Non-Domestic Renewable Heat Incentive

The Renewable Heat Incentive (RHI) is a Government scheme set up to encourage the increased uptake of renewable heat among householders, communities and businesses through financial incentives.

The Non-domestic scheme is open to the non-domestic sector encompassing the industrial, commercial, public sectors and not-for-profit organisations. Those with eligible installations will receive fixed, quarterly RHI payments for a guaranteed duration of 20 years.

Although payments are fixed for the installation’s lifetime (20 years), tariffs are still subject to annual adjustments in line with the Retail Price Index (RPI).

How The Scheme Works

The non-domestic RHI is currently in place for biomass, solar thermal, ground and air source heat pumps and biomethene and biogas combustion technologies.

Eligible outputs of your renewable heating system include space heating, hot water, and numerous commercial, industrial and agricultural processes.

Payments will be made quarterly for every kilowatt of heat generated and are based on heat metered readings submitted by the owner of the installation. The amount paid will be determined by multiplying the eligible metered heat reading by the relevant tariff level.

Tariff Rates For Non-Domestic RHI

The table below details the non-domestic RHI tariff based on different installation sizes and types. Tariffs for new applicants can be subject to cuts following the expenditure forecasts published by DECC quarterly.

Tariff Name Eligible SizeTariff Rate from 1st January 2016 to 31st March 2016 (pence/kWh)
Small Commercial Biomass<200kWhTier 1: 3.76 Tier 2: 1.00
Medium Commercial Biomass>200kWh<1000kWhTier 1: 5.18 Tier 2: 2.24
Large Commercial Biomass>1MW2.03
Ground Source Heat PumpsAll capacitiesTier 1: 8.84 Tier 2: 2.64
Air Source Heat PumpsAll capacities2.54
Solar Collectors<200kW10.16

Find out how non-domestic RHI can help you save on commercial energy bills by contacting us now!

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