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What is the renewable heat incentive? 

What is the renewable heat incentive? 

The Renewable Heat Incentive (RHI) is a government incentive scheme designed to reward those who use renewable energy to heat their buildings. There are two government schemes relevant for the installations Better Planet offer: The Renewable Heat Incentive (RHI) and the Smart Export Guarantee (SEG).

The Renewable Heat Incentive Scheme (RHI)

This scheme supports ground- water- and air-source installations.

It comes in two versions: Domestic RHI for individual dwellings and Non-Domestic RHI for commercial properties and multiple dwellings.

The Domestic RHI scheme will close for new applications on March 31st 2022. Tariffs can be decreased if the uptake exceeds certain levels. The current tariffs are guaranteed until September 30th 2020.

The Non-Domestic RHI scheme is due close for new applications on March 31st 2021. However there is currently a govenment consultation aiming at extending the scheme in some shape of form.

The Smart Export Guarantee (SEG)

The smart export guarantee (SEG) is an obligation set by the government for licensed electricity suppliers to offer a tariff and make payment to small-scale low-carbon generators for electricity exported to the National Grid, providing certain criteria are met.

Under this scheme, an owner of a solar PV system gets paid for electricity exported back to the grid. You need to check with your electricity supplier if they are part of the scheme and how much they pay per kWh for the exported electricity.

The current tariffs for domestic RHI are guaranteed for applications made on or before September 30th 2020.
Type of Heating System Tariff (p/kWh renewable heat) Application on or after 1st April 2020 and on or before 30th September 2020
Ground Source Heat Pump 21.16
Air Source Heat Pump 10.85

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