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Renewable Heat Incentive and MCS

The Renewable Heat Incentive (RHI) helps businesses, the public sector and non-profit organisations meet the cost of installing renewable heat technologies and provides a major incentive for owners to invest.

NON-DOMESTIC RHI TARIFFS Scale Current rate 1Revised rate Tariff Lifetime
2Ground source heat pumps: Up to 100kW 4.8p/kWh 37.2-48.2p/kWh 20 years
2Ground source heat pumps: Over 100kW 3.5p/kWh 37.2-48.2p/kWh 20 years
Solar thermal: Up to 200kW 9.2p/kWh 10.0-11.3p/kWh 20 years
5Air source heat pumps: TBA N/A 2.5p/kWh 2.5p/kWh
1 Planned introduction – Spring 2014 (subject to Parliamentary approval and compliance with State Aid requirements)
2 RHI rates for ground source heat pumps fall to 2.3p/kWh for
use over 15% of the full rated capacity.
3 Equivalent to 10.0p/kWh of renewable heat
4 Equivalent to 11.3p/kWh of renewable heat
5 Decision on whether ASHPs will be included in the Non-Domestic RHI scheme due Summer 2013. Decision on tariff level due Autumn 2013 for implementation in Spring 2014.

 

Key aspects of the Renewable Heat Incentive for the non-domestic sector

Incentives to invest in renewable technologies:
Quarterly payments are indexed-linked to inflation and spread over 20 years. The amount paid depends on:

  • The technology installed
  • How much energy the installation can produce (its capacity)
  • How much energy is actually used

Evidence needed:

  • Installation company details
  • Date of installation
  • Installation serial number

 

Evidence could include:

  • Receipts or invoices relating to the installation of the equipment
  • A commissioning certificate or report
  • A photograph of the installation clearly

Eligibility:

  • The equipment must be installed in England, Scotland or Wales on or after 15 July 2009
  • A public grant cannot be used to buy or install the equipment
  • The equipment must be new and of a certain capacity
  • Both equipment and installer must have MCS or equivalent certification
  • The equipment must be used to heat space or water
  • The equipment cannot be used to heat a single home (though a combination of homes sharing a heating installation might be eligible)
  • Once accredited, a report must be sent to Ofgem every year to confirm continued eligibility
  • Heat pumps must have a coefficient of performance (CoP) of at least 2.9
  • Solar hot water system panels must be flat plate or evacuated tube

 

The revised tariff levels are subject to State Aid and Parliamentary approval. Applications can be made through Ofgem. Nu-Heat cannot apply on behalf of the owner. Enquiries should be directed to Ofgem on 0845 200 2111. For further information please visit www.decc.gov.uk and www.ofgem.gov.uk.


Microgeneration Certification Scheme

The Microgeneration Certification Scheme or MCS is often described as the renewables equivalent of Gas Safe. Although MCS is currently not a pre-requisite for installing a renewables system, it is an absolutely necessity if a customer wants to claim an income from the heat produced by the system under the proposed Renewable Heat Incentive (RHI).

Technologies covered by the MCS include solar thermal panels, air source and ground source heat pumps.

The MCS is quality assurance for renewables and both the product and the installer must be approved. Like Gas Safe, it is designed to assure the public of high standards of installation and a thorough understanding of the products. The scheme was put together with participation from both installers and product representatives and has received widespread industry support.

MCS Handover Pack

Systems purchased from Nu-Heat are fully designed and supplied with electrical and mechanical ‘docking’ drawings to illustrate how all elements of the system fit together as well as a comprehensive System Handover Pack to help meet MCS requirements.

Please click the images below to enlarge.

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