What is the Renewable Heat Incentive Scheme?

The Renewable Heat Incentive (RHI) is a government scheme that makes quarterly payments for seven years if you switch from fossil fuel to a renewable technology to heat your property. It’s aimed primarily at properties that are connected to the gas grid and those in areas not on the grid where homes are heated by oil, coal, or LPG.

It’s open to properties in England, Scotland and Wales, but the RHI scheme in Northern Ireland was closed to new applicants in 2016. There are two versions of the scheme, one for residential properties and another for non-domestic properties such as commercial buildings, industrial units, public sector and community buildings.

Is this the same as the Feed-In-Tariff scheme?

The Feed-In-Tariff (FIT) scheme was closed to new applicants in 2019. For those already on the scheme, cash payments are made to households in exchange for exporting renewable energy to the national grid. The scheme has been replaced by the Smart Export Guarantee (SEG).  All of the large energy companies are required to take part in the scheme which makes payments for any excess electricity households fitted with a renewable energy generation system that are exported. It’s a less generous scheme than FIT which rewarded you for all the energy you generated whether or not it was exported.

These schemes are different to the RHI which is designed to offset some of the outlay of installing a renewable heating system, rather than providing an income for the electricity you generate. The RHI also covers different renewable technologies, such as heat pumps, air pumps and biomass boilers.

How does the RHI work?

The RHI gives financial support to help offset the cost of installing and running your new heating system. It’s run by the Department for Business, Energy and Industrial Strategy, and if your application is granted you will receive a quarterly payment from the scheme for seven years. It’s possible for households to install more than one renewable energy source and receive payments for each one.

The size of the quarterly payments you receive per kWh of heat depends on the type of technology you install. Your home’s EPC rating will also be a determining factor. Payment rates can also fluctuate year-on-year in line with prices.

The payments are administered by Ofgem, the energy regulator.

Which technologies are covered?

RHI payments are currently paid for air-source heat pumps, ground-source heat pumps, biomass boilers and solar water heating systems.

Who can apply?

To make an application to the scheme you have to be the owner of the property. An applicant, therefore, needs to be an owner-occupier, private or social landlord or a self-builder.

If you are a tenant of a property you are unable to apply for the scheme, should your claim be granted your need to comply with the rules of the scheme throughout the 7 years of eligibility.

Types of property

In the case of a new-build property, it must be custom-built and remain unoccupied until after the renewable heating system has been commissioned. They must also be owned by private individuals rather than companies. The domestic scheme is aimed at single properties only, meaning that a shared renewable heating system for an entire block of flats, would not be eligible. However, a landlord or residents may be able to apply through the non-domestic RHI scheme.

Systems that provide heat to more than one building, such as main property and a garden office or swimming pool, may be eligible for the scheme.

Is it worth applying for the Renewable Heat Incentive?

The domestic RHI scheme is most likely to be beneficial if your home is not on the gas grid and you’re looking to replace your current heating system with a renewable one. Off-gas-grids will usually be considerably more expensive to heat efficiently, so there is real potential to save on fuel bills over the medium term. You should also make sure that renewable heating is going to be suitable for your home.

Before you begin installing a renewable heat source into your home you should ensure that it’s properly insulated and as energy efficient as possible.

Although primarily designed to help owners of properties that are not connected to the gas grid who typically have much higher bills, homes connected to the grid are also eligible. The savings may not be as great if your home is part of the gas grid, but that doesn’t mean it’s not worthwhile making the change to a renewable heating system. They can add value to a home with buyers increasingly interested in energy efficiency and reducing their carbon footprint. Research has found that many buyers prioritise renewable aspects on a potential purchase ahead of other considerations such as a garden or an extra bedroom.

A valid Energy Performance Certificate

Before you can install any renewable heat technology and apply for RHI you will need to have a valid Energy Performance Certificate (EPC). This can’t be more than two years old and will need to accurately reflect the current condition of your home. If you’ve made any change to the insulation levels at your home such as fitting double glazing or having cavity wall insulation applied, then the EPC should take account of this. Likewise, if you’ve had any building work such as the addition of a conservatory or utility room, you will need a new EPC.  If your EPC makes any recommendations such as loft insulation, you will need to have the work done and then get a new EPC before you can apply for RHI payments.

An Energy Performance Certificate is required when you sell or let a property therefore it’s important to ensure that yours is up to date. By carrying out any recommendations on the EPC you are likely to save yourself money going forward.

Find an MCS Installer

To qualify for RHI payments you need to find an MCS installer to complete the installation of your renewable heating system.  MCS stands for the Microgeneration Certification Scheme. It’s an independent scheme that provides certification to both microgeneration products and qualified installers, all of whom meet a particular set of quality standards. It provides a basic level of consumer protection and assurance. The MCS ensures that both the system you choose and your installer complies with industry standards.

When you make your application for the RHI you will need to provide evidence that both your renewable heat system and the installer are MCS accredited. This is crucial to your application and without proof of both you won’t be eligible to receive RHI payments. Make sure you check with your installer that they have MCS credentials and that the system meets all of the criteria for inclusion in the scheme.

What if you want to keep a back-up heating system?

If you still wish to keep an oil-boiler or LPG as a back-up heating system alongside your renewable energy heating system then the latter may need to be metered. The same applies if your property is only occupied part of the year. Your installer will be able to fit a meter to your system at installation.

How do you make an application?

Once you have the necessary documentation in place it’s easy to make an application to receive the RHI. You application is free to submit if you do it directly via the energy regulator, Ofgem. You can find the application form here. If you’re unable to apply online then you can apply over the phone with an adviser on 0300 003 0744.

Some application management companies offer to submit the application for you but for this they will usually charge, so they are best avoided. If you have any questions about the process your MCS installer will be able to advise, as too will Ofgem.

Previously, there was a time limit of 12 months from the installation date for you to make your application. This was relaxed as a result of the Covid-19 pandemic and the challenges it has presented. Your installer will be able to advise you about any time limits as they currently stand but as a general rule it’s wise to make your application sooner rather than later.

The Consumer Price Index (CPI) and tariffs

During the 7 years your scheme membership will run, your tariff rate will change in line with the Consumer Prices Index (CPI). This is calculated in April each year and is the only factor that can impact on the tariff rate you will receive. These updates take place automatically and will be available to view online along with your payment schedule.

Are there any ongoing requirements?

As part of your application to join the domestic RHI you will automatically consent to a range of ongoing obligations that are part of the scheme. One of these responsibilities is to comply with any ongoing obligations related to your specific renewable energy heating system and your household.

Every year you’re required to fill out an annual declaration. This declaration includes a range of commitments that ensure you’re complying with all of the scheme rules. It’s designed to ensure that you are paid the correct amount of money for the heat you generate.  The declarations you’re required to make are:

• That you still own a heating system in your property.
• That the system is in good working order and hasn’t been substituted.
• That any meter you were required to install is in good operating condition.
• Any other requirements that you need to fulfill regarding both the occupants of your property and your heating system.

Ofgem also carries audit checks to ensure that participants in both the domestic and non-domestic RHI schemes are complying with the regulations for their respective schemes. Anyone who is a part of the scheme can be selected for an audit. These are selected for a number of reasons as well as random sampling.

Therefore, it’s important to keep your renewable heating system well maintained. Not only will this ensure that it’s working as efficiently as possible but will reduce the chances of costly breakdowns and falling foul of an Ofgem audit. Your MCS installer will usually be able to offer a regular maintenance service.

Air-source heat pumps are a practical solution for a wide range of properties

Air-source heat pumps offer renewable heating solutions for a wide range of different domestic and commercial properties. At Enviro Chill, we fit and supply air-source heating systems from some of the world’s leading manufacturers. These can lower your carbon footprint, reduce your heating bills and enable you to access the RHI scheme. We’re also MCS accredited installers and can advise on the application process.

If you’d like to learn more about air-source heat pumps and how to apply for the RHI scheme then we’d love to hear from you.

Contact our friendly and knowledgeable team for a no-obligation chat or call Enviro Chill directly on 0151 285 1818

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One of the most highly regarded ranges of heat pumps is the Mitsubishi Ecodan range. They offer efficient and reliable household heating for domestic consumers.

What is Ecodan heating?

If you’re looking for a modern alternative to a gas boiler or oil-fired central heating then Ecodan heating could be for you. They can be used both on and off the gas grid and only require an electrical connection. It’s a renewable alternative to a gas boiler and can lower your carbon footprint considerably while heating your home and providing you with hot water.

The range is manufactured by Mitsubishi, one of the most innovative global companies, who have invested heavily in renewable technologies. The Ecodan range combines their commitment to quality with innovation and high-levels of user functionality.

Are Mitsubishi air-source heat pumps any good?

The Mitsubishi Ecodan range is one of the most efficient and high-performing heating systems for domestic and commercial properties. The whole range has an A++ ErP Energy Rating Label, which makes it a clean, green alternative to carbon fuelled heating systems.

In energy terms, even the most efficient gas boilers will produce less than 1kW of heat energy for every kW of gas consumed. For a heat pump, the energy source is electricity which it then uses to harvest renewable energy from air outside your property. It does this incredibly efficiently, turning a kW of electrical energy into at least 3kW of heat energy.

If your property is heated by oil then the changes will be even starker. If you’re not on the gas grid and currently use either oil or LPG gas, replacing it with an air source heat pump will considerably reduce your carbon footprint. It also makes life more convenient as you’ll no longer have to place orders for fuel or wait for it to be delivered.

The units are self-contained and easy to install, with 4 models to choose from. A qualified installer will be able to advise which model will best suit your property.

How much do Mitsubishi Ecodan heat pumps cost?

On average, the cost of installing an air source heat pump system ranges from around £6,000 to £12,000. The exact price will depend on the particular model and size of the heat pump you opt for.

At Enviro Chill, we supply and install the Mitsubishi Ecodan range. If you’re looking for a low-maintenance, easy-to-install, and low-cost-to-run air source heat pump then they make an excellent choice.

Contact our friendly and knowledgeable team for a no-obligation chat or call Enviro Chill directly on 0151 285 1818

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There are a range of options when it comes to air source heating, with the Daikin Altherma range being one of the leading names.

What is a Daikin Altherma heat pump?

The Daikin Altherma range of heat pumps is an excellent choice for a wide range of situations. They offer industry-leading heating at a price that’s realistic for a wide range of different users. They integrate seamlessly with your existing radiators and pipes and enable you to enjoy the benefits of a heat pump without having to replace your entire heating system. The range is designed to be sustainable, offering an efficient heating solution at an affordable price.

How does Daikin Altherma work?

The Daikin Altherma range of heat pumps, as with other brands of heat pumps, works in a similar way to a fridge, just in reverse. To heat your home, outside air is blown over a network of tubes. These tubes are filled with a refrigerant and as the warm air heats it up, it turns from liquid into a gas.  The gas then passes through a pressure-increasing compressor, which also adds more heat. These compressed, now hot gases, pass into a heat exchanger. This exchanger is surrounded by cool air or water. The refrigerant transfers its heat to this water or cool air until it becomes warm. This now warm air is then circulated around your home. The refrigerant will then condense back into a cool liquid and the cycle will begin again.

The Daikin Altherma range has exceptional functionality and is able to operate in outdoor temperatures as low as -25C. The heat pumps generate 3-4 kilowatts of heat for every kilowatt it uses. This compares to 1kW of heat generated for every kW of gas burnt in a gas-fired heating system. It’s clear that an air source heat pump is considerably more efficient when it comes to heating your home.

How much do Daikin Altherma heat pumps cost?

To purchase and install an air source heat pump from the Daikin Altherma range, you should expect to spend anywhere between £6,000 and £12,000. The overall cost will be affected by a number of different variables, such as the size of your property, any extra insulation work required, and the model of heat pump you opt for.

Enviro Chill supplies and installs a range of air source heat pumps, including the Daikin Altherma range.

Contact our friendly and knowledgeable team for a no-obligation chat or call Enviro Chill directly on 0151 285 1818

The post Are Daikin Altherma Heat Pumps Any Good? appeared first on Enviro Chill.

Currently, only 5% of UK homes are fitted with a low-carbon heating system, so to achieve the 2050 target there needs to be a rapid and wide scale roll-out of alternatives.

One such alternative is an air source heat pump. With rapid adoption they can help us reach our carbon neutral targets and reduce energy bills for UK householders.

Read on to find out how you can get a brand new air source heat pump installed in your home, as part of the UK government’s Renewable Heat Incentive.

What is an air source heat pump?

An air source heat pump is a reliable, low-carbon alternative means to heat your home and one which could save you money over the medium to long-term. You will be generating your own renewable heat for a fraction of the cost of more expensive carbon hungry fuels such as oil, LPG and natural gas.

So, how do they work?

Air source heat pumps are often described as being like “a refrigerator in reverse”, in that rather than taking warm air and cooling it down, they take cold air and warm it up. They do this by taking heat from the air and boosting it to a higher temperature by means of a compressor. This heat is then transferred to your home heating system.

Firstly, the air source heat pump absorbs heat present in the outside air.  This is taken into a liquid refrigerant at a low temperature. Secondly, using electricity, a pump will then compress the liquid to gradually increase its temperature. It then condenses it back into a liquid releasing its stored heat. This heat is then sent to underfloor heating or your radiators. The remainder of this heat can be stored in your hot water cylinder for use whenever you need it.

The pump operates on electricity, but because of the efficient way in which it operates it should use less electrical energy than it consumes. This is what makes air source heat pumps such an effective and efficient means by which to heat your home.  Even if the air outside is well below zero, an air source heat pump will still be generating cost-effective heat for your home.

The size of an air source heat pump will depend on how much heat they are required to generate for your home. The more heat required, the bigger the heat pump will need to be. There are two main types of air source heat pumps. These are air-to-air and air-to-water.

Air-to-air heat pumps

Rather than taking heat from outside air and feeding it into your home through a wet central heating system, an air-to-air heat pump feeds in your home through fans. A warm air circulation system is used to move heat around your home. In the summer, an air-to-air heat pump can work in reverse to cool down your home like an air-conditioning unit.  These systems are not currently eligible for the government’s Renewable Heat Incentive scheme.

Air-to-water heat pumps

Air-to-water heat pumps are used in conjunction with your wet central heating system. They take heat from outside air, compress it and then use it to heat your home. They’re generally most appropriate for larger radiators and electric underfloor heating systems.

The heat that they produce is generally cooler than from a conventional oil or gas boiler which means that they need a larger surface area to effectively release and disperse heat around your home.  As a result, it can work best with underfloor heating.  At Enviro Chill, we can provide air-to-water source heat pumps for domestic customers through the government Renewable Heat Incentive scheme.

How much does it cost to install an air-to-water heating system?

The cost of installing an air-to-water heat pump heating system varies depending on the size of your home and the subsequent size of the heat pump required. It also depends on the complexity of the system you install, and whether or not you opt for simple or advanced controls. An example of the latter would be a weather compensating thermostat.

The Energy Saving Trust estimates that the typical cost of installing a system is between £9,000 and £11,000 but costs can vary considerably. For a more accurate assessment of what a system may cost for your home contact our knowledgeable and friendly team.

How are they installed?

Air source heat pumps will usually be positioned outdoors at the back or the side of a property. They will need plenty of space around them for the air to circulate freely. Inside your home you’ll usually have a unit that contains pumps and hot water. This will, in most cases, be smaller than a standard central heating boiler. The advantage of air source heat pumps compared to ground source heat pumps is that they do not require any disruptive groundworks.

Will I need planning permission?

In most cases you won’t need planning permission for an air source heat pump. If you live in a conservation area, AONB, National Park or a listed building then it’s possible you will. If you have any doubts, check with your local authority. It’s also important to ensure that your installation will meet the building regulations in your area.

It’s also possible that your home insurance policy may change to cover your new heating system so be sure to clarify with them what your premiums are likely to be.

How much does it cost to run air source central heating?

The upfront installation costs are the main expense of heat pump central heating systems. Once they are installed they will use a small amount of electricity, but the running costs overall will be minimal.

The long-term running costs of your heat pump will depend on the temperature you wish your home to be, its size and how well-insulated it is. The time it takes to recoup your initial outlay will depend on a number of factors. Firstly, what heating system are you replacing? If it’s a more expensive fuel such as LPG or oil then the savings can be considerable.

The efficiency of your new heating system will also be a factor and this will to some degree be determined by how well insulated your home is. If you’re receiving payments from the Renewable Heat Incentive scheme they will need to be taken into account, as too will the price you pay for your electricity.

What is the Renewable Heat Incentive scheme?

The Renewable Heat Incentive (RHI) has superseded the Green Homes Grant and gives payments to homes which install certain types of renewable heating to help offset the costs of installation.

These payments are spread over seven years.  It’s the world’s first long-term financial support package for the generation of renewable heat and is expected to make a real impact on the uptake of air source heat pump heating systems.

It was introduced to encourage the uptake of renewable technologies for heating homes, while lowering the UK’s carbon emission. This is increasingly a key priority as governments around the world attempt to tackle climate change.

Air source heat pump installers near me

Enviro Chill is the North West’s leading provider of air conditioning services.  Based in Liverpool we work across the region including Warrington and Chester.

Our extensive experience with air conditioning, refrigeration and related services means we’re well placed to deliver high-quality air source heat pump installations to our growing domestic client list.

We are an MSC-certified contractor with TrustMark accreditation. This means we can provide air to water source heat pumps for domestic customers through the government’s Renewable Heat Incentive Scheme.

MSC accreditation is a key requirement of the domestic RHI scheme. MCS is an internationally recognised quality assurance scheme supported by the Department for Business, Energy & Industrial Strategy (BEIS), formerly known as the Department of Energy and Climate Change (DECC). This means we have technical skills and practical know how to supply and install an energy efficient and cost-effective sustainable heating system for your home.

What we supply and install

At Enviro Chill, we only fit and supply the products from the world’s leading manufacturers.  When it comes to air source heat pumps we stock a range of Mitsubishi Ecodan and Daikin Altherman options.

Mitsubishi Ecodan Heat Pumps

The Mitsubishi range of Ecodan heat pumps offers efficient and reliable household heating for domestic consumers. They’re low maintenance, quiet to run, easy to install and run and don’t require much energy to operate efficiently. All they require is water and an electrical connection. With a variety of different models to suit different properties, there’s something for every size home.

Daikin Altherma Heat Pumps

Daikin Altherma heat pumps integrate seamlessly with your existing piping and radiators enabling you to enjoy the energy efficiency of a heat pump without having to replace your entire heating system. With a commitment to sustainability, the Daikin Altherma range offers industry-leading heating at realistic prices to suit a wide-variety of different households.

How to apply for the Renewable Heat Incentive Scheme

The application process for the Renewable Heat Incentive Scheme is relatively simple and straightforward, but it’s important to be prepared. Here’s a step-by-step guide to the process:

Do you have a valid EPC?

To apply for the RHI scheme your home must have a valid Energy Performance Certificate (EPC), that is no more than two years old and which accurately reflects the current condition of your home. If you’ve recently had building work completed you may need to apply for an up-to-date EPC. If your EPC recommends cavity wall or loft insulation you will need to have it installed before you can make an application.

MCS Certification

To qualify for payments for the maximum seven years you will need to comply with a range of regulations. These include making sure your chosen heating system is Microgeneration Certification Scheme (MCS) certified and is properly installed by an MCS registered installer. At Enviro Chill, we’re fully MCS certified and install a range of MCS certified air source heating systems.

Make an application

It’s free to apply for the RHI scheme and you can do so through the Ofgem website. At Enviro Chill, we help our customers apply for, and receive the payments. We can guide you through the process ensuring you have everything you need to make a successful application.

If you’d like to learn more about air-source heat pumps and whether or not they might be suitable for your property, then we’d love to hear from you.

 Contact our friendly and knowledgeable team for a no-obligation chat or call Enviro Chill directly on 0151 285 1818

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