Homeowners still have 12 months to offset the costs of an air source, ground source or solar thermal installation through the Renewable Heat Incentive (RHI).
The Green Homes Grant Voucher Scheme closed for new applications on March 31st, 2021. Applications to the heavily scrutinised scheme were cut short, following a review into the GHG. The Green Homes Grant offered customers the chance to claim up to £5,000 towards the upfront costs of energy-efficient home improvements. However, those already with vouchers or who have submitted a successful application will still be eligible.
The Renewable Heat Incentive is open for new applications until March 31st, 2022.
What is the RHI?
Unlike the Green Homes Grant, the Renewable Heat Incentive is open for applications for a further 12 months. The Renewable Heat Incentive, or RHI, allows customers to offset the costs of a heat pump or solar thermal installation through quarterly payments made over a seven-year period. Tried and tested, the RHI scheme is much less troublesome for applying customers.
Often, RHI payments earned will cover the cost of a renewable heating upgrade. Customers are, basically, reimbursed for replacing harmful fossil fuel generation with a clean, renewable alternative.
How do you apply to the RHI scheme and what could you earn?
All homes are eligible to claim the Renewable Heat Incentive, providing they meet a few simple insulation criteria. The RHI application is submitted after the renewable heating system is commissioned. From submission to acceptance usually takes around two weeks and GreenGenUK assists customers with their application
The amount a homeowner will earn depends on the technology installed, the system’s efficiency and the property’s demand. See the below examples of what a typical homeowner could earn on an air source and ground source installation.
Typical air source heat pump for a three or four-bedroom home
– 15,000kWh space heating demand & 2,500kWh hot water demand
– 8.5kW Ultra Quiet Mitsubishi Ecodan air source heat pump
– £363 per quarter in Renewable Heat Incentive payments
– £10,164 in total RHI payments over the seven-year tariff
Typical ground source heat pump for a three or four-bedroom home
– 15,000kWh space heating demand & 2,500kWh hot water demand
– 8kW Vaillant flexoTHERM ground source heat pump
– £720 per quarter in Renewable Heat Incentive payments
– £20,173 in total RHI payments over the seven-year tariff
The above figures are estimates and actual payments could be higher or lower. Heat demand figures for RHI are capped. The cap is 20,000kWh for air source installations and 30,000kWh for ground source installations.
With 12-months left of the Renewable Heat Incentive, don’t delay
It will typically take several months for a customer to go from making an enquiry through to installation. With the RHI deadline just 12 months away and tariff rates higher than ever, there’s no time to delay.
GreenGenUK’s expert sales team are on hand to help with any queries and to start the process of your renewable heating upgrade. All site surveys and proposals are free of charge. Our aim is to provide a full and comprehensive breakdown of the costs and benefits so customers can make an informed decision on a renewable heating alternative.