Renewable Heat Incentive (RHI)
The main funding scheme offered by the Government for installing renewable heati ng such as biomass, ground source and air source heat pump technologies, is the Renewable Heat Incenti ve (RHI). The domesti c RHI is for single-rated properti es and is payable for seven years. Quarterly tax-free payments, which increase annually in line with the consumer price index, are made to the homeowner. The amount of RHI payable is based on the energy performance certi ficate (EPC) you receive once your heati ng installati on is complete. Typically, a biomass installati on could payback in about eight years (depending on fuel source). A ground or air source heat pump system usually pays back in four to five years.
The rates paid under the RHI vary depending on what system you are installing. Currently, heat pumps (ground and air source) are seen as the best technology to use and offer higher payments. While the scheme is currently supported unti l at least 2022, the Government conti nues to adapt the criteria so it is important that you, and your installer, keep up to date. Further changes have been mooted for 2017, including a cap on larger properti es and the removal of support for solar thermal installati ons.