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Renewable Heat Incentive (RHI)

What is it?

The Non-Domestic Renewable Heat incentive (RHI) is a Government environmental programme that provides financial incentives to increase the uptake of renewable heat. For the non-domestic sector it provides a a subsidy over 20 years to eligible renewable heat generators based in Great Britain. It is administered by Ofgem on behalf of the Department of Energy and Climate Change.

What is the purpose of the scheme?

By providing a long-term financial incentive, the Commercial RHI will significantly increase the proportion of heat generated from renewable sources. By driving these changes the RHI can help the UK meet EU targets to reduce carbon emissions and improve energy security.

Who is the scheme for?

The non-domestic RHI is open to industrial, commercial, public sector and not-for-profit organisations with eligible installations. This includes e.g. small businesses, hospitals and schools as well as district heating schemes where one boiler serves multiple homes.

Key eligibility criteria

  • Applicant must be the owner of the installation
  • Equipment installed and first commissioned on or after 15th. July 2009
  • Equipment new at time of purchase
  • Grants not received for purchase/installation
  • Medium of heat transfer must be liquid or steam ie no direct air heating
  • MCS or equivalent EN45011 if capacity is 45kw or under-a requirement for solid biomass, heat pumps and solar thermal
  • Biomass boilers must meet air quality requirements and be designed to use solid biomass as the primary fuel source
  • The metering arrangements are correct-the right type of meters calibrated and placed in correct locations
  • Equipment cannot be used to heat a single dwelling
  • Must be used for space and/or water heating, carrying out a process in an enclosed building or outside for commercial cleaning/drying

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