OFTEC highlights problems with RHI

The trade body believes that installing renewable technologies will be prohibitive to all but a few, even with the support of RHI payments.

The potential savings offered by renewable equipment have also come under fire from OFTEC, which says that the average cost to heat a three bedroom home using the Government’s favoured renewable technology, an air source heat pump, is only £8 less expensive per annum than using a modern condensing oil boiler.

Other issues highlighted by OFTEC include the cost, disruption and impracticability of installing heat pumps, which it believes may deter many consumers. They either need new over-sized radiators to be fitted or underfloor heating.

A further issue is that most homeowners would only consider replacing their existing boiler when it is beyond repair. However, in these ‘distress purchase’ situations, the householder is unlikely to have the time or be in the right frame of mind to consider alternative technologies.

To help reduce the UK’s carbon footprint, OFTEC has promoted the use of a bio-liquid fuel (called B30K) for oil fired homes which is a blend of FAME bio-fuel (30%) with kerosene (70%). This fuel has been proven to run on existing oil boilers, provided minor modifications are made, and would contribute nearly the same reduction in CO2 as the RHI’s more impractical renewable alternatives.

However, B30K has not been accepted by the Government as eligible for RHI in England and Wales, although it is under serious consideration for the RHI scheme in Northern Ireland.

Jeremy Hawksley, Director General of OFTEC, comments: “Whilst we recognise the need to reduce CO2 emissions from heating and the potential benefit of the RHI policy, it is unlikely to attract the support it needs to make an impact on the UK’s carbon footprint.

“We suggest a more stepped transition to low carbon heat which would see hybrid, or bivalent, solutions with oil or bio-liquid condensing boilers working in tandem with heat pumps. This option is recognised in the RHI although only the renewable element of the heat will be grant aided and the high capital cost of the renewable equipment will deter the vast majority of homeowners.

“Hybrid systems, too, would be much more palatable to the consumer with minimal disruption as existing radiators can be used.

“The domestic RHI needs to be re-designed to focus on a phased approach to decarbonising home heating. Only this will get public support and ensure that we successfully reduce the UK’s carbon footprint.”