Ground Source Heat Pump Association

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Renewable Heat Incentive – Commercial RHI

Owners of ground source heat pumps systems (and other eligible renewable heat technologies) installed since 15 July 2009, can apply to Ofgem to be paid 8.7 pence/kWhour of renewable heat generated for the next 20 years.

The Renewable Heat Incentive can be received by owners of non-domestic buildings for 20 years based on the metered heat delivered from ground source heat pumps.

Tariffs for GSHPs Double in May 2013 Consultation Review – confirmed on 4 December

The RHI tariff table below shows the technologies eligible for Commercial RHI and the subsidy received for each technology. The RHI provides a major incentive for owners to invest in ground source heat pumps and solar thermal renewable heat technologies. The tariffs are based on pence/kWh of renewable heat delivered.

Dramatically increased rates for GSHPs were proposed in DECC's May 2013 Consultation and subsequently confirmed on 4 December 2013. These revised rates apply to installations accredited with Ofgem after 21 January 2013. The grants vary with the technology and scale used as follows:

Renewable Heat Incentive
Commercial
Scale Revised RHI tariffs
pence/kWh
Tariff lifetime
in years
Ground source heat pumps 8.7 20
Air to water heat pumps¹ 2.5 20
Solar thermal up to 200 kW 10.0 20
Solid biomass² up to 200 kW 7.6² 20
Solid biomass 200-1,000 kW 5.1 20
Solid biomass over 1,000 kW 2.0 20

RHI rates published by Ofgem for year from 1 April 2014 – rates change with inflation each year.

RHI rates for ground source heat pumps fall to 2.6p for use over 15% of the full rated annual capacity.

RHI rates for medium and small biomass fall to 2.0p² for use over 15% of the full rated annual capacity.

Revised rates apply to installations accredited with Ofgem after 21 January 2013.

¹ RHI for ashp is subject to ashp achieving a CoP greater than 2.5.

² RHI for small biomass fell from 8.8p to 8.4p on 1 July and falls to 7.6p on 1 October 2014. See Degression

Additional specialist commercial RHI tariffs

Following announcements from DECC in December 2013, there will also be specialist commercial RHI tariffs for additional technologies available from 28 May 2014:

Renewable Heat Incentive
Commercial
Scale Revised RHI tariffs
pence/kWh
Tariff lifetime
in years
Solid Biomass CHP 4.1 20
Biogas - small < 200 kW 7.5 20
Biogas - medium 200 - 600 5.9 20
Biogas - large > 600 kW 2.2 20
Deep Geothermal 5.0 20
Municipal solid waste 2.0 20
Commercial and industrial waste 2.0 20
Biomethane 7.5 20

RHI rates change with inflation each year.

Experienced Contractor

A ground source heat pump provides an excellent method for providing emission free heating and avoiding further rises in energy bills, as well as attracting RHI, but they must be installed by an experienced contractor for the full potential to be realised.

Please verify if your contractor is a member of the GSHP Association.

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