Get it while it’s HOT! Changes to the RHI

Renewable heating offers many advantages, not least lower emissions and cheaper bills, but for homeowners who act now, there is the opportunity to access generous government funding for installing ground or air source heating.

The main funding scheme offered by the government for renewable heating is the Renewable Heat Incentive (RHI). There are two RHI schemes available – domestic and non-domestic (commercial) – for installations using solar thermal, biomass, ground source and air source heat pump technologies.

The domestic RHI is for single rated properties and is payable for seven years. Quarterly tax-free payments, which increase annually in line with the consumer price index, are made to the homeowner. The amount of RHI payable is based on the energy performance certificate (EPC) you receive once your heating installation is complete. The rates paid under the RHI vary depending on what system you are installing. Currently, heat pumps (ground and air source) are seen as the best technology to use and offer higher payments. At today’s rates, a ground or air source heat pump system itself usually pays back in four to five years, leaving the homeowner to carry on receiving the payments until their seven year RHI ends.

However, the government has recently unveiled changes to the RHI which are expected to come in during late 2017 or early 2018. The changes will see a cap added to the amount of RHI payments you can receive on both ground and air source heat pump systems. While the changes will be welcomed by some homeowners – those looking to install air source in three to four bedroom homes for example – the payments available to ground source customers with larger properties may become significantly less rewarding.

We are urging any homeowners who are thinking about installing ground source into their homes not to delay and talk to us as soon as possible. These generous payments won’t be around for too much longer so it’s important to get your system installed and get your RHI payments locked in under the current rates.

Applying and qualifying for the RHI scheme is straightforward. Firstly, the installation must be carried out by an MCS company. The Microgeneration Certification Scheme (MCS) is a nationally recognised quality assurance scheme, which certifies microgeneration technologies used to produce electricity and heat from renewable sources. Your installation must also adhere to the Renewable Energy Consumer Code (RECC), operated by the Renewable Energy Association. We are certified by both of these leading bodies.

We can guide you through the RHI process, including providing an idea of how much your quarterly payments will be. Our easy to use RHI calculator is also a great way to gain an estimate for yourself in just a few click.

There has never been a better a more profitable time to complete your installation so don’t delay – get the RHI while it’s hot!