Guide to renewable energy loans, cashback and rewards for homeowners in Scotland

Green pound signRewarding ways to power your Scottish home

There has never been a better time to make the change to renewable energy, especially here in Scotland. Aside from ever-increasing fuel bills, and the environmental impact of non-sustainable power, there are many initiatives that make renewable energy a financially sensible option for homes, businesses and community groups.

Here we look at grants, loans and rewards available to you when you switch to renewable energy in your home:

Home Energy Scotland

The Home Renewables Loan Scheme is an incentive being run by the Scottish Government. This scheme offers interest-free loans for households who install a renewable heat (such as biomass) or electricity generating (such as solar) system. You could potentially borrow up to 75% of the total cost of installing these renewable technologies in your home, up to a value of £10,000.

By offering these loans the Scottish Government is taking a step closer to meeting its targets for both reducing greenhouse gas emissions and improving fuel poverty.

To find out more visit The Energy Saving Trust (Scotland).

Domestic Renewable Heat Incentive

The Domestic Renewable Heat Incentive (RHI) is a UK Government financial support scheme that rewards homeowners, landlords and self-builders for installing renewable heating systems. This mainly benefits properties that are off the mains gas grid.

The scheme supports heat pumps, biomass boilers and solar thermal systems. The owner of the heating system earns money at a set rate per unit of renewable energy produced for 7 years. Payment amounts vary depending on the type of system installed, for example payments for biomass boilers are set at 12.2p per kWh and for solar thermal at 19.2p per kWh.

Domestic RHI case study: This biomass boiler installation will pay for itself in just 4 years, earning the property?s owners £2,800 each year.

Domestic RHI case study: This biomass boiler installation will pay for itself in just 4 years, earning the property?s owners £2,800 each year.

Feed-in Tariff

If you are considering installing an electricity generating renewable energy system such as solar panels or wind turbines you could be paid by the Government?s Feed-in tariff (FiT) for the electricity you produce, whether you use the energy or it is fed back into the grid. Payments will be made to you by your energy supplier. However, to qualify for FiT subsidies your system must be fitted by an MSC accredited company such as EnergyMyWay.

We installed attractive solar panels on this detached home in Scotland. The owners are set to make a 19% return over 5 years.

FiT case study: We installed attractive solar panels on this detached home in Scotland in such a way that doesn’t impact the positioning of Velux windows when the owners extend into the loft. The owners are set to make a 19% return over 5 years.

Green Homes Cashback Scheme

As part of the Green Deal, The Scottish Government is now offering up to £1,200 towards to the cost of improving your property?s energy efficiency, and this is available to both homes and rental properties. As well as offering money for insulation and better glazing, renewable energy systems, such as solar panels and heat pumps are also included.

Your home will need to be assessed, and any recommendations mentioned in your property?s Green Advice report could be installed for free. It?s also possible to claim up to £150 towards the cost of your Green Deal assessment.

Whichever solution you choose there is so much to gain. You can reap rewards from a clean and low-cost energy source with lowered bills and enticing government incentives.

For free advice on the best type of renewable energy for you please contact EnergyMyWay Scotland, email lothian@energymyway.co.uk or call us on 01506 632810.