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Renewable Heat Premium Payment scheme

More on renewable heat grants

Find out more about the Renewable Heat Premium Payment scheme

• Renewable Heat Premium Payment scheme Opens new window

At the moment, half of the UK's carbon emissions come from the energy used to generate heat. As a result, a switch to low carbon heating is vital to meet the UK’s carbon targets. 

To help homeowners with the cost of installing renewable heating systems, the Renewable Heat Premium Payment scheme will provide eligible households with grants of up to £1,250.

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

• ground source or water source heat pump - £1,250 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 British households)

Qualifying for a renewable heat grant

Householders

The scheme for householders is mainly focused at the 5.5 million households in Great Britain not heated by mains gas.

Rather than mains gas, these households have to rely on expensive and higher carbon forms of heating such as heating oil and electric fires to keep warm.

To qualify, householders will need to ensure they have basic energy efficiency measures in place before they apply.

Registered providers of social housing

One fifth of the total £15 million budget has been set aside for registered providers of social housing, such as local authorities and social housing associations.

Apply for a renewable heat grant

The Renewable Heat Premium Payment scheme runs from 1 August 2011 until 31 March 2012. If you live in social housing, your housing provider will handle any application, so you do not need to apply. Homeowners can get more details by following the link below. Alternatively, call the Energy Saving Trust on 0800 512 012.

• Renewable Heat Premium Payment scheme - further information Opens new window

If you are successful you will be given a voucher.

Once the new heating system is installed, the voucher can be redeemed for a cash repayment as long as the scheme rules and the terms of that voucher have been met.  

In return for the grant, homeowners will have to agree to fill in a survey on their energy use. In a proportion of homes the government will pay for extra metering to monitor actual energy use.

Running your renewable heat equipment

People who install renewable heating systems under the scheme could also get extra support under the Renewable Heat Incentive from October 2012, as long as they meet the eligibility criteria.

Householders who have installed eligible equipment since 15 July 2009 could also qualify for support from October 2012 from the Renewable Heat Incentive.

More on Directgov

• Energy grants (environment and greener living section)

• Saving energy at home (environment and greener living section)

• Home insulation (environment and greener living section)

• Generating and using greener energy (environment and greener living section)