Ulster Unionist MEP Jim Nicholson has said that the RHI scheme in Northern Ireland should be brought in line with the scheme in Great Britain, as the proposal by the Secretary of State to drastically cut tariffs would penalise genuine scheme participants.

Mr Nicholson said:

“The problems with the design and implementation of the original RHI scheme introduced by the then DUP Minister, Arlene Foster, including the lack of a cap on usage and minimal inspections/audits have been well documented.

“Applicants who entered the scheme in good faith will be penalised if the proposal by the Secretary of State to slash tariffs is introduced.

“Many of these applicants applied to the scheme and invested considerable sums in equipment because of the strength of assurances from the Department and indeed the Minister at the time, Arlene Foster, who of course wrote to the banks stating that tariffs would be grandfathered, supposedly providing certainty for investors.  The impact of these ministerial assurances cannot be underestimated.

“Now we are in a situation where these genuine applicants could potentially go bankrupt and in some extreme cases applicants may be forced to sell their farms. The proposed tariff cuts and the way this is being carried out by the Secretary of State in coordination with the Department of the Economy, with minimal scrutiny, is of massive concern.

“I, and my party, have argued that the Northern Ireland scheme should be brought in line with the scheme in operation in Great Britain to fix the well-documented problems, whilst allowing the continual roll out of a renewable scheme that benefits the environment.

“The irony is that the mismanagement of the RHI scheme at the outset, coupled with this move by the Secretary of State to drastically cut the tariffs, could actually see farmers and businesses move back to fossil fuels due to a lack of confidence in any renewable energy scheme.”