What is the Renewable Heat Incentive?

The Domestic Renewable Heat Incentive launched on 9th April 2014, the incentive is in place to encourage homeowners and private landlords to Renewable Heat Incentiveinstall a renewable energy heating system or solar hot water system. RHI Payments are made quarterly over 7 years and are calculated on the individual property energy efficiency improvement.

The idea of the incentive is to compensate the person for the additional outlay involved in fitting a renewable system.  It is important to know that installations will only be eligible for the RHI payback scheme if they have been installed by an MCS approved installer.

The individual property owner has to make their own application to Ofgem to enable them to receive the incentive payments.  This is not applied for you on your behalf.  You will need to apply for the RHI within a year of the installation commissioning date.  Apply to Ofgem for the RHI here.

The Renewable Heat Incentive is available for applications until 30th March 2022 after which it is expected to be replaced with the Clean Heat Grant Scheme.

The Government has launched a Green Homes Grant which if you are eligible, you could also claim, the amount of this grant would be taken off any eligible RHI payments when you apply for the RHI.  To find out more about the Green Homes Grant here.

There is also a Non-Domestic Renewable Heat Incentive which you can find out more about here.

Go to OFGEM’s Website