RHI Quick Guide

What is the Renewable Heat Incentive?

It is a payment for generating heat from renewable sources. Like the Feed-In Tariffs, it is set by Government, however where it differs slightly is that it is administered by the official regulator Ofgem on sales of fossil heating fuels and is collected by the suppliers of these fuels. However, the Renewable Heat Incentive is still for everyone - homeowners, tenants, businesses, schools, hospitals, farmers or landlords.

How much money is the Renewable Heat Incentive worth?

First of all you will save money by not having to use any gas or oil, both of which are becoming increasingly expensive year-on-year.

Secondly, you will be paid up to 18p/kWhr for the hot water and heat you generate and use yourself. It depends on exactly what systems you use and how large they are as to what the exact tariff level is.

How long do the tariffs last?

Between 10 and 23 years depending on which type of system you use..

Is that long enough to cover the installation costs?

Yes, is the simple answer. In fact, we estimate that most of our customers will earn enough money from the tariffs to pay off their installation costs in about seven to nine years. According to the Government, which has set the tariff levels, the average user will earn a return of around 8 to 12% per annum with higher band tax payers seeing almost double that.

When do they start?

Tariffs will be paid starting in April 2011. However, any suitable system installed from now July 15th 2009 will be eligible for the tariffs when they begin.

Are there any restrictions?

The tariffs apply to all the technologies listed on this site. There are technical and accreditation requirements but our recommended suppliers will cover all this on your behalf.