The Renewable Heat Incentive (RHI) is a UK Government scheme set up to encourage uptake of renewable heat technologies such as biomass heating among householders, communities and businesses through the provision of financial incentives.
The commercial Renewable Heat Incentive is aimed at non-domestic properties such as churches, hotels, schools and commercial premises. There is also a domestic Renewable Heat Incentive scheme which was launched in the spring of 2014.
The UK Government expects the RHI to make a significant contribution towards their 2020 ambition of having 12 per cent of heating coming from renewable sources.
The scheme will pay non-domestic organisations for each kWh of heat generated by an eligible installation for 20 years significantly reducing payback periods for renewable heating technologies.
Ground source heat pump installation in a 2000 m2 Hotel, school office etc.
A typical RHI payment calculation.
A typical RHI payment calculation | |
Heat pump size | 110kW |
Eligible heat generated ( from heat meter) | 125450kWh |
Assumed Seasonal Performance Factor | 3.4 |
Tariff (GSHP) | £0.0895 |
Potential annual RHI | £11,227 |
Potential annual fuel saving | Ring to advise |
Value over 20 year scheme lifetime | £224,555 |
As you can see above the rewards for installing a heat pump are very convincing
Please ring Greenfields for more information on biomass heating 01768 210 241.
Tariff name | Eligible technology | Eligible sizes | Tariffs |
Small commercial biomass | Less than 200 kWth Tier 1 | 3.26 | |
Less than 200 kWth Tier 2 | 0.86 | ||
Solid biomass including solid biomass contained in waste | 200 kWth and above & less than 1MWth Tier 1 | 5.24 | |
Medium commercial biomass | 200 kWth and above & less than 1MWth Tier 2 | 2.27 | |
Large commercial biomass | 1MWth and above | 2.05 | |
Solid biomass CHP systems (commissioned on or after 4 December 2013) | Solid biomass CHP systems | All capacities | 4.22 |
Water/Ground-source heat pumps | Ground-source heat pumps & Water-source heat pumps | All capacities Tier 1 | 8.95 |
All capacities Tier 2 | 2.67 | ||
Air-source heat pumps (commissioned on or after 4 December 2013) | Air-source heat pumps | All capacities | 2.57 |
Deep geothermal (commissioned on or after 4 December 2013) | Deep geothermal | All capacities | 5.14 |
All solar collectors | Solar collectors | Less than 200 kWth | 10.28 |
On the first 40,000 MWh of eligible biomethane Tier 1 | 4.55 | ||
Biomethane injection | Biomethane | Next 40,000 MWh of eligible biomethane Tier 2 | 2.67 |
Remaining MWh of eligible biomethane Tier 3 | 2.06 | ||
Small biogas combustion | Less than 200 kWth | 5.90 | |
Medium biogas combustion (commissioned on or after 4 December 2013) | Biogas combustion | 200 kWth and above & less than 600 kWth | 4.63 |
Large biogas combustion (commissioned on or after 4 December 2013) | 600 kWth and above | 1.73 |