Update – Renewable Energy Incentive Schemes
A new financial year begins with mixed news for those contemplating installing a renewable energy system following tariff reviews for the RHI and FiT schemes.
The good news is there is no change to the RHI tariffs under either the Domestic and Non-domestic schemes for heat pumps and solar thermal except for a small uplift to reflect changes in the RPI. Biomass however has remained popular with the projected future expenditure based on applications received by Ofgem exceeding trigger points for tariff reductions. The result is a 20% reduction in the tariff for qualifying domestic installations and a 15% drop for non-domestic projects with boilers under 200kW peak output. Available data suggests similar reductions will be imposed on 1st July though a formal announcement will not be made until the end of May.
After dramatic reduction in tariffs under the FiT scheme that were experienced three years ago, though the headline tariff is still falling quarter on quarter, the reductions are nominal in comparison. With wholesale panel prices having halved in recent years and technology improvements generating higher yields solar PV remains a good investment where arrays are unshaded with southerly aspects.
Please see the Financial Incentive pages for full details of latest tariffs.