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ARTICLE · 15 MARCH 2011

Government Lights A Fire Under Renewable Heat

The Department for Energy and Climate Change has announced the world's first Renewable Heat Incentive (RHI).

United KingdomEnergy and Natural Resources

The Department for Energy and Climate Change has announced the world's first Renewable Heat Incentive (RHI). The £860m scheme is "expected to increase green capital investment by £4.5 billion up to 2020, stimulating a new market in renewable heat", according to the press release.

The RHI is intended to "support emerging technologies and businesses in the UK, strengthening security of supply by reducing dependence on fossil fuel heating and emissions". It will be a tariff-based scheme working alongside the Renewables Obligation and the Feed-In Tariff schemes, and the Green Deal for households due to be introduced in 2012. There will be a RHI for industry, commercial and public sector, and another for households.

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