domestic scheme

This includes proposals for new or different support for technologies including air source heat pumps, combined heat and power, large scale biogas combustion and deep geothermal.

Deadlinefor responses : 7 December 2012

RHI: air to water heat pumps and energy from waste

This consultation seeks views on the Government’s plans to expand the current non-domestic Renewable Heat Incentive scheme to include Air to Water heat pumps and to broaden the eligibility criteria for Energy from Waste.

Deadline for responses : 18 October 2012

for more information please contact Nexus Technicle team on 01926 886611 or

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