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What you need to know about RHI – homeowner grants for renewable heat

As of 2014 you could receive money for each kilowatt of renewable energy used to heat your home, as well as hundreds of pounds for installing heat pumps, biomass boilers and metering systems.

Energy and climate change secretary Greg Barker has announced that homeowners that use renewable heat technologies will receive hundreds of pounds.

The renewable heat incentive (RHI) will start in 2014. Homeowners will receive 7.3p/kWh for air source heat pumps; 12.2p/kWh for biomass boilers; 18.8p/kWh for ground source heat pumps and at least 19.2 p/kWh for solar thermal systems.

Barker said the coalition was committed to helping hard working families with the cost of living.

“Householders can now invest in a range of exciting heating technologies knowing how much the tariff will be for different renewable heat technologies and benefit from the clean green heat produced.

“We are also sending a clear signal to industry that the Coalition is 110 percent committed to boosting and sustaining growth in this sector,” he added.

Homeowners will receive quarterly payments over seven years. The calculations will mainly be based on heat output.

Households with both a heat pump and metering system will receive a further £230 a year. And homes with a biomass boiler and metering system will get an additional £200 a year.

To qualify for the payments, applicants will have to complete a Green Deal assessment, they must meet minimum loft and cavity wall insulation requirements and all installations and installers have to be MCS certified.

Home heating: what to consider before you buy

How can I cut my gas bill?

A guide to cheaper heating with the Green Deal

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