The non-domestic Renewable Heat Incentive (RHI) closed to new applicants on 31 March 2021. The domestic RHI closed to new applicants on 31 March 2022.

The information in this resource is intended for reference only.

RHI tariff levels are subject to regular review, so it is worth ensuring you are aware of the latest tariffs. See ‘Further Information’ for the link to the up-to-date tariffs from Ofgem.

The RHI includes for certain technologies a tiered tariff payment mechanism. Tier 1 exists to cover the majority of annual usage for a boiler with the tariff level designed to cover the capital and running costs of the installation. The tier 2 tariff which is at a lower level mitigates installations generating additional heat solely for the purpose of generating revenue and provides support for the cost of biomass fuel.

The tier break is defined as the installed thermal capacity of the unit multiplied by 1,314 peak load hours (15% of the annual rated output). Tier 2 applies to any qualifying useful heat produced above the tier break.

For indicative purposes, Figure 1 shows the tariff rates for 1 January 2018.

RHI tariff rates at 1 January 2018
RHI tariff rates at 1 January 2018

Note that separate tariffs exist for deep geothermal, biomethane and biogas, we have not included the tariffs in the above figure for ease of viewing. These technologies are less likely to be part of a community scale development, further detail on tariff levels for these technologies is available from Ofgem’s website (see ‘Further Information’).