Renewable Heat Incentive
Similar to the feed-in tariff (FiT) for solar power, the Renewable Heat Incentive (RHI) is a government funded scheme, which pays you if you install renewable energy heating technologies such as:
- Biomass boilers
- Solar thermal systems
- Air source heat pumps
- Water source heat pumps
- Ground source heat pumps
Installing the above technologies is already a great investment since they reduce your reliance on expensive standard electricity and gas. These improvements also protect you from future electricity and gas price increases as well.
But thanks to the RHI program, you’re not simply saving money. You actually earn money for every kilowatt-hour of heat that your system generates:
- Domestic RHI participants receive index-linked payments for the next seven years. You can see the rate table here
- Commercial participants receive index-linked RHI payments for the next 20 years. The rate table for non-domestic systems is here
- Importantly, if homeowners combine to share an installation, they may all qualify for the extended payments for 20 years
The exact amount of these payments varies depending on the technology used. But the Renewable Heat Incentive is deliberately designed to deliver healthy annual returns for those who make heat-generating investments.
That’s a substantially better return than you can find in pension funds, savings in banks, building societies or ISAs, or most other investment options.
Thanks to this program, you can dramatically shorten the payback period of your green heating investments. It’s also possible to make multiple improvements and receive payments for each system individually. And the best part is, all of that income is tax-free if you’re a homeowner.
Who qualifies for the Renewable Heat Incentive?
The Renewable Heat Incentive is available across Wales, Scotland, and England – and it’s open to anyone. It doesn’t matter if you’re a homeowner, school, or commercial enterprise. Provided that you own the renewable heating solution, you can participate in the program.
In order to enrol, however, your heating system must be MCS-certified. In addition, only newer systems qualify – i.e. those installed after July 2009.
To learn more about this terrific incentive, contact our Energy Saving Team today.
Saving money is more affordable than ever.
The Energy Company Obligation (ECO) is a government scheme designed to help UK residents reduce their utility bills and shrink their carbon footprints by “greening” their homes.
Under this scheme, Co-operative Energy and other energy suppliers are legally obliged to make energy efficiency improvements for their qualifying customers.
These upgrades are important because they help to:
- Reduce your energy spending. For example, loft insulation can save you up to £250 a year
- Protect the environment. For example, cavity wall insulation can deliver carbon offsets approaching 1,200 kg annually
Energy efficiency improvements are also a prerequisite for other types of government schemes like the Renewable Heat Incentive (RHI). With this programme, it’s possible to be paid income after replacing older heating appliances with greener alternatives.
So, find out more and apply now over on Co-op Energy. We can answer any questions you might have and help you explore affordable green improvements that are best for your home and fit your budget.