An extension of the Renewable Heat Premium Payment (RHPP) has been announced by DECC as part of its broader plans to support low carbon heating. At the same time, the implementation of a domestic version of the Renewable Heat Incentive (RHI) has been pushed in to 2013.
Simon Osborne, spokesperson for Baxi, outlined the company’s position on the news: “RHPP has always been seen as a precursor to domestic RHI, so as the Government pushes back the latter, we are glad that a new RHPP will bridge the gap. Ideally both schemes need to work together in order to encourage individual installers, as well as homeowners, to start thinking about renewables. RHPP will definitely support early adopters, but might have a limited scope if accompanying tariff payments are not announced soon. If installers are going to invest in training on renewables, then they need to know what the potential market is going to be – and this will be determined, to a large extent, by domestic RHI.
“Customers in off-gas areas definitely have the most to gain under RHPP and we are pleased to see continued support for biomass and heat pumps. By introducing new elements that will cover larger projects, in social housing for example, there is a massive opportunity to impact fuel switching and alleviate fuel poverty.”
The outline from the Government states a headline figure of £25m for the new RHPP scheme, with £8m and £10m allocated to social housing and community groups respectively.