Heat pump sector welcomes Government rethink on RHI tariff

25 January 2013

GI Energyvisit website


Government plans to review Renewable Heat Incentive tariffs for ground source heat pumps have been welcomed by GI Energy, one of the UK's pioneers in the technology. The company, which has installed more than 200MW of GSHP heatjng and cooling systems, believes that a rise in tariff under the RHI will kickstart uptake of this for, of renewable energy.

Chris Davidson, Development Director of GI Energy, said: “I am delighted that the Department of Energy and Climate Change has announced that it will review the RHI tariff in the light of concerns about its current level. I am also particularly pleased that the DECC has promised that all installations accredited from January 21st 2013 onwards will benefit from any increase in the tariff when it comes into force.

“This is good news — if the Minister gets the tariff right then 2013 could really be the year when ground source heat pump systems assume the leading role they can certainly play in cutting the UK’s carbon emissions. They are sustainable, renewable and offer long-term benefits when compared to conventional heating and cooling systems. It would be a shame for the UK to fall behind in carbon reduction for want of a fair tariff.”

Following the DECC’s announcement, GI Energy believes there is widespread anticipation that the review will lead to a substantial increase in the RHI tariff for GSHP which, according to the Ground Source Heat Pump Association, could be up to 9.4p per kWh based on the evidence presented.

Earlier this, Chris Davidson was one of a group of industry representatives who lobbied Energy and Climate Change Minister Greg Barker to revisit the tariff, arguing that it was skewed unfairly in favour of other renewable energies.



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