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July 2015 RHI Tariff Degression Announced

The next domestic and non-domestic RHI tariff changes have now been announced and will come into effect from July 1st 2015.

For the Non-Domestic RHI there will be a significant change to the small biomass tariff which will be reduced by 25%. This change is due to the following reasons:

– The 100% scheme trigger was exceeded this quarter. This applies a 5% reduction to any tariff which has exceeded its individual expenditure threshold.

– Small biomass has again exceeded its individual expenditure threshold or ‘trigger’ (that is, more is being spent on small biomass than expected).

– Following a tariff reduction of 10% in the previous quarter (15% including 100% trigger reduction), forecast expenditure has grown over the last quarter by more than 150% of the anticipated growth rate. This applies an additional 20% reduction.

The domestic RHI tariff will also see a reduction of 20% from the same date. This is because forecast expenditure on biomass, at £27.63m, is above its ‘super trigger’ and ‘super growth trigger’ for the quarter ending 30 April 2015. None of the other technologies in the domestic scheme hit their individual triggers this quarter which means no further tariff reductions will be applied.

For more information on the RHI tariff changes please use the following links.

Non-Domestic RHI
Domestic RHI

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