Heat pumps renewable crop to generate ambient heat and hot water heating. Photo: Burger/Stéphanie/RexFamilies will be able to apply for substantial subsidies to the cost of renewable heating systems, worth up to ￡ 1,250 for larger installations, starting August 1.
Biomass boilers burn wood pellets, solar panels for heating hot water and air and ground heat pumps can be installed with subsidies, assuming the form of good government. The 15 million pounds is part of plans to support renewable heat and Ministers will provide funding for families up to 25,000.
Families to be targeted are the 4 m in England, Wales and Scotland not already heated by gas mains, and therefore tend to use heating oil or electric fires to heat their homes, both of which tend to be more expensive and can lead to an increase in emissions of greenhouse gases. However, the Northern Ireland – where 70% of households use heating oil – is not included in the plans.
Grants shall be fixed at ￡ 1,250 for a ground source heat pump; ￡ 950 for a biomass boiler; ￡ 850 for an air source heat pump; and ￡ 300 for solar thermal hot water. On average, this should work to about 10% of the total cost of equipment and installation.
Greg Barker, Minister for climate change, said: "we're making it cheaper for people to go green by providing discounts on the cost of eco heaters. This should be great news for people who are reliant on costly oil or electric, heating, such as the payment of the premium regime really caters to them. Get money off a heater eco not only cut carbon emissions, will also help to create a market in the development, sale and installation of solar panels kit or heat pumps ".
Applications must be made through the Government-funded Energy Saving Trust, and only families that have already implemented energy efficiency measures will be eligible for Basic.
The owners will be encouraged to access subsidies to improve their homes, with 3 million pounds to ￡ 15 m on offer for them.
Philip Sellwood, chief executive of the Energy Saving Trust, said that the research undertaken by the Organization had shown people with valued having renewable heating installed. He said: "when people have the kit in their homes really see the benefit. The main obstacle which prevents persons taking the plunge is the initial cost of capital. This is a great start to overcome this obstacle ".
Once families have installed renewable heating systems, they can receive further subsidy payments through the renewable heat incentive 860 million pounds when it is introduced next October, although this will depend on the details of the scheme.
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