The European Commission has now given state aid approval to the Renewable Heat Incentive (RHI), paving the way for non-domestic applications by the end of November.
The scheme, which pays a tariff for renewable heat installations, including biomass boilers, hit a snag earlier this month when the Commission expressed concerns that the tariff for large biomass installations (over 1Mw) was set too high.
It has now given state aid approval subject to the large biomass tariff being reduced from 2.7p per kW hour to 1p per kW hour.
“We hope to open the scheme to applications by the end of November 2011, subject to Parliamentary approval,” said a statement from the Department of Energy and Climate Change.
