Posted: 1 September, 2017. Written by Lorraine
On 30 August 2017, Regulations were laid before Parliament, to introduce the first part of the RHI reforms announced in December 2016. Subject to the parliamentary process, these will come into force on 20 September 2017.
Included in the first part of the reform:
• increases to biomass and heat pump tariffs in the Domestic RHI;
• the introduction of heat demand limits for biomass and heat pumps in the Domestic RHI;
• the extension of expenditure and growth thresholds for the calculation of degression for both the domestic and non-domestic schemes out to July 2018.
The Regulations to extend the schemes out to 2020/21, are to follow later this year.
The new tariffs and heat demand limits in the Domestic RHI will apply to all new applications submitted on or after 20 September 2017.
Any biomass or heat pump applications submitted since the consultation response on 14 December 2016 will have their tariff uplifted to the new tariffs from 20 September 2017.
Due to the introduction of these reforms there will be no degressions to tariffs on 1 October 2017, with the next potential degressions to apply on 1 January 2018 and to be announced by 1 December 2017.
You can find more information on the tariffs being introduced in the degression publications on the GOV.UK website. You can view the Regulations that have been laid at http://www.legislation.gov.uk/uksi/2017/857/contents/made.
Any questions please contact the team at RECC.