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Renewable Heat Incentive

(To watch a video explaining the Renewable Heat Incentive (RHI) please click here.)

On the morning of 9th April 2014, Greg Barker (Minister of State for Energy and Climate Change) announced the long-awaited launch of the Domestic Renewable Heat Incentive which is a tax-free, index linked quarterly payment to owners of MCS approved renewable energy heating and hot water systems. This news is fantastic for Cambridgeshire; our local community will be able to have warmer homes and cheaper fuel bills with reduced carbon emissions, and will receive cash payments from the Government.

There has never been a better time to have a renewable energy system installed. We install the latest MCS approved, energy saving, environmentally-friendly technology. As soon as our work is complete a member of our team will be on-hand to assist with your application for the most suitable government “index-linked” financial support package available.

With a well designed installation, matched to the correct renewable heat incentive, you can expect to see your initial investment repaid over a 5 to 7 year period for domestic users, and in some cases there is even money left over to spend on energy efficient heating upgrades and the purchase of fuel.

Please click here to view FAQ regarding the renewable heat incentive.

Eco Installer, based in Sutton, Ely, Cambridgeshire offers free guidance on the Renewable Heat Intensive, local to Ramsey, Kings Lynn, Newmarket, Saffron Walden, Royston and Huntingdon. Please give our team a call on 01353 669000.

How much can you earn from the Renewable Heat Incentive? 

Click here to find out approximately how much money you could get through the Renewable Heat Incentive if you install renewable heat technology (such as a biomass boiler or ground source heat pump) in your home.


The domestic RHI scheme is fantastic news for home owners looking to replace their current heating system with a MCS approved renewable heat technology. The domestic RHI pays the equivalent of 20 years worth of payments over a 7 year period allowing a home owner to recoup their investment, and maybe even make a profit.

Current domestic RHI payments are as follows:
Solar thermal - 19.51p per kWh
Air source heat pump - 7.42p per kWh
Biomass - 7.14p per kWh
Ground source heat pump - 19.10p per kWh
More detailed information about the domestic RHI can be found here: Ofgem

The non-domestic RHI scheme supports renewable heat installations undertaken by landlords, businesses, industries, the public sector, as well as registered community heat networks. There is a massive interest in biomass systems due to the relatively short payback period of 5 to 6 years, giving some customers a profitable income where they used to have a regular outgoing.

Current non-domestic RHI tariffs are as follows:
Solar thermal - 7.2p per kWh
Biomass - 4.40p per kWh (tier1)
Ground source heat pump - 8.84p per kWh
Air Source Heat Pumps - 2.54p per kWh

More detailed information about the non-domestic RHI can be found here: Ofgem

The Feed-in Tariffs (FITs) are tax-free payments paid to the registered owner of an MCS approved solar PV installation for every kilowatt per hour generated. They are applicable to households and businesses as long as they meet a minimum band D energy performance certification. Current installations using these tariffs have an average payback of 7 years with 13 years of payments to come.

Current FITs are as follows:
Up to and including 4kW - 12.92p per kWh higher rate

More detailed information about the FITs can be found here: Feed In Tariff FAQ

With the Green Deal it is possible to make energy-saving improvements to your home or business without having to pay all the costs up front. Green Deal is a new UK government policy and currently Eco Installer are Green Deal approved for biomass, heat pumps and solar photovoltaic (PV) and will be adding further measures for boilers, heating controls and under-floor heating in the near future. We are working closely with the energy efficiency officers at East Cambridgeshire and Fenland District Councils on pilot projects and will have more to report back on soon.

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