DECC Announce The Much Awaited Changes To The Renewable Heat Incentive (RHI) Scheme

DECC have announced the much awaited changes to the Renewable Heat Incentive (RHI) energy scheme

by Justine Grant
Energy Assessor at TEAM

The aim of these improvements is not only to implement lessons learnt from previous renewable energy schemes, keeping the RHI in budget, but also to encourage more organisations to participate in the scheme, with the ultimate goal being to cut carbon emissions.

Justine comments: “So far there have been 1300 applications received since the scheme started in November 2011, evidence still suggests applicants are getting to grips with the application process. We have been working with organisations on the monitoring of their RHI systems and assisting with the production of Heat Metering Reports. We do come across instances where an organisation has submitted their Independent Metering report and become ‘stuck’ in a cycle of moving back and forth within the application process supplying additional information, supplying missing pieces or clarifying details.”

Quick summary of changes:

  • Budget for each year to ensure value for money for the UK taxpayer.
  • From April 2014, biomass installations must be proven to meet a greenhouse gas lifecycle emissions target, in order to be eligible for the scheme.
  • DECC intends to continue to develop an ‘approved suppliers’ approach during 2013.
  • FIT- style scheme, where payments would reduce if the number of approved installations goes above the Government’s expected uptake forecast.
  • Autumn 2013 is expected to see the redefinition of ‘complex’ and ‘simple’ systems, there are five proposals involved in this significant change to the policy, including allowing heat losses from insulated external pipes.

Justine tells us; “50% of systems have been classified as complex, however it is possible there are more which have been assumed to be ‘simple’. Aiming to reduce the cost of installing extra and sometimes unnecessary metering, applicants may see the process become more flexible.”

Note: We are still awaiting information with regard to the review payment levels for GSHP installations.
More info on DECC update here.

TEAM Renewable Heat Incentive Service

More about TEAM’s RHI Author

Justine Grant is the Energy Services Renewable Heat Incentive expert and course leader. Justine’s expertise lies in IRMA for RHI applications, non-domestic Display Energy Certificates and Advisory Reports, she is a technical author and trainer and Justine qualified as a CIBSE certified ESOS Lead Assessor.

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