As we face the pressing challenges of climate change and the need for energy independence, the UK government has been actively promoting a transition away from fossil fuels to low carbon heating solutions. Forward thinking heating installers have been at the forefront of this revolution, witnessing the shift towards greener alternatives firsthand. In this blog post, we'll delve into the impact of the now-closed Domestic Renewable Heat Incentive (DRHI) and its role in increasing the adoption of low-carbon heating technologies, particularly heat pumps. Additionally, we'll explore the prospects of the recently launched Boiler Upgrade Scheme (BUS) in accelerating the uptake of these eco-friendly solutions.

The Success of the Domestic Renewable Heat Incentive:

Over the eight years of its existence, the DRHI has proven to be a catalyst for driving interest in low carbon heating systems. The statistics reveal a steady increase in applications since its inception in 2014, with a notable surge in the first quarter of 2022 as the scheme ended. This growth trend indicates a growing demand for eco-friendly heating solutions among homeowners.

Heat Pump Dominance:

While the DRHI encompassed various eligible technologies, air source heat pumps emerged as the most popular choice, consistently gaining popularity year after year. From a modest 36% of applications in 2014, air source heat pumps dominated the field with an impressive 82% share in 2022, reflecting their effectiveness and appeal. On the other hand, Ground source heat pumps experienced a more moderate drop, declining from 16% in 2014 to 14% in 2022. This data underlines the importance of promoting air source heat pumps in the ongoing transition to low carbon heating, as the technology that can be deployed at a greater scale.

Challenges for Heating Installers:

While the benefits of low carbon heating systems are well-known, the challenge lies in scaling up installations to meet the ambitious climate targets set by the UK government. Despite the increased confidence in the heat pump market brought about by the DRHI, the overall number of applications fell short of expectations. One of the key reasons for this shortfall was the funding structure of the DRHI, which relied on post-installation payments over an extended period. This approach limited access to low carbon heating for those who lacked the initial capital investment. Nevertheless, the growth of MCS registered installers was a positive outcome, enhancing the availability of skilled professionals in the sector.

Introducing the Boiler Upgrade Scheme:

In response to the challenges faced during the DRHI, the UK government launched the Boiler Upgrade Scheme (BUS) in May 2022. The BUS aimed to provide upfront funding to households and small non-domestic properties in England and Wales for the purchase and installation of low carbon heat technologies, with a particular focus on heat pumps. Initially targeted to see 90,000 heat pump installations by 2025, the scheme's extension to 2028 has doubled its potential impact to approximately 180,000 installations. The program provides a single payment to homeowners, now offering £7,500 for both air source and ground source heat pumps, following the PM’s announcement on the 20^th September 2023. However, this amount falls significantly short of the level necessary to effectively encourage the installation of ground source heat pumps. While this is just a fraction of the total number of homes requiring decarbonization, the BUS is expected to be instrumental in driving the uptake of low carbon heating technologies, especially when combined with other government initiatives like the Future Homes Standard.

Why Now is the Right Time for Heating Engineers to Upskill:

Heating engineers upskilling to install renewable heating systems, such as heat pumps, is a vital response to the increasing demand for sustainable heating solutions. Moreover, the current funding of training courses in Wales makes this an opportune moment for engineers to invest in their education and acquire the requisite skills for heat pump installations. This training not only broadens their expertise but also places them at the forefront of a growing industry, ensuring both job stability and contributing to a more environmentally conscious future.

In conclusion, the transition to low carbon heating solutions has become a crucial aspect of addressing climate change and achieving energy independence in the UK. The success of the DRHI in driving interest in heat pumps and low carbon technologies bodes well for the future. With the implementation of the Boiler Upgrade Scheme and other strategic plans outlined by the government, there is hope that the adoption of low carbon heating will continue to gain momentum, contributing to a more sustainable and eco-friendly future for generations to come.  With an increasing number of heating installers adopting these technologies, staying ahead of shifting incentives will be crucial for successfully navigating the dynamic terrain of the heating industry.

To find out more about upskilling to become a heat pump engineer contact us on 01269 833100 or email training@thermalearth.co.uk