Scottish solar PV installers
Scottish renewable energy installers and electrical engineers

The Renewable Heat Incentive (RHI) Explained

The Renewable Heat Incentive

In March 2011, the UK Government announced the details of the Renewable Heat Incentive (RHI). The Renewable Heat Incentive is designed to provide financial support that encourages individuals, communities and businesses to switch from using fossil fuel for heating, to renewable energies such as wood fuel. It is essentially the renewable heat version of the Feed-In Tariff.

Renewable Heat Premium Payment

The Renewable Heat Premium Payment scheme has now been announced and you can now make an application. There is around £12m available to householders in Scotland, England and Wales who install from 1 August 2011.

Renewable Heat Incentive Tariff

People in receipt of the Renewable Heat Premium Payments will be able to apply for the full RHI tariff support once the scheme is introduced in Autumn 2012, as will anybody who has installed an eligible technology since 15th July 2009.

However, the Government has not yet published its proposals for how the Renewable Heat Incentive will work in the domestic sector, so there is no guarantee at this stage that anyone who is eligible for an Renewable Heat Premium Payment grant will also be eligible for the Renewable Heat Incentive.

Although air source heat pumps will be eligible for the Renewable Premium Payment, a decision on whether or not they’ll be included in the payments will be based on consumer feedback on the performance of the technologies. This should be clarified in the government’s RHI proposals.

These payments will start alongside the Green Deal from Autumn 2012 to allow a more whole-house approach to heat production and energy efficiency.

Please refer to the dedicated Department of Energy and Climate Change website here for updates and tariff rates.

Funding for Renewable Energy Installation

There are various sources of funding available for installers of renewable energy technology. The list below is not exhaustive, and competition for funding is fierce so we advise to make inroads into securing funding as soon as possible. Sources of funding vary by region, and the list below is geared towards installers in Scotland due to our area of operation. The list below is only an advisory starting point, it is up to you as an investor to decide on the option that is best for you and therefore AC Gold Energy accept no responsibility for any financial decisions that you may make.

Home Energy Scotland Loan

Loans of up to £2,000 are available for a range of renewable heat and electricity generating technologies – for instance heat pumps, solar, micro-wind turbines or biomass boilers. The loans are time-limited and operate on a first-come first-served basis. Those installing electricity technologies should also be eligible for Feed-in Tariff payments. See Home Renewables Loan Scheme for full details and how to apply.

Home Loans Scheme (Scotland)

If you live in a Universal Home Insulation Scheme (UHIS) area in Scotland you could benefit from an interest free loan of up to £10,000. To find out if you live in a UHIS area please contact your local Energy Saving Scotland advice centre on 0800 512 012

What’s on offer?

Loans of between £500 and £10,000 are available (please note: loans are only available up to a maximum of £4,000 for solar photovoltaic (PV), wind turbines and small scale hydro technologies
Loans are interest free so you only pay back what you borrow
Applicants can pay back the loan in monthly installments over a maximum of eight years.
The loan can be used for the following measures:

  • Loans of between £500 and £10,000 are available (please note: loans are only available up to a maximum of £4,000 for solar photovoltaic (PV), wind turbines and small scale hydro technologies
  • Loans are interest free so you only pay back what you borrow
  • Applicants can pay back the loan in monthly installments over a maximum of eight years.

The loan can be used for the following measures:

See Energy Savings Trust for full details of the scheme and how to apply.

Follow AC Gold

Content

No obligation renewable installation quote

Choose a Product
Your Name
Your Email
Your Phone No.
Your House No.
Your Postcode
Type of Customer
Domestic
Commercial