Why do we need an RHI? o Primary objec2ve is to increase the uptake of renewable heat to 10% by 2020. o RHI is necessary because renewable heat technologies are currently unable to compete with fossil fuel alterna2ves (oGen higher capital costs and also a lack of understanding/awareness amongst consumers). o Expected that the RHI will have a number of other wider beneﬁts in terms of fuel security, lower emissions and ‘green jobs’. .
NI RHI – Phase 1 o Minister Foster launched Phase 1 of the RHI in November 2012 o Budget of up to £25m to 2015. o A DETI scheme which provides ﬁnancial support to renewable heat generators and producers of biomethane. o Applicable to Non domes2c installa2ons o Well-‐established technologies o Act as a primer for rest of market
Tariﬀs o The RHI aims to compensate investors for the addi2onal costs of renewable heat compared to tradi2onal fossil fuel systems. o Tariﬀs take into account all the various types of costs involved (including capital, ﬁnancing, barrier, fuel and opera2ng) to produce a pence per kWh cost ﬁgure. o A rate of return is included in order to s2mulate interest in a developing, unknown marketplace and to provide compensa2on for ﬁnancing costs. o Payments are be made on a quarterly basis o Once an installa2on is accredited under the scheme they will receive a ﬁxed level of support which will be adjusted annually in line with inﬂa2on.
NI Tariﬀs Tariﬀ Name Eligible Technologies Size (kWth) NI levels (pence per kWh) GSHP Including water source heat pumps and deep geothermal Less than 20kWth 8.4 20 kWth and above up to but not including 100 kWth 4.3 100 kWth and above 1.3 Biomass Less than 20kWth 6.2 20 kWth and above up to but not including 100 kWth 5.9 100 kWth and above up to but not including 1000 kWth 1.5 Biomethane Biomethane injecPon and biogas combusPon, except from landﬁll gas All scales biomethane, biogas combusPon < 200 3.0 Solar Thermal < 200 8.5
Administra2on of RHI o The RHI is being administered by Ofgem o Ofgem is the Oﬃce of Gas and Electricity Markets, regula2ng the gas and electricity industries in Great Britain. o Ofgem manages a range of other programs including the GB RHI and the NIRO
Guidance documents for RHI o Available on NIDirect website www.nidirect.gov.uk/energywise o Volume 1 – Eligibility and How to Apply » General informa2on » Technology speciﬁca2ons » Heat uses » Metering requirements o Volume 2 – Ongoing Obliga2ons » Payments » Compliance and Enforcement » Audit
Applying o Read the Guidance carefully o Apply online through the Ofgem RHI register. o Gather the relevant informa2on for your applica2on – Technical speciﬁca2ons of meters and boilers – Schema2cs – Planning Consents – Invoices – Commissioning Documents – Photograph of the installa2on clearly showing the serial number of the equipment
Eligibility • Technologies, as per tariﬀ table. • Payments made to the owner of the equipment. • Installa2on must be completed or ﬁrst commissioned on or aGer 1st September 2010. • New at 2me of installa2on. • Must be ‘useful’ hea2ng i.e. for a space, water/liquid and process hea2ng. • Not compa2ble with other grants, is compa2ble with Carbon Trust interest free loan. • Heat meters required.
Ongoing Requirements and Payments Ongoing requirements o Quarterly submission of meter readings. o No2ﬁca2on of changes to installa2on or heat use. o Annual declara2on of compliance. Payments o Paid quarterly for 20 years. o Tariﬀs updated on annual basis linked to RPI, otherwise ‘grandfathered’. o Payments into nominated bank account via BACS transfer.
Phase 2 of RHI • Extension of scheme to domes2c installa2ons • Poten2al addi2onal technologies (ASHP, Bioliquids, Large Solar, Deep Geothermal) • Other issues (district hea2ng) • Currently under development – will then be subject to public consulta2on -‐ an2cipated implementa2on -‐ late 2013
Renewable Heat Premium Payments – for domes2c installa2ons o Launched 24 May 2012 as a forerunner to RHI being extended to domes2cs. Technology Level of SupportASHP £1700Biomass £2500GSHP £3500Solar Thermal £320o To date there has been over 650 applica2ons and DETI has commijed over £1million of funding
Premium Paymentso Installers that avail of the Premium Payment Scheme will remain eligible for any future domes2c RHI (although RHI payments may be adjusted to take account of RHPP) o Technologies can only be installed in primary places of residence, not second homes or holiday homes, and they must have basic energy eﬃciency measures in place. o Technologies must be listed under the Microgenera2on Cer2ﬁca2on Scheme (MCS) or Solar Keymark and be installed by someone registered through the MCS scheme. o Other terms and condi2ons on NIDirect website.