Northern Ireland renewable heat incentive launched

The Northern Ireland Renewable Heat Incentive (RHI) has been announced by Energy Minister Arlene Foster.  With a £25 million budget up to 2015, the RHI is available to owners of non-domestic properties who wish to switch from conventional heating to renewable heating solutions, such as biomass, heat pumps and solar thermal systems.

“The development of this market will have real benefits for Northern Ireland’s energy security by reducing dependence on fossil fuels,” Foster said.  “The sector also has the potential for new jobs and industries.”

The Executive has a target of generating 10 per cent of heat in Northern Ireland from renewable sources by 2020. At present, 77 per cent of heat is fuelled by oil, 17 per cent by gas, 3.1 per cent by coal, 1.7 per cent by renewables and 1.2 per cent by electricity (Economy 7).

Payments will be made quarterly and for the lifetime of the installation (up to a maximum of 20 years) and will be determined by the heat output of the installation and the tariff set by the Department of Enterprise, Trade and Investment.

The scheme is expected to be extended to the domestic market by autumn 2013.  Until then, householders wishing to switch to renewable heating can apply for renewable heat premium payments, of up to £3,500.

>A renewable heat incentive was announced in Great Britain in November 2011 and both schemes are administered by Ofgem, to ensure consistency.  Enquiries can be made to Ofgem on 0845 200 2122 or via email at rhi.enquiry@ofgem.gov.uk