Participants in the Renewable Heat Incentive (RHI) could launch further legal action against the Department for the Economy (DfE) if the scheme is closed, a senior civil servant has said.
Earlier this month, a cross-party commitment was given in the New Decade, New Approach deal to close RHI and replace it with “a scheme that effectively cuts carbon emissions”.
Speaking at Stormont last week, DfE’s head of energy Richard Rogers said that the new Economy Minister Diane Dodds has asked officials to consider proposals for closing RHI “as a matter of urgency”.
“It is not an easy answer because of the potential risk for litigation,” Rogers told MLAs on the economy committee.
The budget this year is close to £30m
“New litigation ... will ultimately play back to the grandfathering principle and the fact that the promise was made to keep the tariffs the same for 20 years,” he added.
Rogers confirmed that there is scope for new green energy schemes due to a huge underspend in renewable heat funding that currently comes from London to NI.
This has been the case since the latest RHI tariff cuts were introduced in April 2019.
“The budget this year is close to £30m and we are only spending £5m or £6m of it. The remainder is lost,” Rogers said.
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DfE reconsiders RHI hardship support
Participants in the Renewable Heat Incentive (RHI) could launch further legal action against the Department for the Economy (DfE) if the scheme is closed, a senior civil servant has said.
Earlier this month, a cross-party commitment was given in the New Decade, New Approach deal to close RHI and replace it with “a scheme that effectively cuts carbon emissions”.
Speaking at Stormont last week, DfE’s head of energy Richard Rogers said that the new Economy Minister Diane Dodds has asked officials to consider proposals for closing RHI “as a matter of urgency”.
“It is not an easy answer because of the potential risk for litigation,” Rogers told MLAs on the economy committee.
The budget this year is close to £30m
“New litigation ... will ultimately play back to the grandfathering principle and the fact that the promise was made to keep the tariffs the same for 20 years,” he added.
Rogers confirmed that there is scope for new green energy schemes due to a huge underspend in renewable heat funding that currently comes from London to NI.
This has been the case since the latest RHI tariff cuts were introduced in April 2019.
“The budget this year is close to £30m and we are only spending £5m or £6m of it. The remainder is lost,” Rogers said.
Read more
Environment trumps farming in Stormont deal
DfE reconsiders RHI hardship support
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