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Renewable Heat Incentive Scheme (RHI)

Tariffs and payments: Non-Domestic RHI

The following is a summary of the latest RHI information. For more details please refer directly to the Ofgem website:

OFGEM Non-Domestic RHI

Payments

The Non-Domestic RHI provides financial support for renewable heat technologies for 20 years. Payments are made on a quarterly basis.

Once you’re accredited, a tariff level will be assigned to your installation based on its technology (eg biomass, heat pump, solar) and size. Payments will be made based on the actual heat output of the installation. They begin to accrue from the date of accreditation of the installation.

Tariff rates are set by the Department for Business, Energy and Industrial Strategy (BEIS). You can find the current tariff tables below.

Changes to the Non-domestic RHI regulations

As of 1 October 2018 the Non-Domestic RHI regulations:

  • allow participants of the RHI scheme to replace their accredited installation under certain circumstances. The aim of this change is to enable participants whose plant may break down to replace their plant and stay on the same tariff for the remainder of their participation in the scheme.
  • change the circumstances under which ‘estimated data’ can be submitted
  • clarify that all RHI installations must have the necessary environmental permits and must continue to comply with all local and national laws including those related to the environment.

The tariff boundary between Tier 1 and Tier 2 for small, medium and large biomass is raising from 15% to 35%. Please see the table for new tariffs.

BEIS has confirmed that there will not be a tariff degression on 1 July 2019.

Tariffs that apply for installations with an accreditation date on or after 20 September 2017 –

Updated Q4 2019/20

Tariff nameEligible technologyEligible sizesTariffs
Small commercial biomassSolid biomass including solid biomass contained in waste from 20 September 2017 the tiering threshold for small and medium biomass will change from 15% to 35% of heat load.  From this date, large biomass will move from a single, untiered tariff to a tiered tariff with the same 35% threshold. Less than 200 kWth
Tier 1
3.11
Less than 200 kWth
Tier 2
2.18
Medium commercial biomass200 kWth and above & less than 1MWth
Tier 1
3.11
200 kWth and above & less than 1MWth
Tier 2
2.18
Large commercial biomass1MWth and above tier 13.11
1MWth and above tier 22.18
Solid biomass CHP systems (commissioned on or after 1 April 2016)Solid biomass CHP systemsAll capacities4.51
Water/Ground-source heat pumps (commissioned on or after 1 April 2016)Ground-source heat pumps & Water-source heat pumpsAll capacities Tier 19.56
All capacities Tier 22.85
Air-source heat pumps (commissioned on or after 1 April 2016)Air-source heat pumpsAll capacities2.75
Deep geothermal (commissioned on or after 1 April 2016)Deep geothermalAll capacities5.49
All solar collectorsSolar collectorsLess than 200 kWth10.98
Biomethane injectionBiomethaneOn the first 40,000 MWh of eligible biomethane
Tier 1
4.86
Next 40,000 MWh of eligible biomethane
Tier 2
2.86
Remaining MWh of eligible biomethane
Tier 3
2.21
Small biogas combustionBiogas combustionLess than 200 kWth4.74
Medium biogas combustion (commissioned on or after 22 May 2018)200 kWth and above & less than 600 kWth3.72
Large biogas combustion (commissioned on or after 1 January 2019)600 kWth and above1.18

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