RHPP boost…but cost controls ahead for the RHI

Bigger and better than the original, the second phase of the Renewal Heat Premium Payment scheme goes lives on April 2.

Giving money off technologies including biomass boilers, including Organic Energy’s ÖkoFEN wood pellet systems, the RHPP also includes a £8million competition for communities to apply for grant to install renewable heating.

The extra cash is in addition to the existing voucher scheme for around four million homes not heated by mains gas, with £950 available towards a wood pellet boiler.

That was the good news. However, bundled in with the Government’s official announcement about the RHPP extension were moves to bring in cost control measures for the Renewable Heat Incentive.

Although not necessarily bad news, as we appreciate that plans need to be put into place for the long term support of renewable heat technologies, it does demonstrate the industry should not be reliant on Government incentives for
growth.

It is reassuring to see the Department of Energy & Climate Change has learned from its mistakes over the solar PV Feed-in-Tariffs scheme and wants to better manage its’ budget this time around.

We will await the outcome of the industry consultation over the summer, but the Government is already warning that a system of lower tariffs under the RHI may be introduced as the scheme grows and it could even be suspended for a
time if the available cash looks like running out.

As you’d expect, we’d urge anyone considering green technology to heat their homes, businesses and communities, to not leave it until the weather turns colder – by that time, the incentives may not be so attractive. If you’d like to know more, give us a call or drop us a line at info@organicenergy.co.uk

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One response to “RHPP boost…but cost controls ahead for the RHI

  1. Pingback: Now it pays even more to be green! |

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