Heat pump scheme

Yvo

Hello all,

Back in October 2021 the government announced they would start up a £5k grant to install a heat pump in your house, starting from April 2022. April 2022 is now next week and I can't find any more news about this scheme. I am aware installers are supposed to apply for the scheme but by now surely the government should have made some more details public? Do any of you know if this scheme is still going ahead and from when it will go live? From what I read earlier, it would only be for 30.000 households per annum so I am looking to get in quick if it's feasible for my house. Thank you to anybody who does have home news that I can't find.

QrizB

According to Simple Energy Advice:
https://www.simpleenergyadvice.org.uk/pages/renewable-heat-incentive

The RHI is closing

The domestic Renewable Heat Incentive (DRHI) scheme is closing to new applications at midnight on 31st March. The upcoming Boiler Upgrade Scheme (BUS) will continue to support the deployment of low carbon heat technologies once it has launched. The BUS will pay an upfront grant which is designed to help consumers overcome the high upfront cost of purchasing and installing a low carbon heating system.

Ofgem, as the scheme administrator, have published extensive guidance on the DRHI. This includes specific guidance on the scheme’s closure which explains what prospective applicants must do, and the information that they must submit, in order to make a successful application for accreditation to the scheme before it closes to new applications on 31st March. The DRHI guidance is located here. For more information on the BUS, the Department for Business, Energy, and Industrial Strategy (BEIS) have published a government response, which sets out the overall scheme design, and draft regulations, both of which can be found here. Ofgem will be the scheme administrator for the BUS, and recently consulted on their proposals for how they intend to administer the scheme. The consultation can be found here. Ofgem will publish comprehensive guidance on the BUS in due course.

It is important that if you are thinking of installing a low carbon heating system in February or March that you read the guidance and eligibility criteria for both schemes. You can discuss the timeline of the installation and commissioning of your low carbon heating system with your installer to help you make an informed choice about which scheme to apply for, and the timing of your installation and application. If you want to apply to the DRHI, your installation will need to have been completed and commissioned, and you must make your application before 1st April. If you decide to apply to the BUS scheme, your installation must be commissioned on or after 1st April, and the application made once the scheme has launched.

BEIS's proposals for the BUS are here:
https://www.gov.uk/government/consultations/future-support-for-low-carbon-heat

... but the regulations are still draft.

Ofgem's site about the BUS is here:
https://www.ofgem.gov.uk/environmental-and-social-schemes/boiler-upgrade-scheme-bus

... but, to summarise, they are still setting it up.

Reed_Richards

If the new scheme is anything like the RHI scheme it will quick and easy to apply for with almost instant acceptance.  If it's anything like Rishi Sunak's Green Homes Grant scheme then it will be an utter shambles with huge delays.

shinytop

I would expect a slow start. Remember the same people setting up and running the BUS will be busy with all the last minute panic and close down of RHI. 

You could approach some suppliers now and get the ball rolling.