To ask the Minister for the Economy (i) for an update on the current status of the Renewable Heat Incentive Scheme; (ii) to confirm whether she intends to close the current scheme; (iii) what plans she has to review the conditions of the current scheme; and (iv) to confirm whether she has any plans to create a new scheme.

I am currently considering options on the future of the Scheme. There are a series of complex issues under consideration including Value for Money matters, compliance with State aid rules and the impacts on Scheme participants.

I will discuss options with Executive Colleagues before any final decision in relation to the closure of the Scheme is taken.

My Department has commissioned several pieces of independent research in recent years in relation to the Non Domestic RHI Scheme, including a review of the biomass tariff structure by Ricardo Energy and Environment in 2018, research into hardship by Buglass Energy Advisory, and a further tariff review by Cornwall Insight in 2020. In addition, the scheme is subject to scrutiny by the Northern Ireland Audit Office and by our own Departmental Internal Audit team.

The NDNA includes a commitment that the RHI scheme will be “replaced by a scheme that effectively cuts carbon emissions.” The introduction of such a scheme will be subject to consideration and discussion by the Executive in due course. This will be done in line with the new Northern Ireland Energy strategy, as part of an overall framework to support the pathway to net zero carbon.