The domestic Renewable Heat Incentive (RHI) scheme will allow anyone who has installed a renewable heat technology since 15 July 2009 to apply for an incentive payment.

The scheme, which has been running in the non-domestic sector since November 2011, is designed to boost the use of renewable heat technologies in homes across the UK to cut carbon, help meet renewables targets and save money on bills.

The financial incentive will be available from next spring to homeowners, private and social landlords, third party owners of heating systems and people who build their own homes.

Payments will be made on a quarterly basis for seven years and in most cases, payments will be calculated based on estimated heat demand of the property.

Applicants will need to complete a Green Deal Assessment before submitting their application and must ensure they have met minimum loft (250mm) and cavity wall insulation requirements, where appropriate.

Greg Barker, Energy and Climate Change Minister, said:”The Coalition is committed to helping hardworking families with the cost of living.

“Investing for the long term in new renewable heat technologies will mean cleaner energy and cheaper bills. So this package of measures is a big step forward in our drive to get innovative renewable heating kit in our homes.

“Householders can now invest in a range of exciting heating technologies knowing how much the tariff will be for different renewable heat technologies and benefit from the clean green heat produced.”