Renewable Heat Incentive Update

Renewable Heat Incentive Updates

Changes to the domestic Renewable Heat Incentive scheme including caps on tariffs have finally been introduced after much speculation within the industry and public.

These announcements took place on 30th August when the Government published Statutory Instrument (SI) 2017 857 which details the RHI changes coming into effect on the 20th September 2017.

The most notable change will be the introduction of caps to limit tariffs and payments for installations of ground source heat pumps, which exceed a heat demand of 30,000kWh/year.

By introducing these heat demand caps, although expected within the industry, may surprise some of the public. There has been some speculation over where the cap will fall since last year.

Heat demand limits will be set for biomass systems, air source, and ground source heat pumps. There will be no heat demand limit for solar thermal. Solar thermal payments will continue to be based on the estimated annual generation figure on the Microgeneration Certification Scheme (MCS) Certificate. Find specifications for these limits here.

The Government are obviously taking a different approach with these caps and this will impact some installations. Green Square will be happy to help with any queries regarding the impact of these changes to your renewable energy systems and we will keep our customers up to date with these progressions.

The full Statutory Instrument statement can be found at here.