RHI Reforms - Replacement Plant

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As part of the recent reforms to the RHI Legislation, an amendment was made to the regulations which allows participants on the Non-Domestic scheme to replace plant and retain their original tariff, which in some instances can be around 3 times as high. This is a much welcomed amendment that is due to come into effect on the 1st October 2018, and will be hugely beneficial in certain scenarios such as when an installation has broken down.

The replacement plant will maintain the original RHI tariff for the remainder of the original application.

Replacement plant will need to be like for like in terms of technology, so a biomass boiler must be replaced by a biomass boiler.

The replacement plant output does not need to match that of the original plant, so can be of larger or smaller capacity. If the capacity of the replacement plant is higher then the Tier 1 threshold will still be based on the original plant capacity. However, if the replacement plant is smaller than the original then the Tier 1 threshold will change to be based on the smaller output.

More details can be found on Ofgems website as well as in the full regulations, with the most up to date version found on the governments legislation website.

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