DECC publishes RHI tariff for biomass boilers

12th Jul 2013

The Department of Energy and Climate Change has today (12 July) published the level of support to be made available through the Renewable Heat Incentive (RHI) to households who generate renewable heat from biomass boiler installations. 

Households with biomass boilers and biomass pellet stoves with a back boiler will get paid 12.2p/kWh when the RHI launches in Spring 2014.

Installations will be required to have taken place after 15 July 2009, otherwise they won’t qualify for the RHI scheme. Homeowners, social and private landlords and self builds will all be eligible and tariffs will be paid every quarter for a period of seven years.

Other renewable heat technologies eligible for financial support include solar thermal panels, air-to-water heat pumps (air source heat pumps) and ground source heat pumps. Tariffs vary depending on the product.

In order to benefit from the RHI applicants will need to have arranged for a Green Deal assessment of their home and, where appropriate, must ensure that they have loft insulation of at least 250mm as well as cavity wall insulation, otherwise they won’t qualify.

Commenting on the the latest developments, energy and climate change minister Greg Barker said: “Given the current economic climate and the need to deliver value for money through Government expenditure, it was particularly important for us to get it right. We have sought to develop a scheme that is sustainable and delivers renewable heat in the most cost-effective way, learning from past experience.

“Building on the success of the Renewable Heat Premium Payment Scheme, and the non-domestic RHI, I am now confident that we have a domestic RHI policy that will drive further demand for renewable heat. The uptake of microgeneration technologies under the Feed-In Tariffs scheme has shown that renewable technologies can move from niche to mass market in just a few years, and with the support of the domestic RHI, I hope that renewable heating technologies will see such success.”

Mike Landy from the Renewable Energy Association said the news would give the renewable heat sector a massive boost. It means homeowners finally know how much financial support they are entitled to.

Green heat can be very cost-effective, particularly for households off the gas grid, and can make a major dent in the UK’s greenhouse gas emissions from heating, which account for roughly double those of electricity and nearly half the UK total,” he added.

Overall industry reaction to the news has been very positive. After almost four years of uncertainty it now means householders can install renewable energy technologies like biomass with confidence.

Read DECC’s official press release for more information.