Cash rewards for low carbon electricity and heating
From April 1st, households and communities who install generating technologies such as small wind turbines and solar panels will from April be entitled to claim payments for the low carbon electricity they produce.

The renewable heat incentive (RHI) will be a world first. The schemes are designed to bring about a significant increase in the amount of locally produced green energy, as a contribution to the wider shift of the energy mix to low carbon.

From 1 April householders and communities who install low carbon electricity technology such as solar photovoltaic (pv) panels and wind turbines up to 5 megawatts will be paid for the electricity they generate, even if they use it themselves. The level of payment depends on the technology and is linked to inflation.

They will get a further payment for any electricity they feed into the grid. These payments will be in addition to benefiting from reduced bills as they reduce the need to buy electricity. The scheme will also apply to installations commissioned since July 2009 when the policy was announced.

A typical 2.5kW well sited solar pv installation could offer a homeowner a reward of up to £900 and save them £140 a year on their electricity bill.

The Department of Energy and Climate Change also published plans for a scheme to incentivise renewable heat generation at all scales. This will come into effect in April 2011 and guarantee payments for those who install technologies such as ground source heat pumps, biomass boilers and air source heat pumps.

Under the proposed tariffs the installation of a ground source heat pump in an average semi-detached house with adequate insulation levels could be rewarded with £1,000 a year and lead to savings of £200 per year if used instead of heating oil.

The heat incentive could help thousands of consumers who are off the gas network lower their fuel bills and gain a cash reward for greening their heating supply.

Details of funding for the scheme will be published in the Budget 2010.

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WSC is teaming up with Crowberry Consulting to deliver a whole package of environmental and corporate social responsibility risk management services for businesses, including 14001, allowing companies to demonstrate their commitment to the environment thereby adding value to the business. Crowberry Consulting evaluates the organisation's carbon footprint and assists in implementing a comprehensive carbon reduction strategy portfolio, which includes forest carbon offsets, managed by Woodland Stewardship, as well as carbon reduction and recycling. Contact us to determine how your company's social, ethical and environmental impacts can be managed.

 

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