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Minister announces consultation on Non-Domestic RHI tariff review

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Economy Minister Diane Dodds today launched a consultation on the Non-Domestic Renewable Heating Incentive (NDRHI) tariff review.

The Department committed to keeping the tariffs under review when it brought forward the 2019 legislation that implemented reduced tariffs for small and medium-sized biomass boilers accredited to the NDRHI scheme.

An independent energy consultancy was engaged to review the variable elements of the tariff and it has recommended increasing the medium biomass tariffs in order to achieve the appropriate return on investment.

The Minister said: “I have made it clear that, in relation to matters involving the RHI Scheme, I will always seek to act in a manner that is fair to both scheme participants who joined in good faith and to taxpayers who are funding the scheme.

“This consultation considers the tariffs payable on medium-sized boilers which make up the vast majority of installations on the scheme. The preferred option, set out in this consultation, proposes increasing the tariffs in line with the recommendations from the independent experts who identified changes in a number of the underlying variables since the current tariff structure came into effect last year.

“Ultimately this is about ensuring the tariffs are set at a fair rate that is representative of the conditions faced by participants. I would welcome all views on this consultation before it closes.”

The consultation closes on 26 May 2020. Any amendment to the tariff will require legislation in the Assembly.

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