If you are a business, you can turn your fuel bills into income - NOW

The long awaited Renewable Heat Incentive (RHI) is now open for applications, opening the door for businesses and communities to become eligible for payments for the energy they produce. 

This presents a unique opportunity in bleak economic times for businesses to make money on fuel bills.

This announcement was put in the shade by the recent reduction in FIT rates and businesses nationwide are unaware of the money they can save on energy bills and the return on investment in renewable energy installations.

This includes Biomass boilers, solar thermal equipment and ground or water source heat pumps installed since 15^th July 2009.  In simple terms payments for:-

Biomass boilers will be 7.9p per kWh

Solar Thermal 8.5p per kWh

Heat pumps  4.5p per kWh 

All for a period of 20 years.

When a Conference Centre in Worcestershire installed heat pumps some years ago to replace an oil guzzling system they had no idea that they would be eligible.  The new Government incentive is music to their ears. Read more to find out why…

• They installed 2 x 37kW heat pumps = 74kW at a cost of £64,500
• The cost of their oil usage was estimated as £9,700 pa
• The cost of running the heat pumps is expected to be £4,800 pa making a saving of £4,900 pa
• The RHI payments will be £6,600 pa resulting in an overall saving of £11,500 pa
• This shows that the payback on their initial investment in the system will be 5.6 years. The RHI payments continue for 20 years leaving 14.4 years of profit.
• The RHI payment of £6,600 less the heat pump running cost of £4,800 = £1,800 profit.
• This means that not only will their heating bills be zero for 14 years but they will also make a profit of £26,000 over the period, without even allowing for inflation or taking out the cost they could have incurred for installing a new oil system