The renewable heat incentive is government payments, available from April 2014, which aim to pay the cost of installing renewable technologies, and it can even make you money. Its focus is for new builds and off gas grid households, and aims to encourage homeowners to install renewable heat technologies – air source heat pumps, biomass systems, ground source heat pumps and solar thermal technology – in homes across Wales, England and Scotland.
Different cash dividends are available for each technology, rewarding the owner of the heating system for each unit of renewable heat produced (measured by kilowatt hour or kWh) with quarterly payments over seven years when installed by an MCS installer (Microgeneration certification scheme) RECC member (Renewable Energy Consumer Code). These vary from 7.3p/kWh for air source heat pumps, up to 19.2p/kWh for solar thermal.
For more information on OFGEM’s renewable heat incentives click here