Decision To Extend RHPP Welcomed By Baxi

12th Apr 2012

At least one well known energy firm, Baxi, has openly welcomed the decision to extend the Renewable Heat Premium Payment, stating that this will help to fill the gap left by the Renewable Heat Incentive deferment.

The Renewable Heat Premium Payment (RHPP) is a government scheme aimed at helping householders with costs of renewable energy installation. It covers such renewable technology as biomass boilers, solar thermal panels and heat pumps. Just before the government declared their intention to delay the implementation of the Renewable Heat Incentive (RHI) they suddenly announced an extension to the RHPP.

“RHPP has always been seen as a precursor to domestic RHI, so as the government pushes back the latter, we are glad that a new RHPP will bridge the gap” said Simon Osborne of Baxi UK.

Under the existing RHPP householders wanting to buy biomass boilers and wood burners will be encouraged to do so with a £950 voucher towards costs, however vouchers available under the scheme are dependent on the type of heating you have in your house already. If you do not already have mains gas central heating, then you may well be able to buy a biomass boiler with the help of funding from the RHPP.

A biomass boiler will save around 7.5 tonnes of carbon per year, which is excellent news for those who are already environmentally conscious. Even better is the fact that a wood burner or biomass boiler will help you to save money, and also earn income when the RHI commences again in 2013.

Simon Osborne believes that ideally the two schemes should work hand-in-hand if the government want to see maximum benefits. “Ideally, both schemes need to work together in order to encourage individual installers as well as homeowners, to start thinking about renewables” he says.

“RHPP will definitely support early adopters, but might have a limited scope if accompanying tariff payments are not announced soon. If installers are going to invest in training on renewables, then they need to know what the potential market is going to be – and this will be determined, to a large extent, by domestic RHI.”

The second phase of the RHPP will be worth £25 million and will provide both householders and landlords with an incentive to improve the energy efficiency of their properties. So far the RHPP has proved to be extremely popular since its introduction in August 2011.