Introduction
The renewable heat incentive was introduced in November 2011, with the domestic equivalent coming into force in April 2014. The aim of these schemes is to offset the cost difference between installing fossil fuelled heating against the cost of installing renewable technologies. Both schemes will pay out a subsidy, Pence per kilo watt-hour, (like the figure stated on your electricity bill) over the term of the scheme (7 year domestic, 20 years commercial) based on either a deemed usage or at a recognised metered point.
More detail
The domestic RHI payment is determined by an energy performance certificate and your deemed usage, for more information follow the link
http://www.epcregister.com/
Then a green deal assessment will need to be carried out by a qualified assessor to determine the efficiency of the property, with recommendations to improve the performance of your property. The commercial RHI is payable quarterly on a single, or multiple metered points, and is dependent on your usage. For the commercial qualifying criteria, please follow the link.
https://www.ofgem.gov.uk/ofgem-publications/89305/final3guidancevolumeone-august2014publication.pdf
Commercial RHI and biomass
Things to look out for when thinking about a renewable system and its conformity to the RHI.
The usage needs to be classed as eligible, and any non-ineligible heat sources will need to be metered separately or interlocked so that ineligible usage cannot be registered as a renewable source.
https://www.ofgem.gov.uk/environmental-programmes/non-domestic-renewable-heat-incentive-rhi/eligibility-non-domestic-rhi
https://www.ofgem.gov.uk/environmental-programmes/domestic-renewable-heat-incentive/about-domestic-rhi/eligible-heating-systems-domestic-renewable-heat-incentive
Any biomass boiler that you choose to have installed should have the correct emissions certificate as per the regulations that were introduced on 24th September 2013
https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/295733/20140324_Air_Quality_Factsheet_FINAL_updated_version.pdf
Check the Kilo watt output of your boiler or boilers to see if they fall within the correct banding for the RHI rates you are looking to achieve. Also any boilers that are Separately hydraulically connected can be deemed to get the RHI as individual installations, even if they serve the same building.
https://www.ofgem.gov.uk/environmental-programmes/non-domestic-renewable-heat-incentive-rhi/tariffs-apply-non-domestic-rhi-great-britain
You will need an independent metering report as part of the application process for most installations above 45kw.
https://www.ofgem.gov.uk/publications-and-updates/non-domestic-renewable-heat-incentive-rhi-independent-report-metering-arrangements-template-pack-version-4.1
When submitting a planning application for a biomass boiler and system, you will need to give specific details of the make, model and fuel specification that you would like to use. Be sure that you are happy with the particulars of the boiler proposed, as once the planning application has been submitted and accepted your consent is for that boiler and fuel type only.
http://www.planningportal.gov.uk/permission/commonprojects/biomass/
The climate change levy is a carbon tax on large consumers of fossil fuel and electricity.
http://customs.hmrc.gov.uk/channelsPortalWebApp/channelsPortalWebApp.portal?_nfpb=true&_pageLabel=pageExcise_InfoGuides&propertyType=document&id=HMCE_CL_001174
If you require any more information or have a specific question regarding the above please go to the contact page and submit your query and we will endeavour to give you reply within a few working days.
This is an introductory guide and is not a definitive source of legal information