Domestic RHI Payments are Here

The highly anticipated Domestic Renewable Heat Incentive (D-RHI) has finally been launched by the Government. The D-RHI is a financial incentive to promote the use of renewable heat in the home which will help the UK reduce its carbon emissions.

Those who join the scheme will receive quarterly payments, which are index linked, for seven years for the amount of clean, green renewable heat their renewable energy system produces.

This new scheme follows on from the success of the non-domestic scheme that commenced in 2011 which provides payments to industry, businesses and public sector organisations.

The renewable technologies that will benefit from the scheme are as follows:

  1. Biomass Boilers
  2. Heat Pumps (ground and air source)
  3. Solar Thermal

D-RHI Payments

The D-RHI is open to everyone – home owners, social and private landlords, and people who build their own homes. It’s available to households both on and off the grid (natural gas supply).

The scheme is designed to bridge the gap between the cost of fossil fuel heat sources and renewable heat alternatives. You will get paid for every kilowatt hour (kWh) your system produces. Payments per technology are as follows:

  1. Air source heat pumps – 10.71p/kWh
  2. Ground source heat pumps – 20.89p/kWh
  3. Biomass boilers – 6.88p/kWh
  4. Solar thermal – 21.09 p/kWh

Marcus Payne, managing director of GES Mechanical, said: “The domestic renewable heat incentive is not only welcome news for the renewable energy industry, but also welcome news for home owners who have been waiting for a scheme like this to become available.

“People’s homes will become a lot warmer, their energy bills will be reduced, and their carbon emissions will be much less. Furthermore, they will get generous cash payments as a reward for installing a renewable energy system in their home.

“There has been plenty of recent press saying that a massive investment is needed in renewable energy to help protect future generations from global warming and this is a step in the right direction to help achieve this.”

Marcus Payne, managing director of GES Mechanical UK Ltd, said: “This new offering from the Government is a much better alternative to the original Green Deal proposals.

Call us on 01302 966169 for more information or click here to apply for the scheme via the Ofgem website.

*Please note that new-build homes will not be eligible for the scheme, although self-built ones will.