RHI

[Jeremy Harris]

Just to be clear, my main point from my first post in this thread was this:

18 hours ago, JSHarris said:

You need to do the sums carefully, and really should make sure that whoever is doing the RHI calculations is being honest about the energy use,

 

There's no doubt at all that for us, using the current rates for RHI, it still wouldn't be worth paying the premium for an MCS approved installation, as we'd still only receive about £100 per year for 7 years.  Those who have a higher heating and hot water requirement will get more, as it's an incentive that encourages people to use more energy...

[SteamyTea]

25 minutes ago, JSHarris said:

as it's an incentive that encourages people to use more energy...

Was meant to be an incentive to get people off solid fuel and steer them to heat pumps, and, misguidedly, to biomass.

[Hobbiniho]

RHI  was a massive incentive for me,during a refurb i have removed the storage heaters and the THTC and replaced it with a 7kw panasonic ASHP system wth radiators, coupled to the fact that i got a £10k interest free loan (im in scotland) and the projected payments of £300 per 1/4 or £8400 over the 7 years means that my heating system has cost me £1600, my house is far from passive but the system is well specced and manages to keep the house warm even in horrible weather like right now the wind is 34kt gusting to 46kt and its raining

 

i am still curently waiting for progress on my RHI application, although that is mostly my fault as i have had to produce more documents that have taken me a while to sort out.

 

The loan in my opinion is not a loan as you still have to have the funds to install the system then claim the money back, in my case i had to pay roughly half the total after first fix install and delivery of the heatpump/ DHW cylinder, fan rads etc i then had to complete plasterboarding, taping and filling/ painting before the second fix and commissioning could take place, only after the system was commissioned an MCS certificate was produced. I then had to have the EPC redone to reflect the changes. before submitting my loan claim form by which time i had paid the plumber the remainder of the balance. i don think it is reasonable to expect a tradesman to wait for payment for so long. 

[Ferdinand]

On 25/09/2019 at 21:19, eandg said:

Thanks for your insight. 

 

The other attraction is that going the MCS route attracts a 10 (or 12)-year interest free loan and frees up a bit of capital, so a fair bit to ponder. 

 

May be a consideration as interest rates cannot stay at their current level forever.

 

However, in the absence of a Corbyn or similar spendthrift government (sorry, politics but necessary her) I do bot see them returning to 10% plus.

 

Cost / benefit call on your part.

 

Ferdinand 

 

 

[eandg]

On 24/10/2019 at 05:13, Ferdinand said:

 

May be a consideration as interest rates cannot stay at their current level forever.

 

However, in the absence of a Corbyn or similar spendthrift government (sorry, politics but necessary her) I do bot see them returning to 10% plus.

 

Cost / benefit call on your part.

 

Ferdinand 

 

 

Indeed. And still wrestling with it as we're about to hit the button with planning drawings. I'll avoid the politics too except to say that successive governments of all stripes have been similarly spendthrift (the current one more than most if the leaked aborted Budget was anything to go by) and at least in an independent Scotland we won't be paying for England's expensive wars and European exits!

[recoveringbuilder]

On 22/10/2019 at 04:19, Hobbiniho said:

The loan in my opinion is not a loan as you still have to have the funds to install the system then claim the money back, i

We had the loan for installation of our pellet stove but something they didn’t tell us which the installer did was that you can get iirc 60per cent upfront which we did and only when it was finished and commissioned did we need the mcrs certificate to get the remaining money.

[scottishjohn]

RHI payment depend  on how good your house is --the worse the insulation /bigger heat ;loss ,then the more you get

 this is why @JSHarris is so low --my house was assessed before i upgraded it --so therefore i get £807.91 per annum currently --it goes up every year by inflation rate started at £750.01 per annum

 so add the £1000 a year i save on LPG and the system will have paid for itself --by the end of the term of RHI

and this is why  on new build it may not pay  to go MCS route -- mine did

 so if refurbing it pays to get your house assessed when it only just meets minimum requirement --then make it better later

Edited October 30, 2019 by scottishjohn

[Ferdinand]

37 minutes ago, scottishjohn said:

RHI payment depend  on how good your house is --the worse the insulation /bigger heat ;loss ,then the more you get

 this is why @JSHarris is so low --my house was assessed before i upgraded it --so therefore i get £807.91 per annum currently --it goes up every year by inflation rate started at £750.01 per annum

 so add the £1000 a year i save on LPG and the system will have paid for itself --by the end of the term of RHI

and this is why  on new build it may not pay  to go MCS route -- mine did

 so if refurbing it pays to get your house assessed when it only just meets minimum requirement --then make it better later

 

Worked example