This Guidance note is intended for owners of transitional biomass boiler installations who wish to apply for support under the Renewable Heat Incentive (RHI) but have received a grant towards the cost of purchasing and/or installing their renewable heat installation.
The steps you need to follow to repay the grant, and the evidence that will need to be provided to Ofgem, are explained below.
If you are a transitional installation and you have received a grant from public funds for the costs of purchasing and installing your biomass boiler, you will need to repay the grant to the grant-making body before you can be eligible for the scheme.
A transitional installation is an installation that was installed and first commissioned between the 15th June 2009 and the date the Regulations came into force (28th November 2011). For the further information about transitional installations and what OFGEM consider to be a grant for the purposes of the scheme, please see Chapter Four, Volume One of the RHI Guidance document1;
Please note that if you are unable to repay the grant, for whatever reason, you will not be eligible for support under the RHI.
Please note that for any biomass boiler installation that was commissioned after the 28th November 2011 (the date the RHI Regulations came into force) and for which a grant was received towards the costs of purchasing and/or installing the installation, it is not possible to repay the grant and claim the RHI.
If you have received a grant offer letter (but the grant has not yet been paid), OFGEM will require evidence from the grant-making body that the grant offer has been rejected and no monies will be paid for the cost of purchasing/installing the renewable heat installation. We would expect applicants to take a similar approach and provide similar evidence as that for the repayment of grants.
This section describes the steps that need to be taken, and the evidence to be provided, for Ofgem to be satisfied that a transitional installation that has received a grant is eligible for the RHI.
1. Contact the grant-making body and inform them that you wish to repay the grant. (In some cases the original grant-making body may no longer exist. Where the responsibilities for the grant programme have been passed onto another body, you should contact this other body. The steps below and evidence required will remain the same. E.g. if you wish to repay a grant received under the Bioenergy Capital Grant Scheme or the Low Carbon Building Programme I & II you should contact the Department of Energy and Climate Change, not the original grant-making body).
2. Repay the grant according to the directions of the grant-making body.
3. Receive a document from the grant-making body confirming that the grant has been repaid. We will expect this to normally take the form of a letter on headed paper signed by an appropriate employee of the grant-making body confirming that the grant has been repaid. The following information will need to be included:
a. The name of the organisation that has repaid the grant
b. The name of the grant
c. The repayment amount
d. The date of effective repayment
e. The grant reference number (where applicable)
f. The repayment reference number (where applicable)
4. Submit this confirmation document to Ofgem as part of your application for accreditation.
Ofgem will consider this information alongside the other information provided as part of your application for accreditation to the scheme. Please note that Ofgem may contact the grant-making body to confirm that the grant has in fact been repaid.
For any other questions regarding this Guidance note, or for further information about the scheme, please contact the RHI enquiries team on 0845 200 2122, or via email at RHI.Enquiry@Ofgem.gov.uk.