Gas Boiler Upgrade Scheme: A Comprehensive Guide to Decarbonizing Your Heating

The Gas Boiler Upgrade Scheme, also known as the Boiler Upgrade Scheme (BUS), is a government initiative in England and Wales aimed at decarbonizing heat in buildings by providing upfront capital grants to support the installation of heat pumps and biomass boilers. This comprehensive guide will delve into the intricate details of the scheme, ensuring you have a thorough understanding of the eligibility criteria, grant amounts, application process, technical specifications, and funding timeline.

Eligibility Criteria

Location

The Gas Boiler Upgrade Scheme is open to homeowners and small business owners in England and Wales. This includes both residential properties and small non-domestic buildings with an installation capacity up to 45 kWth.

Property Type

To be eligible for the scheme, the property must have a valid Energy Performance Certificate (EPC) that is less than 10 years old. The scheme is designed to support the replacement of existing fossil fuel systems, such as oil or gas boilers, as well as electric heating systems.

Existing Heating System

The scheme is specifically targeted at properties with existing fossil fuel or electric heating systems. This means that the property must have a fully functioning heating system that is being replaced, rather than a new build or a property without an existing heating system.

Rural Location for Biomass Boilers

Biomass boilers are only eligible for the scheme in rural locations that are not connected to the gas grid. This is due to the environmental benefits of using biomass as a heating source in areas without access to the natural gas network.

Grant Amounts

Gas Boiler Upgrade Scheme

The Gas Boiler Upgrade Scheme offers the following grant amounts to support the installation of different types of heating systems:

Heating System Grant Amount
Air Source Heat Pump £7,500 off the cost and installation
Ground Source Heat Pump £7,500 off the cost and installation
Biomass Boiler £5,000 off the cost and installation

It’s important to note that the grant amounts were increased to £7,500 for both air source and ground source heat pumps as of 23 October 2023, providing even greater financial support for homeowners and small business owners.

Application Process

The application process for the Gas Boiler Upgrade Scheme involves several key steps:

  1. Find an MCS Certified Installer: The first step is to locate an installer who is certified by the Microgeneration Certification Scheme (MCS). This ensures that the installer has the necessary expertise and qualifications to carry out the installation in accordance with industry standards.

  2. Installer Applies for the Grant: The installer will apply for the grant on behalf of the property owner. This streamlines the process and ensures that the necessary paperwork and documentation are submitted correctly.

  3. Grant Voucher: Once the application is approved, Ofgem, the scheme administrator, will issue a grant voucher to the installer. This voucher represents the financial support that will be provided for the installation.

  4. Installation and Commissioning: The installer will then proceed with the installation of the new heating system, ensuring that it meets all industry standards and scheme requirements.

  5. Grant Redemption: After the installation and commissioning are complete, the installer will redeem the grant voucher and receive the financial support from the scheme.

Technical Specifications

The Gas Boiler Upgrade Scheme has specific technical requirements for the eligible heating systems:

Heat Pump Types

Both air source heat pumps and ground source heat pumps are eligible for the scheme. These technologies are highly efficient and can provide a sustainable heating solution for homes and small businesses.

Biomass Boiler Eligibility

Biomass boilers are only eligible for the scheme in limited circumstances, primarily in rural locations that are not connected to the gas grid. This is due to the environmental benefits of using biomass as a heating source in areas without access to the natural gas network.

Funding and Timeline

The Gas Boiler Upgrade Scheme has a significant funding allocation and a multi-year timeline to support the transition to low-carbon heating solutions:

Total Funding

The scheme has a total funding of £450 million available over three years, from 2022 to 2025. Additionally, the government has announced an extension of £1.5 billion in funding from 2025 to 2028, demonstrating a long-term commitment to the initiative.

Grant Levels

As mentioned earlier, the grant levels for heat pumps were increased to £7,500 from 23 October 2023, providing even greater financial support for homeowners and small business owners.

References

  1. Ofgem – Boiler Upgrade Scheme (BUS) – https://www.ofgem.gov.uk/environmental-and-social-schemes/boiler-upgrade-scheme-bus
  2. Energy Saving Trust – Boiler Upgrade Scheme Explained – https://energysavingtrust.org.uk/grants-and-loans/boiler-upgrade-scheme/
  3. British Gas – Understanding the Boiler Upgrade Scheme – https://www.britishgas.co.uk/home-services/boilers-and-heating/grants/boiler-upgrade-scheme.html