£15m in new grants to subsidise green heating at home

Householders across the country could get up to £1,250 of government funding to help towards the cost of installing renewable heating systems such as biomass boilers, air and ground source heat pumps and solar thermal panels.

The Government’s new £15 million ‘Renewable Heat Premium Payment’ scheme – which will open for applications on 1st August this year until March next year - will support up to 25,000 installations.

The scheme will be mainly focused at around 4 million households in Great Britain not heated by mains gas, who have to rely on higher carbon forms of heating which also tend to be more expensive than gas, such as heating oil and electric fires to keep warm.

Participants will be asked to provide detailed feedback on their experience through a set of surveys. This will allow Government to gather information to better understand renewable heat technologies.

“Getting money off an eco heater will not just cut carbon emissions, it will also help create a market in developing, selling and installing kit like solar thermal panels or heat pumps,” said Energy and Climate Change Minister, Greg Barker.

The scheme will be run by the Energy Saving Trust and from today an information line and website will go live to provide people with more information. Householders can call 0800 512 012 or visit www.energysavingtrust.org.uk/RHPP

Householders will need to ensure they have basic energy efficiency measures in place before applying on 1st August and grants will be available on a first come first served basis.

From 1st August, grants for the following technologies will be available:

  • Ground Source Heat Pump - £1250 grant (for homes without mains gas heating)
  • Biomass boiler - £950 grant (for homes without mains gas heating)
  • Air source heat pump - £850 grant (for homes without mains gas heating)
  • Solar thermal hot water panels - £300 grant (available to all households regardless of the type of heating system used).

The Government is also introducing financial assistance for industry, business and communities to generate their own renewable heat. It is intended that the Renewable Heat Incentive (RHI) will be open for applications from 30th September and administered by Ofgem E-Serve. Those interested in finding out information ahead of being able to apply in September can contact Ofgem E-Serve from on 0845 200 2122 or by visiting www.ofgem.gov.uk/rhi.

The scheme is open to householders in England, Scotland and Wales. It will open on 1st August 2011 operating on a first come first served basis, but in any case will close on 31st March 2012.

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