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Renewable Heat Incentive

What is it?

The Renewable Heat Incentive (RHI) is a government financial incentive to promote the use of renewable heat.

By switching to heating systems that use renewable energy, we can help the UK reduce its carbon emissions and meet government targets set out to be carbon neutral by 2050.

There are two RHI schemes, each with their own application process, joining requirements, tariffs and rules. This factsheet sets out the differences between the Domestic and Non-Domestic schemes for people who aren’t sure which to apply to.

Domestic Renewable Heat Incentive

Did you know that you can get paid by the Government to install renewable heat technology in your home?

As part of the UK commitment to global climate change targets, the domestic RHI has been introduced to promote the adoption of ground source heat pumps, air source heat pumps, biomass boilers and solar thermal to produce a home’s heating and hot water.

The Domestic RHI is aimed at private residential self-build and custom builds, as well as all retrofit applications.

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Non-Domestic Renewable Heat Incentive

The Non-Domestic RHI is a Government programme which provides financial incentives over a 20-year period for the use of renewable heating products, such as ground source heat pumps and air source heat pumps.

The Non-Domestic RHI is aimed at a various industry, including small and large-scale businesses, leisure, agriculture and education.

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Smart Export Guarantee

What is it?

The Smart Export Guarantee (SEG) came into force on 1st January 2020, with the smart export guarantee being an obligation set by the government for licensed electricity suppliers to offer a tariff and make payment to small-scale low-carbon generators for electricity exported to the gird.

The smart export guarantee gives renewable customers the opportunity to receive a payment for generating energy from the sun and giving it back to the gird.

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Green Homes Grant

What is it?

Last year, the Government announced details about a new Green Homes Grant Scheme, which will provide home-owners with up to £10,000 to make their homes more energy efficient. The new scheme will see the government fund up to two-thirds of the cost of home improvements for systems such as heat pumps and solar thermal systems.

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Clean Heat Grant

What is it?

The Clean Heat Grant is a UK government-run scheme that aims to help existing small domestic buildings transition to low carbon heating systems for heating their homes. The scheme will come into effect from April 2022 and is expected to replace the Renewable Heat Incentive (RHI) when it ends in March 2022.

The Clean Heat Grant is set to commence in April 2022 and there are high hopes for low carbon technologies going forward. The final scheme design will be confirmed later this year in the government response to the original consultation.

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Blink and You’ll Miss It!

Don’t Miss Out On The Renewable Heat Incentive


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