Renewable Heat Incentive (RHI)

Renewable Heat Incentive (RHI) – What is it?

The Renewable Heat Incentive (RHI for short) is the Government program that encourages the introduction of renewable energy technologies into existing domestic, social and commercial sectors. The Government is seeking to achieve 15% of the UK’s heating requirements to come from renewable technologies by 2020, and has earmarked £850 million in grants and Feed in Tariffs (FIT’s) to achieve it.

Clean Energy Cash-Back

"Clean Energy Cash-Back" (otherwise known as the Renewable Heat Incentive) encourages individuals, communities and others, to bring forward the introduction of renewable energy, by providing a financial incentive to switch from using fossil fuels for electricity and heat, to renewable technologies.

The final Renewable Heat Incentive (RHI) details will be released in summer 2013 and schemes for payment will be formally launched in spring 2014. In addition installations completed after 15th July 2009, but before the start of the RHI, will also be allowed to benefit from the scheme, as if they had been installed on the date of its introduction.

What are the Feed In Tariffs (FITs) for Heating Appliances?

FIT’s are payments made as part of the RHI scheme, which will be claimed by, and paid to, the owner of the equipment. The Installer will need to be certified under the Microgeneration Certification Scheme (MCS), in order to ensure quality assurance and consumer protection. Payments will be paid over a number of years; annually for installations below 45 KW and quarterly for those above this level.

Are there Energy Efficiency Grants for Heat Emitters such as ThermaSkirt

Currently there are no separate grants for any room emitters by themselves (including radiators and underfloor heating) as any energy savings are deemed to be created by the heat source (such as heat pump, biomass or solar thermal). Low temperature emitters such as oversized radiators or under floor permit the best efficiencies of the heat source, but in terms of practicality and ease of installation ThermaSkirt is the best solution for the installation of renewable heat sources into existing buildings, hence the recent win at the National Heat Pump Awards.

The Tariff levels of the RHI scheme have been calculated to bridge the financial gap between the cost of conventional (fossil) and renewable heating systems of all scales. There is further compensation for certain technologies for an element of the non financial cost (e.g. the inconvenience of digging up a garden to install a ground source heat pump). Tariff levels have been proposed to provide a rate of return of 12% on the additional capital cost of many of the renewable systems, with a lower rate of return of 6% given to solar thermal.

Feed-In Tariffs Table

Installing renewables such as ground source and air source heat pumps and solar thermal systems is only half the story. Renewables work best when the properties are well insulated and the room heating system can operate at lower temperatures. Lower operating temperatures allow renewables like heat pumps and solar thermal systems to achieve a greater Coefficient of Performance (CoP). Higher operating temperatures reduce the renewable systems CoP and thus efficiency, and may require an electric immersion heater back up – eliminating any energy or CO₂ savings.

Lower operating temperatures require greater surface areas and better heat distribution. Underfloor heating is often promoted as the most suitable room heating system, but this would require major disruption to an existing property and is practically impossible to install efficiently under timber or carpet floor coverings.

Oversized radiators are often specified, but these can be up to double the size of the high temperature radiator they are replacing, and take up more wall space. Fan assisted radiators tend to spread dust and allergens, but even these cannot evenly heat the room as they create cold & hot spots.

ThermaSkirt can be easily installed into existing buildings as it is above ground and can often use the existing pipework and plumbing. Being above ground means no disturbance to the floors and ensures consistent performance regardless of whether there is carpet, timber, laminate or tiles fitted.

Advantages to the Home Owner

• Simple installation with minimal disruption
• Often uses existing pipework which reduces time and cost
• Even heat distribution - no hot or cold spots
• Very little air movements – no dust or allergens are spread around the room
• Clean and silent in operation
• New skirting boards – for ‘free’

Advantages to the RHI Installer

• Encourages take up – minimal disruption means more “yes’s”
• Reduced liability – little structural work required
• Speed and efficiency – can often use existing pipework
• Simple push fit – no specialised tools required
• Warranty – 10 years manufacturers warranty on all ‘wet’ parts
• Serviceable – Being above ground any issues are easily rectifiable

Feed-In Tariffs Table