Non-Domestic RHI

Renewable Heat Incentive for Commercial Air Source Heat Pumps

The Non-Domestic Renewable Heat Incentive Scheme (NDRHI) in Great Britain closed to new applicants at the end of midnight on 31 March 2021. The Department for Business Energy and Industrial Strategy (BEIS) has consulted on changes and published decisions in their government response documents which are available on the BEIS website.

RHI payments reduce Air Source Heat Pump costs by 75%

The Non-Domestic Renewable Heat Incentive (RHI) is a Government scheme designed to accelerate the use of renewable energy heating in UK commercial property. For Air Source Heat Pumps the payments you receive from the RHI will further reduce the (already low) running costs of your heat pump by around 75%. Renewable Heat Incentive payments are calculated based on the amount of heat you use and the rates are fixed for 20 years from the date your system is commissioned. For non-domestic ASHP systems installed from 4 December 2013 the Renewable Heat Incentive rate is 2.5p/kWh for 20 years. Index-linked.

SizeRate / kWh
Any size2.5p / kWh

Heating cost comparison

Air Source Heat Pumps are cheaper to run than gas, oil, LPG or electric heating. The graph below compares current costs of heating and illustrates the impact of the RHI subsidy for Renewable Energy.

Commercial Air Source Heat Pump running costs and income

Annual subsidy income
Annual cost of fuel
Costs and incomes are based on a 700 square meter property heated to 21° for 260 days a year using an existing boiler that is 80% efficient.

How the Renewable Heat Incentive is calculated

Your Air Source Heat Pump output will be metered and your RHI payments are rewarded based upon the amount of heat you use as well as the efficiency of your system.

How to claim the Renewable Heat Incentive

  1. EnergyMyWay consultants carry out a free site survey and provide detailed recommendations
  2. If you are happy with the numbers, your Air Source Heat Pump will be installed by our MCS-accredited team
  3. As part of the commissioning process, we help you complete your RHI application
  4. Once your heat pump is up and running you will receive RHI payments, guaranteed for 20 years, index-linked

Does your business qualify for the Renewable Heat Incentive?

For a commercial property to qualify for the Non-Domestic Renewable Heat Incentive, your business must be registered at the address of the property and you must be paying business rates. Domestic schemes can also qualify for the Non-Domestic RHI if the heat pump is used to heat two or more domestic properties from one heat source. For domestic heat pumps, heating just one property, please refer to the Domestic Renewable Heat Incentive.