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Renewable Heat Incentive (RHI)

*Page updated May 2023 to reflect current status of RHI scheme.*

The scheme stopped accepting new applications in March 2022, however, many companies can still benefit from the scheme.

Did you know if you are having issues with your boiler or system that could affect your RHI payments (e.g. bad installation or your boiler has broken down), you may still be able to claim for the remaining RHI payments available on your system by having your system re-installed / brought up-to-date. Depending on the amount of RHI left on your boiler you could still receive a large sum to help offset your costs.

Increasing renewable heat is essential to the UK in order to reduce carbon emissions & its renewable energy targets, helping build a cleaner low carbon economy.

The RHI scheme was introduced by the government to help significantly increase the proportion heat that is generated from renewable energy sources.

It is intended to encourage a switch from fossil fuels by compensating for the higher cost of renewable energy arising from the technologies involved. Therefore making renewable energy not only a cleaner option but an affordable one too.

Here are some example questions:

Q1
I have a qualifying system but my boiler needs to be replaced due to a fault i.e fire or bad installation - can I still keep my RHI payments?

 

Yes, depending on your circumstances the RHI payments can be transferred to a new replacement boiler that hasn’t been on the scheme before. The old boiler can be removed with the RHI title transferred to the new boiler. Get in touch if you would like to discuss your options and find out more.

Q2
I have no previous RHI but have bought a used boiler that still has RHI payments due on it, can I claim the RHI on this boiler?

 

Yes, you can still claim the RHI for the years left on that boiler. The payments are linked to the boiler, buying the boiler includes the RHI rights and any associated RHI payments. You must be the owner of the boiler, maintain the system and meet the eligibility criteria so you will be eligible to receive the payments left on that boiler.

Q3
I receive RHI payments on a pellet boiler, I want to convert it to wood chip to take advantage of the fuel cost savings. Will I lose my RHI payments if I convert it?

 

No, we can help convert your boiler from wood pellet to wood chip and you can still keep the RHI payments due on your boiler. You still need to keep meeting the eligibility criteria but can take advantage of the help with running costs by switching to wood chip.

If you are a business looking for a HETAS approved boiler installer or have questions about upgrading your system and how that affects your RHI, get in touch for more information.

Eligibility
To be eligible to claim RHI

  • Equipment must be a new installation
  • First commissioned on or after 15th July 2009
  • Generating eligible heat
  • Have metered output

Eligible Heat
The RHI will only accept claims supporting “useful” heat. This is identified as:

  • Heat supplied must meet a justifiable heating requirement
  • Be an existing or new heating requirement, not one created artificially to claim RHI

Payments
RHI payments are:

  • Only made to the owner of the biomass installation
  • Calculated by multiplying the appropriate tariff by the amount of eligible heat it supplies.

To sum up:

  • Tariff depends on the size of the boiler
  • Heat output to be metered and the RHI calculated from the amount of eligible heat.
  • Payable directly to the owner of the equipment.
  • Paid quarterly  as long as all conditions continue to be met.
  • Immediate eligibility on equipment commissioned on or after 15th July 2009.