EXPLANATORY NOTE
(This note is not part of the Regulations)
These Regulations amend the Domestic Renewable Heat Incentive Scheme Regulations 2014 (S.I. 2014/928) (“the 2014 Regulations”) and the Renewable Heat Incentive Scheme Regulations 2018 (S.I. 2018/611) (“the 2018 Regulations”). The 2014 Regulations and 2018 Regulations provide for schemes 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 heat used for eligible purposes. The 2018 Regulations continue the Non-Domestic Renewable Heat Incentive scheme established by the Renewable Heat Incentive Scheme Regulations 2011 (S.I. 2011/2860). The 2018 Regulations were closed to new applications on 31st March 2021.
Part 1 provides for different coming into force dates. Provisions for closure of the Domestic Renewable Heat Incentive scheme and power for the Secretary of State to approve subsequent versions of documents published after scheme closure come into force on 15th March 2022. Other amendments to that scheme and amendments to the 2018 Regulations come into force on 1st April 2022.
Part 2 amends the 2014 Regulations.
Regulation 3 updates outdated references in the definitions and defines “scheme closure”. Regulation 4 inserts a new Part 1A into the 2014 Regulations providing for scheme closure and approval by the Secretary of State of subsequent versions of standards published after scheme closure. Regulations 5, 10 and 29 update references to standards and a calculator. Regulations 6 and 15 update references to the Non-Domestic Renewable Heat Incentive scheme. Regulation 9 provides for closure of the Domestic Renewable Heat Incentive scheme to investor applications. Regulations 8, 11, 12, 19 and 22 make consequential amendments in relation to scheme closure.
Regulation 7 provides for an additional exception to the requirement for heat generated by a plant to be metered. Regulation 16 provides for an exemption from the requirement for heat generated by an accredited domestic plant to be metered because the property was occupied for less than 183 days in a 12 month period, and regulations 17 and 18 make consequential amendments in relation to this.
Regulation 13 provides for additional ongoing obligations to notify the Authority of any repair to an accredited domestic plant and the replacement of any part of the plant during repair work. Regulation 14 provides for additional ongoing obligations relating to the annual declaration. Regulation 20 provides that a replacement part must use the same source of energy as the original part.
Regulation 21 makes an amendment in relation to the calculation of RHI payments following a change in ownership of an accredited domestic plant.
Regulation 23 amends the conditions of registration and regulation 26 makes a consequential amendment in relation to this. Regulation 25 amends the terms of metering and monitoring agreements, and regulation 30 amends the requirements for metering and monitoring agreements set out in Schedule 7.
Regulation 24 makes an amendment in relation to requests for information made by the Authority after scheme closure.
Regulation 27 makes clear that the restriction on tariff start dates in regulation 2A(1)(b) applies where an application for accreditation or registration is rejected but subsequently accepted following a review under regulation 62 of the 2014 Regulations.
Regulation 28 makes amendments in relation to reports.
Part 3 amends the 2018 Regulations.
Regulation 33 provides for approval of subsequent versions of standards by the Secretary of State. Regulations 32, 35 to 38, 41 and 45 to 47 update references to standards.
Regulations 34 and 39 amend the provisions which closed the Non-Domestic Renewable Heat Incentive scheme and the tariff guarantee provisions of that scheme to extend the time for making applications for accreditation and applications for registration where the notice granting a tariff guarantee has been reissued.
Regulation 40 provides for an ongoing obligation relating to maintenance of boilers and provides for approval of equivalent standards by the Secretary of State. Regulations 42 and 43 amend the modified capacity provisions of the Non-Domestic Renewable Heat Incentive scheme and regulation 44 amends the change in ownership provisions of that scheme.
Documents published on www.mcscertified.com are also available from the MCS Service Company Ltd, Suite G40, Innovation Centre, Sci-Tech Daresbury, Keckwick Lane, Daresbury, Cheshire WA4 4FS.
Copies of British Standards referred to in these Regulations can be obtained from www.bsigroup.com and hard copies can be obtained from BSI Customer Services, 389 Chiswick High Road, London, United Kingdom W4 4AL (telephone number 0345 086 9001).
An impact assessment was published alongside the consultation on closing the Domestic Renewable Heat Incentive scheme and is available at https://www.gov.uk/government/consultations/domestic-renewable-heat-incentive-ensuring-a-stable-scheme. It provided a qualitative assessment of the marginal impacts of the proposed changes. A further impact assessment has not been produced for Part 2 of this instrument as no, or no significant, impact on the private, voluntary or public sectors is foreseen, beyond those marginal impacts set out in the consultation stage impact assessment. A copy of the consultation stage impact assessment is also available from the Department for Business, Energy and Industrial Strategy at 1 Victoria Street, London, SW1H 0ET. The Domestic Renewable Heat Incentive scheme is being replaced by the Boiler Upgrade Scheme. An impact assessment for the Boiler Upgrade Scheme will be published in advance of the launch of that scheme. A full impact assessment has not been produced for Part 3 of this instrument as no, or no significant, impact on the private, voluntary or public sectors is foreseen.