The Renewable Heat Incentive
The Renewable Heat Incentive (RHI) is a Government Scheme that pays the owners of biomass boilers for generating and using renewable heat.
Administered by the energy regulator OFGEM, the RHI is part of a programme to reduce the country's CO2 emissions by replacing fossil fuels with renewable energy, such as biomass.
Download Treco's RHI Calculator
We have developed our own RHI Calculator which is available right now as a free download. This simple tool shows the installed cost of a Treco biomass boiler system, your potential earnings from the scheme over 20 years, your fuel savings and the payback period.
rhi income calculator
RHI Phase 1 - Commercial
The first phase of the RHI is targeted at commercial, not-for-profit, charity and public sector organisations.
The RHI offers annual payments for 20 years to the owners of the equipment, index linked to inflation. Combined with the fuel cost savings over fossil fuels, which can be 50% or more, the biomass heating opportunity offers a great return on investment.
Once your biomass installation is accredited by OFGEM, the submission of quarterly heat meter readings determine the quarterly payments that will follow.
For example, a country estate with main house and offices using a 198kW system would receive upwards of £20,000 and a farm house with cottages and a holiday let using 100kW system would earn £10,000 or more per annum for the 20 year duration of the scheme.
Click here to see four worked examples from Treco's RHI Calculator.
Treco can help with your RHI Application
Where Treco supply a biomass heating solution, we offer direct assistance with your RHI application. This includes the following, please call us to find out more;
- Summarised Volumes One and Two of the RHI Guidance, specific to Biomass, please click here to download the pdf.
- All appropriate schematic drawings.
- Supply of components such as heat meters, which we guarantee will be RHI eligible.
- Assistance with your RHI application.
RHI Phase 2 - Domestic
The Renewable Heat Premium Payment (RHPP) scheme is a precursor to the domestic RHI and offers a grant of £950 towards the cost of a biomass boiler. This payment is only available to homes off the gas grid.
From mid 2013, the Government will start to pay homeowners and landlords for the green heat they generate from biomass boilers under the domestic version of the RHI. Full details about the levels of payment are due to be announced by the Energy Saving Trust later this year.