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Green Homes Grant and Domestic RHI

Latest information confirms that the new Green Homes Grant can be used in conjunction with the Domestic RHI
7 August 2020

The latest press release from the Government has confirmed that recipients of the Green Homes Grant will still be able to apply for Domestic RHI payments.

 

The scheme will see the Government fund up to two-thirds of the cost of home improvements, up to £5000. Low-income households will be able to receive vouchers covering 100% of the costs up to £10,000. The vouchers will help pay for a range of energy saving home improvements, all of which will help cut energy bills and potentially save households hundreds of pounds each year.

 

The Green Homes Grants will give homeowners, including owner occupiers and social/private landlords, vouchers to install one or more of the following:

  1. – solid wall, under-floor, cavity wall or roof insulation
  2. – air source or ground source heat pump
  3. – solar thermal

In addition, households can use their voucher for further energy saving measures. These include one or more of the following:

  • – double or triple glazing/secondary glazing, when replacing single glazing
  • – upgrading to energy efficient doors
  • – hot water tank/appliance tank thermostats/heating controls

 

Households will be offered a list of approved TrustMark and MCS registered tradespeople in their local area to carry out the work. Once the works are agree, vouchers will start to be issued from the end of September so work can commence.

 

Following a successful application for the Domestic RHI, the value of the voucher received will be reclaimed from these payments and therefore the RHI payments you receive would be reduced accordingly effectively making your Green Homes Grant voucher an advance on any RHI payments received and reducing the upfront costs of installing renewable heating technology. For example, using a £5000 voucher to install a heat pump would reduce the Domestic RHI payments you would receive by £5000, although it’s not yet clear what mechanism the Government will use to do this.

 

There are details still emerging about the specifics of the schemes operation and for the most up to date information visit the Microgeneration Certification Scheme website, and the Government website.

 

For more information about the Domestic RHI scheme, visit the Ofgem website.