DECC reaches for a bigger carrot to boost renewable heat initiative

The UK remains proactive in the renewables sector illustrating a significant determination to meet the renewables targets.

The UK government’s renewable energy strategy seeks to cut emissions by 80 per cent for 2050 and generate 15 per cent of the UK’s energy from renewable sources by 2020. Consequently, renewable heat energy has consistently received a high priority (as use of energy for heating makes up a substantial proportion of the UK’s energy demand) and benefits from innovative financial incentives, which include the Renewable Heat Incentive (RHI). Under the RHI, eligible facilities receive a tariff payment for each unit of useful heat produced and used in a qualifying manner. The government is proposing a number of changes to the RHI scheme to increase uptake.

Speaking in the House of Lords Grand Committee debate on the proposed changes, Baroness Verma (the parliamentary under-secretary of state at the Department of Energy and Climate Change) indicated that ‘280 gigawatt hours of renewable heat have been produced through the RHI to date’ and that the UK is expected to ‘have paid out more than £53.8m through the non-domestic RHI’ by summer 2014. These figures illustrate the current success of RHI and the Government’s continued commitment to the scheme…

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