The Renewable Heat Incentive Scheme (Amendment) Regulations 2015

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations, which apply to Great Britain, amend the Renewable Heat Incentive Scheme Regulations 2011 (“the principal regulations”). The principal regulations established a scheme under which owners of plants which generate heat from specified renewable sources and meet specified criteria, and producers of biomethane for injection, may receive payments at prescribed tariffs for the heat used for eligible purposes.

Regulation 3 amends a number of the definitions in the principal regulations. In particular, changes are made to the definitions used by the Secretary of State when preparing expenditure forecast statements under regulation 37E of the principal regulations. The changes include clarification of the methodology for forecasting spend in relation to certain biomethane producers and a change to the point at which a plant or biomethane producer ceases to be a relevant plant or relevant producer for forecasting purposes.

Regulations 4, 6, 9, 11, 14, 17 and 28 make minor amendments to the principal regulations.

Regulation 5 amends regulation 9 of the principal regulations to provide that a CHP system may be an eligible installation where it uses only one form of energy or more than one form of energy provided that the combustion unit in which that energy is used complies with certain requirements.

Regulation 7 amends regulation 12 of the principal regulations to correct a previous error relating to CHP systems which previously generated electricity only.

Regulation 8 amends regulation 13 of the principal regulations to update the technical standard governing the installation of plants with an installation capacity of up to 45 kWth which are heat pumps or generate heat using a solar collector.

Regulation 10 amends regulation 20 of the principal regulations to provide for circumstances where an installation of a heat meter or steam measuring equipment has not been made in accordance with the manufacturer’s instructions.

Regulation 12 amends regulation 23 in the principal regulations to provide that any public grant in respect of equipment used to produce additional biomethane in respect of which a participant seeks registration must be repaid before registration is given.

Regulation 13 amends regulation 34 of the principal regulations to make provision about evidence and to require only one source of energy to be used in a combustion unit forming part of a CHP system.

Regulation 15 amends regulation 37 in the principal regulations to provide for the new tiered tariff for the production of biomethane for injection set out in Schedule 3C. That regulation and regulations 18 to 21 also amend regulations 37 to 37E in the principal regulations to clarify the tariffs applicable to biomethane producers where registration is sought in respect of additional biomethane.

Regulation 20 amends regulations 38, 39 and 39A of the principal regulations to allow a proportion of the heat delivered to a biogas production plant to be deducted.

Regulation 21 amends regulation 39B of the principal regulations to allow calculation of periodic support payments where the installation capacity of combustion units in relation to which a CHP system has been accredited does not form the whole installation capacity of all the combustion units in that system.

Regulation 22 amends regulation 42 in the principal regulations to clarify the methodology for calculating periodic support payments for biomethane producers who are registered in respect of additional biomethane.

Regulations 23 to 26 amend the enforcement provisions in the principal regulations. Regulations 44 and 45 and 47 are amended so as to allow periodic support payments to be withheld or recovered and accreditation or registration to be revoked in cases where the accreditation or registration was obtained as a result of the provision of incorrect information. Regulation 48 also extends the ability to recover payments to former participants.

Regulation 27 inserts a new regulation 52A relating to the provision of information to the Authority.

Regulation 29 inserts Schedule 3C in the principal regulations, which specifies a new tiered tariff for the production of biomethane for injection.

A draft of these Regulations was notified to the European Commission in accordance with Directive 98/34/EC of the European Parliament and of the Council laying down a procedure for the provision of information in the field of technical standards and regulations (OJ L 204, 21.7.1998, p.37) as amended by Directive 98/48/EC (OJ L 217, 5.8.1998, p.18).

Documents published on www.microgenerationcertification.org are also available from Gemserv Limited at 10 Fenchurch Street, London, EC3M 3BE.

A full impact assessment of the effect that this instrument will have on the costs of business and the voluntary sector is available from the Department of Energy and Climate Change at 3 Whitehall Place, London, SW1A 2AW and is published with the Explanatory Memorandum alongside the instrument on www.legislation.gov.uk.