Renewable heat and gas subsidies and transport fuel subsidies

Introduction

This is an overview of the key content to be found in our Renewable heat and gas subsidies and transport fuel subsidies subtopic. It briefly explains the nature of this content and provides links to it.

For more information on our other content of relevance to renewable energy projects generating/producing heat or renewable gas (biomethane), see our subtopic: Fuelled renewable, hydro and other baseload renewable projects.

For more information on our other content of relevance to heat networks, see our subtopic: Private wire and district heating.

For more information on our other content of relevance to alternative fuels for transport and electronic vehicles, see subtopic: Alternative fuels for transport and e-mobility.

Renewable Heat Incentive (RHI) and Renewable Transport Fuel Obligation (RTFO)

Practice Note: Renewable Heat Incentive (domestic). This Practice Note considers the key features of the domestic RHI scheme, which closed to new applicants on 31 March 2022, and briefly introduces

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Latest Energy News

DESNZ publishes responses to consultations on UK ETS expansions for waste, maritime and GGR sectors

The Department for Energy Security and Net Zero (DESNZ) has published responses to three consultations on proposed expansions of the UK Emissions Trading Scheme (UK ETS). These include a full response to the greenhouse gas removals (GGRs) consultation launched in May 2024, along with interim responses to the energy from waste (EfW) and waste incineration consultation, also launched in May 2024, and the maritime sector consultation launched in November 2024.

DBT consults on proposed uplift to Network Charging Compensation Scheme

The Department for Business and Trade (DBT) has launched a consultation on the proposed uplift in compensation for charges paid by eligible energy intensive industries (EIIs) under the Network Charging Compensation Scheme from 60% to 90%. The consultation also seeks views on extending the application window from one to two months. The proposed changes, set to take effect in 2026, could reduce electricity costs for approximately 500 firms in key sectors such as steel, ceramics, glass and chemicals by up to £420m annually and help align the UK’s industrial energy prices with those of European competitors. This measure forms part of the government’s Industrial Strategy. The consultation closes on 15 August 2025.

Council extends gas storage regulation with enhanced flexibility measures

The Council of the EU has adopted amendments to extend the gas storage regulation by two years beyond its current 2025 expiry date. The revised regulation maintains the 90% storage target but introduces new flexibility measures, including a wider compliance window between 1 October and 1 December, replacing the previous 1 November deadline. Additional provisions include a 10% flexibility allowance for difficult filling conditions, with potential for 5% more through European Commission delegated acts, while intermediate storage targets become indicative rather than binding. The regulation will enter into force the day following its publication in the EU's Official Journal.

Inter-American Court of Human Rights Advisory Opinion OC-32/25 of 29 May 2025

Environment analysis: This article analyses the Inter-American Court of Human Rights Advisory Opinion OC-32/25 of 29 May 2025 (‘the Advisory Opinion’). The article addresses: (i) the background to the request for an Advisory Opinion; (ii) the key aspects of the Advisory Opinion; (iii) the significance of the Advisory Opinion for climate change litigation cases globally and for the recognition of the right to a healthy environment (RtHE). Written by Hannah Taylor, barrister at Cornerstone Barristers.