Renewable Heat Incentive (Ends 31/03/2022)

The Renewable Heat Incentive (RHI)

The Renewable Heat Incentive is a fixed payment for heating and hot water you generate yourself. Qualifying products include air and ground source heat pumps, and solar thermal panels. There are two types of RHI payment, Domestic and Non-Domestic.

If you apply for Domestic RHI, you’ll need to have an Energy Performance Certificate (EPC) for your home. If this recommends loft and cavity wall insulation, you’ll need to have this done and obtain an updated EPC before qualifying.

Domestic RHI

You’ll receive quarterly payments for 7 years after installing a qualifying technology, so 28 payments in all. Whilst payment amounts are fixed, they’re linked to the retail price index (RPI) so can change. The amount you receive will be based on your system’s efficiency and your property’s energy requirement as shown on your EPC.

Your payments may go down if more people qualify for the RHI than the Government budgeted for. This is known as digression. Despite this, your payments are likely to cover the full cost of installing your system by the time the 7 years are up.

Non-Domestic RHI

The definition of ‘Non-Domestic’ here is basically where a qualifying renewable energy technology is installed into more than one building. This could be a small group of buildings sharing the same heat pump or ground collector. The scheme makes quarterly payments for 20 years after the system is installed.

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Find out more

Please follow the links below to read more about the RHI schemes at the Ofgem website:

If you’re a domestic customer, you can also calculate how much money you might get by using the government’s online RHI calculator. If you’re a non-domestic customer, the process is more complex, so please contact us for details.

Helpful Video about Heating Systems for the RHI scheme taken from www.ofgem.gov.uk