The RHI is now open for applications after a two-month delay for the first stage of scheme which offers long-term tariff support which targets the non-domestic sector.
The first phase of the RHI targets the biggest users from the industrial, business and public sectors which contribute 38 per cent of the UK's carbon emissions.
Organisations will be able to apply to Ofgem for support under the scheme from this week and will receive payments on a quarterly basis for heat generated over 20 years.
The 860m government scheme is expected to increase green capital investment by £4.5 billion up to 2020, stimulating a new market in renewable heat together with supporting 150,000 existing manufacturing, supply chain and installer jobs. This phase also includes the Renewable Heat Premium Payment (RHPP) which will provide around £15 million support for households.
Eligibility of some technologies will be limited to certain capacities with only technologies and fuels classified as renewable under the Renewable Energy Directive being eligible. Phase One of the RHI, will support a range of technologies and fuels including biomass, solar thermal, heat-pumps, on-site biogas, deep geothermal, energy from waste and injection of biomethane into the gas grid. Fossil fuel heat recovery and fossil fuel CHP, transpired solar panels and co-firing are not supported.
For details on how to apply for the RHI or more information click
here.
Andrew Holmes, managing director of Climate Energy, said: 'The RHI is a great way of making renewable heating commercially attractive to businesses in the UK. The guaranteed payments for 20 years means that not only can industry reduce their fuel bills by switching to renewable heat sources, they will also make money from it.
'We expect to see a significant increase in demand for technologies such as solar thermal hot water over the next 18 months. The RHI will help the UK meet its renewable energy targets and cut carbon emissions, while also potentially creating a number of new jobs in this area.'
