Domestic Renewable heat incentive

What Is The Domestic RHI?

The Domestic Renewable Heat Incentive ("Domestic RHI") is a Government financial support scheme for renewable heating systems including ground source heat pumps and air source heat pumps. The scheme was launched in April 2014 and is administered by Ofgem, the energy regulator. The purpose of the Domestic RHI is to support and reward those households who move away from traditional fossil fuels for heating their homes, which helps towards the Government's renewable energy and carbon reduction targets.

Owners of heat pumps will be paid quarterly over a 7 year period for all of the eligible renewable heat generated by the heat pump in the property. Eligible renewable heat includes the energy required for heating the home and providing domestic hot water.

Payments are usually based on a deemed amount of heat produced by the heat pump, and are index-linked, meaning payments should increase year on year.

How Is The Domestic RHI Worked Out?

Domestic RHI HEAT Pump TARIFFS

The Domestic RHI is a tariff based system, similar to the Feed-in Tariff for solar panels. The table below shows the current Domestic RHI tariffs for ground source heat pumps and air source heat pumps. These tariffs represent the amount you receive for each unit of renewable heat generated by your heat pump to heat your home.

Technology RHI Tariff [p/kWh]
Ground Source Heat Pump 20.46
Air Source Heat Pump 10.49

Table showing RHI Tariffs applicable from 01/07/2018 - 30/09/2018

 Domestic RHI Worked Example

Worked example 

For a typical 4-bedroom detached house

Total space heating and hot water requirement - 20,000kWh per annum

Ground source heat pump system capacity - 11kW

Ground Source Heat Pump Seasonal Coefficient of Performance - 3.5
This means that for each unit of electricity consumed, the heat pump produces 3.5 units of heat. The "renewable heat" is the difference between the total heat output and the electricity input. So for this example, for every 3.5 units of heat produced, 2.5 units are classed as "renewable heat".

Renewable Heat = 20,000kWh x (2.5 ÷ 3.5) = 20,000kWh x 71% = 14,286kWh @ 20.46p/kWh = £2,923 per annum

TOTAL ANNUAL DOMESTIC RHI PAYMENT = £2,923 PER ANNUM

Over 7 years the Total RHI Payment exceeds £20,000


 

wANT TO KNOW WHAT YOUR OWN rhi RETURN MIGHT BE?

Visit Ofgem's official calculator (external link)


Domestic vs Non-Domestic RHI

Domestic Renewable Heat Incentive

Generally speaking, the Domestic RHI is applied where a single property, which can receive a domestic Energy Performance Certificate (EPC), is being heated by a renewable heating system. The EPC acts as proof to show that the property is assessed as a domestic dwelling, as well as provided the deemed heat requirement for the property on which the payments are based.

NON-DOmestic renewable heat incentive 

If the renewable heating system is to be heating a commercial, public or industrial premises, or a heat pump system is delivering heat to multiple residential premises, then you would need to apply for the Non-Domestic RHI. This can include the likes of schools, hospitals, churches, large or small businesses, as well as multi-residential buildings.


Making A Claim

Domestic RHI Help Sheet.PNG

Domestic RHI

Help Sheet

First things first...

Before you make a start at claiming for the Domestic RHI, please ensure you have the following at hand:

  • Your Microgeneration Certification Scheme (MCS) certificate number
  • Your Energy Performance Certificate (EPC) number
  • Your bank details - make sure that the name and personal details you use for your application are the same as on your bank account
  • Your metering questions, if you need to be metered

It is also recommended to prepare the following:

  • If you need to be metered for payments please have your "Metering Questions" provided by your installer to hand
  • Invoices stating both the cost of the system and labour to install - this will have no effect on payments or eligibility

What next?

Once you have all of the above at hand, click here and select Apply Now.

Using the help sheet, fill in each block. If you do still require any further assistance, Contact Us and we will be happy to advise. 

After Your Application

Once you have made your application you will be able to log in to MyRHI which you will be able to keep track of your RHI payments, when you are likely to receive your payments and check your bank details to ensure the payments are being made to the right account. Then you can sit back, relax and watch the payments roll in for the next 7 years while experiencing the advantages of using a renewable heat source.


Move away from fossil fuels and get paid to heat your home