The Renewable Heat Incentive (RHI) supports homeowners financially who are switching their household heating from fossil fuels to a qualifying renewable heat source. Government Incentives are constantly reviewed and therefore it is important to understand the process and the key dates of when you need to apply.
Renewable Heat Incentive
The Renewable Heat Incentive (RHI) is a payback incentive to encourage homeowners and private landlords to install a renewable energy heating system. The RHI scheme payments are made quarterly over 7 years. The idea of the incentive is to compensate the person for the additional outlay involved in fitting a renewable system.
The Renewable Heat Incentive is due to end on 31st March 2022 after which it is expected to be replaced with the Boiler Upgrade Scheme (BUS). If you are considering upgrading your heating system with a renewable heating system and wish to take advantage of the RHI, your application will need to be approved before the closing date.
You must use an MCS-certified supplier to qualify for the RHI. R A Brown is fully accredited and offers free advice on the RHI as part of our comprehensive customer service. The scheme is being administered by OFGEM on behalf of BEIS (The department of Business Energy and Industrial Strategy).
Why should I switch to a renewable heating system?
If you are interested in sustaining the world we live in, switching to a renewable heating system, such as an air source or ground source heat pump, means you are using a naturally replenished source of energy (i.e. the sun).
Using renewable energy rather than oil or LPG helps the UK reduce its carbon emissions and meet their carbon reduction targets.
The government pays an incentive to property owners who install a renewable heating if their system meets certain energy-efficiency requirements, the homeowner can then apply for the incentive via OFGEM.
What does MCS approved mean?
MCS stands for Microgeneration Certification Scheme. MCS is a standards certification which certifies low-carbon products and installations used to produce electricity and heat from renewable sources.
MCS is a mark of quality. Membership of MCS demonstrates adherence to these recognised industry standards; highlighting quality, competency and compliance.
How do I get an Energy Performance Certificate (EPC)?
An Energy Performance Certificate will need to be completed by a local energy assessor.
You can find an energy assessor by using the EPC Register Find a local Energy Assessor near you.
What is Seasonal Performance Factor (SPF)?
The SPF measures the energy efficiency of the property and is calculated by looking at heat losses, room size and output of the heat emitters.
The more accurately sized the heat emitters you have, the higher the SPF – as the heating will be as energy efficient as possible.
The governments default Seasonal Performance Factor (SPF) is 2.5.
What information do I need to complete my RHI application?
Before you apply for the RHI, you will need to make sure you have followed any requirements and gathered all the relevant information you need to complete your application.
Applicants will need to make sure they install an eligible system and meet minimum insulation requirements to be eligible for the Domestic RHI and provide a valid Energy Performance Certificate (EPC) which is no more than 24 months old, the application must be made by the homeowner as this is an application based on your property details.
To make this easier and so you have the most up to date and relevant information needed for your application, please see the link below to OFGEM which provides a factsheet to guide you through the application process.
There is also a step by step application form helpsheet which is useful to demystify the application from
How do I apply for the RHI?
The application for the renewable heat incentive (RHI) is made via OFGEM, it is the homeowners responsibility to make the application, the application cannot be made by the installer on the homeowners behalf.
If you have already installed a renewable heating system, you have up to 12 months to apply to the scheme from the date it is commissioned. This is the date that the installer tests and signs off the system (you will find this date on your Microgeneration Certification Scheme certificate)
Please see the OFGEM essential guide for applications for full details and guidance.
Before you apply, you can use this OFGEM resource which is a helpsheet on how to answer the RHI application form OFGEM application form helpsheet.
When you are ready to apply, you can apply on the OFGEM website here Apply for the RHI here on the OFGEM website.
Boiler Upgrade Scheme
The Boiler Upgrade Scheme (BUS) is planned to launch 1st April 2022 as a successor to the domestic Renewable Heat Incentive.
The new scheme will apply to homes and small non-domestic properties and will provide grants of £5,000 towards the installation and capital costs of air source heat pumps and £6000 towards ground source heat pumps.
The scheme will have a budget of £450 million over 3 years, running until March 2025.
As further information is confirmed, we will update this information.