The Department for Business, Energy and Industrial Strategy today (26 June 2019) laid regulations to enact an extended allocation of Tariff Guarantees on the Renewable Heat Incentive (RHI).

Tariff Guarantees provide investment certainty to larger, better value for money installations on the Renewable Heat Incentive. These will make a significant contribution to our stretching, legally binding carbon targets. Under existing arrangements, eligible installations granted a tariff guarantee were required to commission by 31 January 2020.

Changes laid in Parliament today will enable existing applicants to withdraw their tariff and reapply to achieve a later commissioning date, enabling a pipeline of new, large renewable heat plants.

Since the implementation of Tariff Guarantees, the government has granted 43 tariff guarantees for large scale projects, the majority of which produce biomethane for injection to the gas grid.

Energy and Clean Growth Minister Chris Skidmore said:

As the first major economy to legislate for net zero emissions, we must act to reduce emissions from heat and industry – one of the hardest sectors to decarbonise. That’s why we’re giving investment certainty to a number of renewable industries with an extended allocation of Tariff Guarantees on the Renewable Heat Incentive.

This will unlock significant investment across the renewable heat sector – an important step on our way to achieving net zero emissions by 2050.

Further announcements will be made regarding the progress of this legislation in due course.