Paying you to install renewable energy heating for your home
The Domestic Renewable Heat Incentive (RHI) is a UK Government financial support scheme which pays homeowners, landlords and self-builders for installing renewable heating systems, rather than continuing to use gas, oil or LPG. The greatest benefits are likely to be for, but not limited to, properties off the main gas grid.
You can claim RHI payments, every year for 7 years, if you are installing:
The table below shows the income from the Domestic Renewable Heat Incentive for a Biomass Boiler and the bill savings from biomass fuel compared to oil and LPG. The Domestic RHI is paid for seven years and is designed to cover the cost of installing your system.
| Annual subsidy income | ||
|---|---|---|
| LPG | Oil | Biomass |
| £3,416 | ||
| -£1,960 | -£1,820 | -£1,260 |
| LPG | Oil | Biomass |
| Annual cost of fuel | ||
The owner of the heating system earns money at a set rate per unit of renewable heat produced (kilowatt hour or kWh), for 7 years. On 20th September 2017 a cap was placed on the maximum number of kWh’s that RHI payments can be based on, which is 30,000kWh for GSHP and Biomass and 20,000kWh for ASHP.
| Renewable Heating Technology | Rate / kWh |
|---|---|
| Biomass boilers | 7.01p |
| Air Source Heat Pumps | 10.92p |
| Ground Source Heat Pumps | 21.29p |
| Solar Thermal | 21.49p |
We design renewable heating systems to suit the fabric of your property and ensure you get the best returns available from government incentives.
| 7 year Return | £17,500 |
|---|---|
| Payback | 4 years (23% return) |
| Cost | £10,500 |
| Bill Saving | £1,400 p.a. |
| Income | £1,100 p.a. |
| Carbon Offset | 5,000 Kg p.a. |
Return is calculated using combined bill savings and subsidy earnings. Bill savings are calculated using estimated energy usage and either the electricity price at the time of installation (1 June, 2013) or, for our heating products, the existing fuel type available to the property.
| 7 year Return | £28,000 |
|---|---|
| Payback | 9 years (11% return) |
| Cost | £36,240 |
| Bill Saving | - |
| Income | £4,000 p.a. |
| Carbon Offset | 6,000 Kg p.a. |
Return is calculated using combined bill savings and subsidy earnings. Bill savings are calculated using estimated energy usage and either the electricity price at the time of installation (6 December, 2013) or, for our heating products, the existing fuel type available to the property.
Payments apply to single domestic dwellings. If you are heating multiple dwellings, find out about the non-domestic Renewable Heat Incentive. You must be one of the following:
The scheme is not open to new build properties other than self-build. Eligible technologies installed since 15 July 2009 will qualify, provided they met the scheme criteria.
If you?re unsure whether you meet the scheme criteria or just want to understand more about the RHI, do give us a call . We?ll be happy to talk you through it.
To qualify for the Domestic Renewable Heat Incentive, your new heating system must be certified under the Microgeneration Certification Scheme (MCS) scheme and meet relevant standards for each technology.
EnergyMyWay is MCS accredited for all renewable heating technologies which means your system will meet the quality standards required for RHI payments to be granted.
The government intend to review the RHI rates regularly to control the costs of the scheme. Your RHI rate will be fixed from the time your renewable energy heating is switched on so it is worth having your system installed as early as you can to get the best returns.