NFU Energy RHI Compliance experts
Wednesday 30th of April 2025 | Posted In: Renewable energy

Why Farmers Should Explore the Renewable Heat Incentive: NFU Energy’s Compliance Expertise:

For UK farmers, managing energy costs while meeting sustainability goals is a constant challenge. The Renewable Heat Incentive (RHI), a UK government scheme launched in 2011, has been a game-changer for agricultural businesses, offering financial rewards for using renewable heat technologies like biomass boilers, heat pumps, and biogas systems. Although the non-domestic RHI closed to new applicants in March 2021, farmers already enrolled, or those considering second-hand systems, can still reap significant benefits. At NFU Energy, our RHI Compliance and Health Checks Service ensures you maximize these opportunities while effortlessly meeting Ofgem’s strict regulations. With over 40 years of trusted expertise in agriculture, we’re here to help you navigate the RHI, save costs, and power your farm sustainably. Here’s why farmers should explore the RHI and how NFU Energy’s services make it seamless.

The RHI: A Financial Boost for Farmers:

The RHI incentivizes renewable heat to reduce reliance on fossil fuels, cut carbon emissions, and lower energy bill, key priorities for energy-intensive farms. Participants receive quarterly payments for 20 years based on the renewable heat generated, offsetting the costs of installing technologies like:

  • Biomass boilers: Ideal for heating barns or drying crops.
  • Heat pumps: Efficient for farm buildings or livestock sheds.
  • Biogas systems: Turning agricultural waste into heat or power.

For example, a 199kW biomass boiler producing 400,000 kWh annually could generate around £8,000 per year in RHI payments (based on pre-2021 tariffs). These payments, combined with fuel savings, make renewable heat a smart investment. Even with the scheme closed to new entrants, farmers can benefit by acquiring accredited systems, upgrading existing ones, or ensuring compliance to maintain payments. The RHI also aligns with net zero goals, enhancing your farm’s sustainability credentials in a market increasingly demanding eco-friendly practices.

Why RHI Compliance Matters:

The RHI’s financial rewards come with strict Ofgem regulations, including accurate metering, regular reporting, and periodic audits. Non-compliance can lead to payment delays, penalties, or even disqualification, risking thousands in lost income. Common pitfalls include incorrect meter calibration, outdated documentation, or unapproved system changes. For busy farmers, navigating these complexities can be daunting, but that’s where NFU Energy steps in.

Our RHI Compliance and Health Checks Service ensures your renewable heat system meets all requirements, maximizing payments and minimizing stress. Since the RHI’s inception, our consultants have supported over 500 clients, designing and maintaining compliant systems that deliver efficiency and financial returns. Whether you’re managing an existing RHI system or exploring new opportunities, we provide peace of mind with expert guidance tailored to agriculture.

How NFU Energy’s RHI Services Work:

Our comprehensive service reviews your renewable heat system’s setup and operations, conducting health checks to ensure optimal performance and eligibility for RHI payments. We focus on compliance, efficiency, and financial benefits, transforming complex regulations into practical solutions. Here’s how we help:

1.  Transfer of Ownership
Want to invest in renewable heat without a new application? Accredited RHI boilers can be purchased second-hand and relocated to your farm, provided they meet Ofgem’s rules. We guide you through the transfer process, ensuring eligibility and compliance, so you can start earning payments quickly.

2.  System Updates
Modifying your heating system—such as changing pipework, heat uses, or adding boilers—requires updating your RHI application. Our experts ensure all documentation is accurate and compliant, preventing disruptions to your payments. For example, we helped a livestock farm update its biomass system, securing uninterrupted £10,000 annual payments.

3.  Boiler Upgrades
Replacing an old boiler with a newer, more efficient model doesn’t mean losing your RHI tariff. We manage the compliance process, ensuring your upgraded system meets regulations, so you enjoy improved performance and continued payments.

4.  Meter Recalibration
Accurate heat meters are critical for RHI payments. Meters must be recalibrated every 10 years to maintain data integrity. We handle recalibration, ensuring compliance and protecting your income from audit risks.

5.  RHI Health Checks
Ofgem audits can uncover non-compliances, leading to costly delays or penalties. Our RHI Health Check Service proactively reviews your system, identifying and fixing issues before audits. A recent client, an arable farm, passed an Ofgem audit flawlessly after our health check, safeguarding £12,000 in annual payments.

The Benefits for Farmers:

Partnering with NFU Energy for RHI compliance delivers tangible advantages:

•  Maximized Payments: Our meticulous approach ensures you receive every penny you’re entitled to, with some clients seeing payment increases of up to 10% after our reviews.

•  Cost Savings: Efficient systems and favorable energy contracts (via our Utilities Metering service) reduce fuel and electricity bills.

•  Sustainability: Compliant renewable heat systems cut emissions, aligning with net zero and boosting your farm’s market appeal.

•  Peace of Mind: Our transparent, personalized support frees you to focus on farming, knowing your RHI obligations are handled.

•  Energy Security: Renewable heat reduces reliance on volatile fossil fuel markets, protecting your farm from price spikes.

Looking Ahead:

While the RHI is closed to new applicants, its framework highlights the value of renewable heat for farmers. Emerging schemes, like the Clean Heat Market Mechanism, may offer future incentives, and NFU Energy is ready to guide you through them. For now, our compliance services ensure existing RHI participants maximize returns, while our broader offerings, Flex, Metering, and renewable feasibility studies, support your farm’s energy future.

Unlock Your RHI Potential:

Don’t let RHI compliance complexities hold your farm back. Whether you’re managing an existing system, considering a second-hand boiler, or planning upgrades, NFU Energy’s RHI Compliance and Health Checks Service ensures you maximize financial and sustainability benefits. Contact our expert team today for a free consultation to explore how we can support your renewable heat journey. Call 024 7669 6512, email [email protected], or visit www.nfuenergy.co.uk. Let’s power your farm forward with confidence and savings.