Reheat's 8 Step Compliance Checklist for the Non-Domestic Renewable Heat Incentive
Those approved for the Non-Domestic Renewable Heat Incentive (NDRHI) will know that the energy industry watchdog, Ofgem, is responsible for the audit and compliance of the scheme. When on the scheme, remaining compliant is essential, as Ofgem can suspend payments or revoke your accreditation amongst other action if they deem you to have not complied with the scheme.
With this in mind, we have provided 8 useful steps as a checklist for remaining compliant. At Reheat, we have supported businesses to access the NDRHI as well as ensure they adhere to Ofgem’s regulations. If you need support, then our consultancy team will be happy to help.
Please be aware that the NDRHI scheme, including extensions, came to an end on March 31st 2023.
Please note that this list is only a guide. You are responsible for compliance to the NDRHI and must adhere to Ofgem’s rules and regulations. For further guidance and information, we always recommend that you refer to Ofgem’s Non-Domestic RHI Main Guidance.
1. Annual Declarations
As a participant of the NDRHI, be aware that you are required to sign an annual declaration. This ensures your accredited RHI installation meet the eligibility criteria, and that you are not generating heat to increase your payments, which would be a serious breach of your NDRHI agreement. The declaration also confirms your equipment is maintained and the information you have provided in the previous year is accurate.
2. Notify Ofgem of any Changes to your RHI installation
If you plan to make any changes to your accredited RHI installation, you must notify Ofgem within 28 days of the change occurring. Examples of changes may include, but are not limited to, heat use, metering, heat transport or relocation of equipment. If you are ever unsure if Ofgem requires notification about a change, you should always check with them for clarification.
3. Submit Information on a Regular Basis
Participants of the RHI scheme must submit information on a regular basis. The type of information and frequency of submission will vary depending on the installation in terms of technology and capacity. Information might include things like meter readings, fuel data and sustainability declarations. Data is typically submitted via your account on the RHI register.
4. Be Aware of Ongoing Fuel Obligations
Some fuels used under the NDRHI scheme have ongoing obligations. Fuels used in biomass, biogas or to produce biomethane for injection installations require fuel records (such as invoices or self-supply records). They should also be compliant with your emission certificate, suitable for the installed boiler, and comply with sustainability requirements.
5. Make Sure you Meet Air Quality Requirements for Solid Fuels
To meet air quality requirements, solid fuel boilers must be operated in accordance with the manufacturer’s instructions. It is the operator’s responsibility to run the boiler according to its emissions certificate, only using fuels displayed on the certificate – as well as complying with the fuel’s moisture content, which should also be present on the certificate.
6. Source Fuels that meet Sustainability Requirements
The fuels you use in order to continue receiving NDRHI payments must meet sustainability requirements. Sustainable fuels include feedstocks used in solid biomass, Combined Heat and Power (CHP) and biogas installations, as well as biomethane.
You can source fuel and register as a self-supplier using the UK Government’s Biomass Supplier List (BSL).
7. Reporting for Heat Pump Installations
If you have heat pumps installed, a record of the Seasonal Performance Factor (SPF) must be kept. Be aware that SPF, as well as details of the design heat load, must also be retained and provided to Ofgem upon request. You will also be required to provide quarterly electricity consumption, in addition to heat output data.
8. Boiler maintenance is an obligation of the RHI
You must keep your boiler maintained to remain compliant with the RHI, and this service must be undertaken annually by a HETAS (or similar) accredited technician – this includes the boiler unit, meter*, and associated equipment. Maintenance records must be kept as Ofgem can request them at any time.
*Heat meters should be recalibrated at least every 10 years, or in line with manufacturer’s instructions where available, depending on which one comes first.