UK launches heat pump incentive

UK: The domestic Renewable Heat Incentive (RHI) launched today offers homeowners payments to offset the cost of installing low carbon systems like heat pumps.

Said to be the world’s first long-term financial support programme for renewable heat, the incentive provides guaranteed quarterly payments over seven years for households in England, Wales and Scotland. Northern Ireland has its own RHI scheme.

The scheme is designed to bridge the gap between the cost of fossil fuel heat sources and more renewable heat alternatives like air-source and ground- and water-source heat pumps.

Under the scheme, home owners with air-source heat pumps will receive 7.3p/kWh, while those with ground- and water-source heat pumps will get 18.8p/kWh.