This document discusses home heating solutions through district heating using biomass and the Renewable Heat Incentive (RHI). District heating provides renewable and carbon neutral heat through a central energy center with distribution piping. Biomass, a renewable source of stored solar energy, comes from residual forest products and is used to fuel district heating systems. The RHI is a 20-year government program that provides annual payments to support renewable energy installations like biomass heating. These solutions can provide affordable, low-carbon heat for housing associations and local authorities while benefitting tenants with lower energy costs.
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Eradicating Fuel Poverty under the Energy Company Obligation
1. Home Heating Solutions
Enabling affordable, low
carbon District Heating
through Biomass and the
Renewable Heat Incentive
(RHI)
2. What is District Heating?
Renewable, carbon neutral heat and hot
water generation
Proven technology for the past 30 years
in Europe
“On demand” reliable supply 24/7/365
Economical, flexible, adaptable
Central energy centre with distribution
pipework
3. What is Biomass?
Biomass is biological material derived from
living, or recently living organisms
Essentially stored solar energy
Made out of residual forest products
(sawdust, branches, tree tops, etc.)
Comes in the form of compressed wood
pellets or wood chips
4. What is the RHI?
Renewable Heat Incentive – A 20 year
support mechanism for renewable energy
installations
Government guaranteed annual payments
Inflation proof, index-linked to the retail
price index
Provides for cost effective heat energy with
predictable, stable future pricing
£860 million committed in the first year
5. Installation Considerations
Minimum system size is 6 standard residential units
(terraced houses or flats) however the larger the
system the lower the energy cost
Unlimited maximum can be applied to a single
building or an entire estate
Rapid deployment 4 to 6 weeks from project approval
to commissioning of system
Off-site manufactured “Energy Cabins” minimised
disruption to tenants
Compatible with all existing “wet” heating systems no
special adaptations required
Needs tenant consultation and approval, however this
is accepted almost universally due to the savings on
offer
6. Benefits to Tenants
Lower energy costs initially with fixed price
increases annually that are significantly lower
than the fossil alternative
“On demand” energy, heat and hot water are
always available as and when needed
Renewable and sustainable - Carbon Neutral
Local control over energy supply = local energy
independence
Familiar heating with conventional radiators and
thermostats so no learning curve
Local employment and training opportunities
7. Benefits to Housing Association/Local
Authority
The RHI provides guaranteed long term support, with a 10% ROI
Equity participation provides annual revenues to HA/LA
Can be rapidly deployed at any suitable site
The ESCO model provides for the unlocking of RHI for domestic
properties (as well as commercial)
No operations, no maintenance, no risk or exposure by the HA/LA
Increased desirability and value of housing stock
Elimination of CRC tax (if applicable); no climate change levy
applied to energy cost
Low carbon footprint with a high RDSAP score (A or B EPC rating)
Annual savings from gas boiler inspections, there is no need for gas
safety certificates and no periodic boiler changes
The ESCO bypasses the OJEU process, as the HA/LA purchases
Energy NOT equipment
Exceeds code for sustainable homes Code 5 (85%+ renewables)
standards
All fuel derived from renewable and sustainable Sources which
improves the “green” credentials of the HA/LA
8. Biomass vs Gas (Cost per MW)
£200.00
£150.00
£100.00
£50.00
£-
Biomass Cost at 2.5% Annual Increases
Gas Cost at 9% Annual Increases
9. Why Home Heating Solutions?
One of the UK’s largest independent installers for energy
efficiency measures with over 8,000 measures installed every
month
A safe pair of hands in the field committed to customer
service, quality as well as health and safety with all the relevant
accreditation and certifications
Proven “ESCO” model of operating allowing all stakeholders to
win
Ability to offer a holistic “Whole House Approach” for properties
that need other components upgrading e.g. Insulation, draft
proofing, lighting etc
Ability to leverage in other external funding streams, such as
the Energy Company Obligation (ECO) reducing outlay for the
HA/LA
10. Next Steps
We’ll gladly come and talk to you in more
detail and answer any questions you might
have.
Identify a suitable site and arrange access
HHS will conduct a physical site survey
and present back on all the options
including the overall savings and return
available
11. Thank you for reading
Matt Lucas
Business Development Director
Home Heating Solutions
matt@homeheatingsolutions.net
07502220638