Ground Source Heat Pump Association

Renewable Heat Incentive – RHI – 28 November 2011

After a long gestation period the Renewable Heat Incentive was due to have started on 30 September 2011. However, on 29 September this was delayed again as the European Commission only felt able to give "State aid approval" if the tariff for large biomass was reduced. Reducing the tariff for large biomass down to 1.0 pence /kWh required parliamentary approval but DECC has announced that Ofgem will be open for applications on 28 November.

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 3.2 pence/kWhour of renewable heat generated for the next 20 years. For all installations up to a capacity of 100 kW the RHI is increased to 4.5 pence/kWhour.

In the first phase of the Renewable Heat Incentive, the RHI will be received by owners of non-domestic buildings for 20 years from 28 November 2011. From Phase 2 owners of domestic properties will also receive RHI for 20 years from October 2012: there is no need to delay installations for owners of domestic properties, because the RHI will apply for all ground source heat pumps installed since 15 July 2009.

For domestic installations (up to 45 kW heating capacity) all installations must use MCS approved equipment and must be installed by MCS approved installers.

Renewable Heat Premium Payment – RHPP

There is a further single payment grant of £1,250 called the RHPP which is only available to owners of domestic properties who are not currently using main gas for heating. They can register with the Energy Savings Trust and receive £1,250 if they have a ground source heat pump installed and commissioned by 31 March 2012.

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.

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