2019 No. 1052

Energy

The Renewable Heat Incentive Scheme and Domestic Renewable Heat Incentive Scheme (Amendment) Regulations 2019

Made

Laid before Parliament

Coming into force

The Secretary of State makes the following Regulations in exercise of the powers conferred by sections 100(1), 100(2)(a) and (b) and 104(2) of the Energy Act 20081.

In accordance with section 100(7) of that Act, the Secretary of State has obtained the consent of the Scottish Ministers to the making of these Regulations.

PART 1Introduction

Citation and commencement1

These Regulations may be cited as the Renewable Heat Incentive Scheme and Domestic Renewable Heat Incentive Scheme (Amendment) Regulations 2019 and come into force on 17th July 2019.

PART 2Amendments to the Domestic Renewable Heat Incentive Scheme Regulations 2014

Amendments to the Domestic Renewable Heat Incentive Scheme Regulations 20142

The Domestic Renewable Heat Incentive Scheme Regulations 20142 are amended in accordance with this Part.

Amendments to Schedule 6 (expenditure for individual technologies)3

1

Schedule 6 is amended as follows.

2

In Part 1 (biomass plants), for Table 1 substitute—

Table 1

Assessment Date

Expenditure threshold

Growth threshold

Super expenditure threshold

Super growth threshold

31st July 2019

£46.82m

£0.66m

£50.15m

£0.93m

31st October 2019

£47.48m

£0.66m

£51.09m

£0.94m

31st January 2020

£48.18m

£0.70m

£52.06m

£0.97m

30th April 2020

£48.94m

£0.76m

£53.10m

£1.04m

31st July 2020

£49.70m

£0.76m

£54.14m

£1.04m

31st October 2020

£50.47m

£0.77m

£55.18m

£1.04m

Any date after 30th January 2021

£51.24m

£0.77m

£56.23m

£1.05m

3

In Part 2 (air source heat pumps), for Table 2 substitute—

Table 2

Assessment Date

Expenditure threshold

Growth threshold

Super expenditure threshold

Super growth threshold

31st July 2019

£37.00m

£3.50m

£48.10m

£5.00m

31st October 2019

£40.50m

£3.50m

£53.10m

£5.00m

31st January 2020

£44.00m

£3.50m

£58.10m

£5.00m

30th April 2020

£47.50m

£3.50m

£63.10m

£5.00m

31st July 2020

£51.00m

£3.50m

£68.10m

£5.00m

31st October 2020

£54.50m

£3.50m

£73.10m

£5.00m

Any date after 30th January 2021

£58.00m

£3.50m

£78.10m

£5.00m

4

In Part 3 (ground source heat pumps), for Table 3 substitute—

Table 3

Assessment Date

Expenditure threshold

Growth threshold

Super expenditure threshold

Super growth threshold

31st July 2019

£31.67m

£1.56m

£42.15m

£2.43m

31st October 2019

£33.24m

£1.57m

£44.60m

£2.45m

31st January 2020

£34.84m

£1.60m

£47.08m

£2.48m

30th April 2020

£36.48m

£1.64m

£49.59m

£2.52m

31st July 2020

£38.14m

£1.66m

£52.12m

£2.53m

31st October 2020

£39.80m

£1.66m

£54.66m

£2.54m

Any date after 30th January 2021

£41.48m

£1.68m

£57.21m

£2.55m

5

In Part 4 (solar thermal plants), for Table 4 substitute—

Table 4

Assessment Date

Expenditure threshold

Growth threshold

Super expenditure threshold

Super growth threshold

31st July 2019

£1.65m

£0.06m

£2.28m

£0.12m

31st October 2019

£1.72m

£0.07m

£2.40m

£0.12m

31st January 2020

£1.79m

£0.07m

£2.52m

£0.12m

30th April 2020

£1.85m

£0.06m

£2.64m

£0.12m

31st July 2020

£1.92m

£0.07m

£2.75m

£0.11m

31st October 2020

£1.99m

£0.07m

£2.87m

£0.12m

Any date after 30th January 2021

£2.06m

£0.07m

£2.99m

£0.12m

PART 3Amendments to the Renewable Heat Incentive Scheme Regulations 2018

Amendments to the Renewable Heat Incentive Scheme Regulations 20184

The Renewable Heat Incentive Scheme Regulations 20183 are amended in accordance with this Part.

Amendments to regulation 35 (tariff guarantees)5

1

In regulation 35(11), for “The” substitute “In relation to tariff guarantee applications made before 17th July 2019, the”.

2

After regulation 35(11) insert—

11A

In relation to tariff guarantee applications made on or after 17th July 2019, the guaranteed tariff does not apply where—

a

the tariff start date in relation to an accredited RHI installation is earlier than the date given under paragraph (4)(b) or the tariff start date for a producer of biomethane for injection is earlier than the date given in accordance with paragraph (5)(a);

b

the tariff guarantee has been revoked; or

c

the tariff start date in relation to an accredited RHI installation or producer of biomethane for injection is—

i

183 or more days after the date given in accordance with paragraph (4)(b) or (5)(a); or

ii

after 31st January 2021,

whichever is the earlier.

Amendments to Schedule 7 (degression)6

1

Schedule 7 is amended as follows.

2

For Table 1 (total expenditure) substitute—

Table 1Total expenditure

Assessment date

Total expenditure anticipated for subsequent year £million

31st July 2019

894.04

31st October 2019

920.70

31st January 2020

946.55

30th April 2020

967.99

31st July 2020

983.66

31st October 2020

997.53

Any date after 30th January 2021

1,009.26

3

For Table 2 (forecast for expenditure: plants which generate heat from solid biomass) substitute—

Table 2Forecast for expenditure: plants which generate heat from solid biomass

Assessment Date

Expenditure threshold when calculating C for the purposes of regulation 60 (£million)

Anticipated increase in expenditure since previous assessment date (£million)

31st July 2019

421.00

6.00

31st October 2019

427.00

6.00

31st January 2020

433.00

6.00

30th April 2020

439.00

6.00

31st July 2020

445.00

6.00

31st October 2020

451.00

6.00

Any date after 30th January 2021

457.00

6.00

4

For Table 3 (forecast for expenditure: CHP systems) substitute—

Table 3Forecast for expenditure: CHP systems

Assessment Date

Expenditure threshold when calculating C for the purposes of regulation 60 (£million)

Anticipated increase in expenditure since previous assessment date (£million)

31st July 2019

77.50

1.72

31st October 2019

79.22

1.72

31st January 2020

80.94

1.72

30th April 2020

82.66

1.72

31st July 2020

84.38

1.72

31st October 2020

86.10

1.72

Any date after 30th January 2021

87.82

1.72

5

For Table 4 (forecast for expenditure: ground source heat pumps and shared ground loop systems with an installation capacity of 100kWth or above) substitute—

Table 4Forecast for expenditure: ground source heat pumps and shared ground loop systems with an installation capacity of 100kWth or above

Assessment Date

Expenditure threshold when calculating C for the purposes of regulation 60 (£million)

Anticipated increase in expenditure since previous assessment date (£million)

31st July 2019

26.00

3.00

31st October 2019

29.00

3.00

31st January 2020

32.00

3.00

30th April 2020

35.00

3.00

31st July 2020

38.00

3.00

31st October 2020

41.00

3.00

Any date after 30th January 2021

44.00

3.00

6

For Table 5 (forecast for expenditure: ground source heat pumps and shared ground loop systems with an installation capacity of below 100kWth and air source heat pumps) substitute—

Table 5Forecast for expenditure: ground source heat pumps and shared ground loop systems with an installation capacity of below 100kWth and air source heat pumps

Assessment Date

Expenditure threshold when calculating C for the purposes of regulation 60 (£million)

Anticipated increase in expenditure since previous assessment date (£million)

31st July 2019

9.22

0.64

31st October 2019

9.86

0.64

31st January 2020

10.53

0.66

30th April 2020

11.23

0.70

31st July 2020

11.94

0.71

31st October 2020

12.65

0.71

Any date after 30th January 2021

13.37

0.72

7

For Table 6 (forecast for expenditure: plants which use solar collectors) substitute—

Table 6Forecast for expenditure: plants which use solar collectors

Assessment Date

Expenditure threshold when calculating C for the purposes of regulation 60 (£million)

Anticipated increase in expenditure since previous assessment date (£million)

31st July 2019

1.00

0.50

31st October 2019

1.50

0.50

31st January 2020

2.00

0.50

30th April 2020

2.50

0.50

31st July 2020

3.00

0.50

31st October 2020

3.50

0.50

Any date after 30th January 2021

4.00

0.50

8

For Table 7 (forecast for expenditure: plants which generate heat from biogas with a capacity below 600kWth) substitute—

Table 7Forecast for expenditure: plants which generate heat from biogas with a capacity below 600kWth

Assessment Date

Expenditure threshold when calculating C for the purposes of regulation 60 (£million)

Anticipated increase in expenditure since previous assessment date (£million)

31st July 2019

57.00

0.90

31st October 2019

57.90

0.90

31st January 2020

58.80

0.90

30th April 2020

59.70

0.90

31st July 2020

60.60

0.90

31st October 2020

61.50

0.90

Any date after 30th January 2021

62.40

0.90

9

For Table 8 (forecast for expenditure: producers of biomethane for injection and plants which generate heat from biogas with a capacity of 600kWth and above) substitute—

Table 8Forecast for expenditure: producers of biomethane for injection and plants which generate heat from biogas with a capacity of 600kWth and above

Assessment Date

Expenditure threshold when calculating C for the purposes of regulation 60 (£million)

Anticipated increase in expenditure since previous assessment date (£million)

31st July 2019

389.84

2.00

31st October 2019

391.84

2.00

31st January 2020

393.84

2.00

30th April 2020

395.84

2.00

31st July 2020

397.84

2.00

31st October 2020

399.84

2.00

Any date after 30th January 2021

401.84

2.00

10

For Table 9 (forecast for expenditure: deep geothermal plants) substitute—

Table 9Forecast for expenditure: deep geothermal plants

Assessment Date

Expenditure threshold when calculating C for the purposes of regulation 60 (£million)

Anticipated increase in expenditure since previous assessment date (£million)

31st July 2019

3.30

0.03

31st October 2019

3.33

0.03

31st January 2020

3.36

0.03

30th April 2020

3.38

0.02

31st July 2020

3.41

0.03

31st October 2020

3.43

0.02

Any date after 30th January 2021

3.46

0.03

Chris SkidmoreMinister of StateDepartment for Business, Energy and Industrial Strategy
EXPLANATORY NOTE

(This note is not part of the Regulations)

This instrument amends the Domestic Renewable Heat Incentive Scheme Regulations 2014 (“the 2014 Regulations”) and the Renewable Heat Incentive Scheme Regulations 2018 (“the 2018 Regulations”). The 2014 Regulations established the domestic renewable heat incentive scheme, under which owners of plants which generate heat from specified renewable sources in domestic properties may receive payments at prescribed rates (“tariffs”). The 2018 Regulations revoked and replaced the Renewable Heat Incentive Scheme Regulations 2011, which established the non-domestic renewable heat incentive scheme, under which owners of non-domestic plants which generate heat from specified renewable sources, and producers of biomethane for injection, receive payments for heat used for eligible purposes.

Amendments to the 2014 Regulations

Part 2 of these Regulations adjusts the expenditure thresholds in the tables in Schedule 6 in order to align the triggers to the latest deployment assumptions. Deployment assumptions means the level of applicants anticipated to apply to the scheme for each technology or group of technologies.

Amendments to the 2018 Regulations

Part 3 of these Regulations amends the 2018 Regulations.

Regulation 5 amends regulation 35 in order to extend the availability of tariff guarantees to 31January 2021 where an application is made on or after 17 July 2019.

Regulation 6 amends the expenditure thresholds in Schedule 7 in order to align the triggers to the latest deployment assumptions.

A full impact assessment of the effect that this instrument will have on the costs of business and the voluntary sector will be published during summer 2019, and will be available from the Department for Business, Energy and Industrial Strategy, 1 Victoria Street, London, SW1H 0ET.

The Explanatory Memorandum will be published alongside the instrument on www.legislation.gov.uk.