A scheme to encourage more investment in renewable energy sources has been delayed by two months, after the European Commission expressed concerns.
The Renewable Heat Incentive was due to launch on 30 September to non-domestic customers, but following a last minute intervention by the EU the scheme isn’t expected to be launched for at least another two months.
This first phase of the scheme was aimed at large industrial and commercial customers, and offers long term support to invest in renewable energy equipment. A second phase for domestic customers is due to be introduced in Autumn 2012, and it is not known whether delays in the first phase will affect this.
The European Commission has ruled that the tariff for biomass technologies is too high, so now the government will have to revise the tariff level and pass the legislation through Parliament again before the scheme can be implemented.
This delay will have negative effects for many companies and groups who had already made plans to install renewable energy sources such as solar panels or wood chip boilers, and some groups who may have already started investing in the technology will be left out of pocket due to the EU intervention.
It is now hoped that the scheme will be launched by the end of November.
There are still a number of other renewable incentives for domestic energy users available, including Feed in Tariffs, so homeowners can afford to invest in renewable energy sources to help reduce both energy bills and carbon emissions.
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