The Domestic Renewable Heat Incentive, otherwise known as the Domestic RHI scheme, is a government financial incentive scheme set up to encourage the installation and usage of renewable heating technologies in existing homes.
Launched in Spring 2014, the scheme enables those using renewable heating systems to receive quarterly payments at a set rate (kilowatt hour, kWh) per unit of clean, green renewable heat their system produces.
The Domestic RHI scheme covers single domestic properties and is open to home owners, private landlords, registered providers of social housing, third party owners of heating systems and self-builders. It is available to households both off and off of the gas grid.
For non-domestic properties such as those that are the premises for businesses, schools and hospitals etc. there is a separate scheme called the Non-Domestic RHI.
At Green Giant Services Ltd, we offer a comprehensive range of heating systems that are eligible for the Domestic RHI scheme. These include air source heat pumps, ground source heat pumps, biomass boilers and solar thermal technology.
Once you have joined the domestic RHI, you'll remain on the same tariff rate.
Taking part in the Domestic RHI scheme will enable you to help the environment and save yourself money at the same time.
The scheme is a government financial incentive to promote the use of renewable heat. Switching to heating systems which use renewable energies in place of fossil fuels will help the UK reduce its carbon emissions. As fossil fuels are finite resources that are steadily increasing in price year on year, you will also save on the cost of these.
In addition to this, you will also be paid for the hot water and heat that you generate and use yourself. This payment level varies depending on the type of technology you install in your property.
The Domestic RHI scheme is ideal for those looking to reduce their carbon footprint and CO2 emissions through sustainable technology. Additional incentives are also available for those wishing to install metering and monitoring packages.
You can apply for the domestic RHI if:
You live in England, Scotland or Wales
You own the property or have permission from the owner to install the system
You are a registered provider of social housing, a third party owner of the heating system or a self-builder. Please note the scheme will not be open to new build properties unless they are self-build
You have had an eligible technology installed since 15th July 2009
The product you have chosen to install is MCS (Microgeneration Certification Scheme) approved
The installer is MCS certified for the technology type
The property has had a Green Deal assessment
The tariffs will be paid for 7 years. Payments will be quarterly, in arrears, by Ofgem. While paid over a seven year period, the rates have been calculated over the expected 20 year life of the systems
Similar to a service contract, the meters will enable you and your installer to see the measured performance of your system online. The aim is to give you peace of mind that your system is working properly, and allow the installer to improve performance where possible. The payment of £230 per year for heat pumps and £200 for biomass boilers is to reimburse you for the cost of the package over the 7 year life of the RHI payments. This package is not available for biomass stoves. The packages are available on a first come first served basis. They must be MCS (or equivalent scheme) certified (both product and installer) and the installer must be a member of the renewable energy consumer code (RECC).