The Biomass Store - Non Domestic RHI Info           The Biomass Store - RHI Info               The Biomass Store - Domestic RHI Info



"Increasing the use of low carbon technologies."
 

The Renewable Heat Incentive is the world's first long-term financial support programme for renewable heat.

Participants who use the scheme, and generate and use renewable energy, are paid for their contribution. This helps to reduce the use of fossil fuels and helps the government to meet targets for reducing the effects of climate change. 

Find out more about the Renewable Heat Incentive



The RHI scheme is open for both non-domestic and domestic consumers.


Non-domestic

The non-domestic RHI scheme provides payment to industry, businesses and public sector organisations. The non-domestic scheme is designed to bridge the gap between the cost of fossil fuel heat and renewable alternatives by providing financial support for owners.

Below 200kW there are two available tariffs through the non-domestic RHI scheme, currently paying 4.18p/kWh (Tier 1) or 1.11p/kWh (Tier 2) for the renewable heat used. This payment is made quarterly based upon heat meter readings of energy produced and for a period of 20 years.

In each year the Tier 1 tariff is paid until the system has operated up to 15% of the annual rated output (i.e. the equivalent of 1,314 hours at the rated capacity of the installation) For the rest of the output in the year, the Tier 2 tariff will apply.

For example 

A biomass boiler rated at 100kWth operates for 7 hours/day in winter and 3 hours/day in summer, i.e. 1,825 hours in total over the year.

This size of boiler is classified as ‘Small Commercial Biomass’. It therefore receives the Tier 1 tariff of 4.18p per kWh for the first 1,314 hours and the Tier 2 tariff of 1.11p per kWh for the other 511 hours

  • 1314 x 100 x £0.0418 = £5,492.52
  • + 511 x 100 x £0.0111 = £ 567.21
Making a total of £6,059.73 per annum

Find out more about the current non-domestic tariffs
Or find out more about the non-domestic RHI scheme


Domestic

The domestic RHI scheme is open to home-owners, private landlords, social landlords and self-builders. The domestic scheme is designed to encourage the uptake of renewable heating in a domestic environment, targeted at, but not limited to, homes off of the gas grid. Consumers without mains gas can potentially save the most when converting to a renewable heat system and have to biggest decrease in carbon immissions.

Successful applicants will receive quarterly payments for 7 years. Any public grants previously received, such as the RHPP (Renewable Heat Premium), will be deducted to avoid double subsidy.

The domestic RHI scheme currently pays 6.43p/kWh for renewable heat from biomass.

The following table shows the potential saving from switching from the fossil fuel, as listed on the left hand column, to one of the three biomass fuels, as listed in the top row. Please note these figures are only estimates. 

Domestic Fuel Savings - RHI - The Biomass Store
 

Try the Renewable Heat Calculator to find out how much you could be saving by installing a Biomass system in a domestic property
Or find out more about the domestic RHI scheme