With the Domestic Renewable Heat Incentive (RHI), which gave payments for using renewable heating, on its way out on 31st March 2022, renewable heat technologies are less financially attractive. However, low carbon heating is essential for the UK to get closer to its net-zero targets.
The UK government has been consulting on a new incentive scheme to help property owners mitigate against some of the capital cost of low carbon heating technologies.
Previously called the Clean Heat Grant, the Boiler Upgrade Scheme (BUS) will open on the 1 April 2022 to help encourage heat pump installation. The scheme will be open to both domestic and small non-domestic properties in England and Wales from 2022 to 2025. The level of support varies based on which technology you’re interested in. It’s worth noting that the support given will not likely cover the full cost.
- £5,000 off the cost and installation of an air source heat pump
- £5,000 off the cost and installation of a biomass boiler
- With the condition that the property is in a rural location & not connected to the gas grid
- £6,000 off the cost and installation of a ground source heat pump
Along with being in England or Wales, you will also need to own your property. Your property will need to have an installation capacity up to 45kWth and a valid EPC (Energy Performance Certificate) with no outstanding suggestions for insulation improvements. Funding will only be made available to properties which are fully replacing fossil fuel systems such as oil or gas. Furthermore, new build properties will only be eligible if you’re building your own home.
How do I apply?
You will need to act fast, as the scheme is open on a first come first served basis. Luckily enough, you, as the property owner, don’t have much work to do. If you fit the eligibility requirements as stated above, all you must do is find a MSC certified installer in your area and agree upon a quote. It’s then down to the installer to apply for the grant.
It’s worth considering that installers are trying to sell you a technology and they therefore may try to size your system too large for increased financial gain. Before reaching out to an installer, why not assess the feasibility of low carbon heating technologies via our software, the OnGen Expert™? The OnGen Expert™ not only provides an unbiased view of both practical and financial feasibility, but it also correctly sizes the system to meet your site-specific energy demand. Get in touch for a free demo to see how we can help maximise your benefit from the Boiler Replacement Scheme.
