FAQs
Have the tariffs been designed to accommodate heat networks?
The tariffs are available to renewable heating through district networks, but have not been specifically calculated to take into account heat network costs
Chapter 6 of the government's RHI announcement says
Renewable combined heat and power (CHP) and district heating
The RHI tariffs will also apply both where heat is used on-site or where it is exported and used off-site, for example where the heat from a combined heat and power station is used in a factory nearby, or where a district heating system supplies a variety of domestic, commercial or public sector properties.
The tariffs have been calculated on the basis of dedicated heat generation costs only. We recognise that the cost of district heating (or other off-site use of heat) will often be higher than the cost of using the heat from a similarly sized installation on-site (due to the costs of pipe-work to transport the heat, and other cost factors).
There will be no specific ‘uplift’ for district heating installations. Whilst we recognise that the cost of district heating (or other off-site use of heat) will often be higher than the cost of using the heat from a similarly sizes installation on-site (due to the costs of pipe-work to transport the heat, and other cost factors), further consideration is needed before any additional cost is provided, to ensure this is necessary and represents good value for money.