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Revealed: how much you could earn from renewable heat

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The government has finally announced the payback for householders who install solar thermal, biomass and heat pumps

The government’s stalled Renewable Heat Incentive scheme, which is set to launch next year, will pay out homeowners for heat generated by on-site green sources.

The move is designed to encourage uptake of renewable heat technologies.

Tariff levels

Air source heat pumps 7.3p per kWh
Biomass boilers 12.2p per kWh
Ground source heat pumps 18.8p per kWh
Solar thermal 19.2p per kWh

Householders who have installed renewable heating systems since 15 July 2009, when the incentives were first announced, will be eligible for the scheme.

In an attempt to boost uptake of the government’s flagship energy efficiency scheme, the Green Deal, householders are required to undertake a Green Deal assessment before they can apply for the Renewable Heat Incentive. They must also have met minimum loft and cavity wall insulation measures.

Energy minister Greg Barker said: ‘Investing for the long term in new renewable heat technologies will mean cleaner energy and cheaper bills. So this package of measures is a big step forward in our drive to get innovative renewable heating kit in our homes’.

The scheme has been up and running for the non-domestic sector since November 2011.

Feed-in tariffs from energy generation by solar PV currently provide up to 21p per kWh.

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