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Non-domestic Renewable Heat Incentive (RHI) in Great Britain

Submitted by Baerbel Epp on December 23, 2013
The Renewable Heat Incentive (RHI) has been reviewed under various government consultations and their response was published in Dec 2013 called ‘Non-domestic RHI - Improving Support, Increasing Uptake’. Since spring 2014 the solar thermal tariff has changed to 0.1 Pound Stirling (GBP) per kWh, whilst retaining the current 20 year tariff period. There is also a budget management quarterly tariff trigger set for solar thermal at GBP 5.5 million in January 2015 and GBP 9.8 million in April 2016, which if reached will reduce the tariffs paid to new RHI recipients. This limit is unlikely to be reached, since as of 30th September 2013, the approximate eligible generated energy was 200 MWh by solar thermal since March 2102, which represents payments of only around GBP 20,000 annually.  
 
Northern Ireland has a slightly different Renewable Heat Incentive which is described in a separate table
 
This table was set up by Chris Laughton, Founder and Managing Director of The Solar Design Company in Great Britain.

Country / region

England, Wales and Scotland

Name of programme

Renewable Heat Incentive (RHI) for the non-domestic sector

Type of incentive

Payment to the end-user every ¼ year related to the quantity of energy

Eligible technologies

  • Solar thermal
  • Solid biomass
  • Ground-source heat pumps
  • Water-source heat pumps
  • Geothermal
  • Biogas combustion
  • CHP
  • Biomethane injection

Applicable sectors

Non-domestic unless multiple dwellings

Amount

Different rates are paid according to technology and size. For solar thermal the initial rate is 0.1 Pound Stirling (GBP) per kWh for 20 years. Applicants who are already part of the scheme will receive their existing tariff adjusted annually by reference to the Retail Price Index. A degression method will reduce the tariffs paid to new RHI recipients on a quarterly basis, if uptake of the scheme is higher than expected. 

Maximum incentive

For solar thermal systems with less than 200 kWth

Requirements for system

  • The system must use liquid or steam to deliver the heat (i.e. no direct air heating).
  • The heat generated must be used in a building for space heating, heating water or for carrying out a process where the heat is used for cleaning or drying carried out on a commercial basis.
  • At least one heat meter must be fitted.
  • Solar thermal collector to be certified from Solar Keymark or Microgeneration Certification Scheme.

Requirements for installation

Below 45 kWth, the installation must be carried out by a Microgeneration Certification Scheme (MCS) registered installer.

Finance provider

Department of Energy and Climate Change

Total funds

GBP 860 million (for all technologies)

Funding source

Public budget

Effective date

Some installations can be back-dated to 15 July 2009

Expiration date

No closure date, but tariffs are regularly reviewed. Above mentioned tariffs are valid until 15 April 2014.

Website

https://www.gov.uk/government/policies/increasing-the-use-of-low-carbon-...

Last review of this tabloid

December 2013

Contact

Ofgem E-Serve RHI Enquiries:

Phone: 0044/845 200 2122

Email: rhi.enquiry@ofgem.gov.uk

 
Effective Date: 
September 1, 2010
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