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Renewable Heat Incentive Tariffs

This is a Government intiative similar to Feed in Tariffs that is designed to encourage the use of renewable heat sources, rather than carbon based heat sources. This would include Solar Heat Panels, Air and Ground Source Heat Pumps and Biomass (typically wood or wood derivative fuelled).

If you install any one of the above systems you could receive a tariff based on the amount of energy in kWh the system is designed to deliver. For smaller systems and medium sized systems the amount is likely to be assumed, for larger systems metering will be required.

The RHI is currently under consultation, but the following is proposed:

  • A Tariff will be paid from 10 - 23 years depending on the technology
  • The payment is likely to be paid annually and will be index linked. It may also be tax free as feed in tariffs are.
  • The amount will depend on the type of system and the amount of energy the unit is designed to deliver.
  • Installations from now onwards will qualify for the RHI
  • Installations must be MCS (Microgeneration Certification Scheme) accredited.

The proposed Renewable Heat Incentive Tariffs are:

 Tariff Name Installation Size Tariff Rate (per kW hour) Tariff Duration
 Small Biomass  Less than 200kW  7.9p / kWh (Tier 1) 2.0p / kWh (Tier 2)  20 Years
 Medium Biomass  200 - 1000kW  4.9p / kWh (Tier 1) 2.0p / kWh (Tier 2)  20 Years
 Large Biomass  1000kW+  1p / kWh  20 Years
 Small Ground Source Heat  Less than 100kW  4.5p / kWh  20 Years
 Large Ground Source Heat  100kW+  3.2p / kWh  20 Years
 Solar Thermal  Less than 200kW  8.5p / kWh  20 Years
 Biomethane  Less than 200kW  6.8p / kWh  20 Years