Payments made under the non-domestic Renewable Heat Incentive (RHI) will stop next year if new regulations are not introduced, Department for Economy permanent secretary Noel Lavery has confirmed.In a letter to Renewable Heat Association for NI (RHANI) executive chair Andrew Trimble last week, Lavery said that the current temporary regulations “were time limited and, upon expiry, made no provision for an ongoing tariff to be paid” after March 2019.
Payments made under the non-domestic Renewable Heat Incentive (RHI) will stop next year if new regulations are not introduced, Department for Economy permanent secretary Noel Lavery has confirmed.
In a letter to Renewable Heat Association for NI (RHANI) executive chair Andrew Trimble last week, Lavery said that the current temporary regulations “were time limited and, upon expiry, made no provision for an ongoing tariff to be paid” after March 2019.
The Ulster Farmers’ Union deputy president, Victor Chestnutt, has also expressed concern that the scheme could run out next year.
“If the Department is unable to put in place a replacement tariff from next April, there will be no legislative payment mechanism for small- and medium-sized boilers accredited before 18 November 2015.
“This would affect over 1700 genuine installations,” said Chestnutt.
Response
Meanwhile, in its response to the recent consultation on long-term RHI tariffs, which closes today (Thursday), the UFU has challenged “fundamentally flawed” assumptions made in the document around the price differential between gas and wood pellets.
“We want to revert to the tariff structure under the original 2012 regulations. This is the only acceptable option for our members who, on the basis of an NI Government scheme at that time to help meet EU renewable energy targets, have invested more than £130m of their money into this technology. Our stance also reflects the fact that the vast majority have been using heat responsibly – as has already been confirmed by a number of reports,” said Chestnutt.
Alternative
An alternative view came last week from Sinn Féin who called for the RHI scheme to be closed by not renewing or introducing new regulations after March 2019.
“Consideration could however be given to participants who are out of pocket for their capital investment,” the response reads.
Sinn Féin said that this would cost a maximum of £6m, which would allow a scheme underspend of £481m to be reinvested elsewhere.
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