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Scotland to offer green loans to plug RHI gap

The Scottish Government is to offer a £500,000 interest-free loan scheme to encourage homeowners to install green energy equipment.

The fund will be available from April 1 and see residents paid up to £2,000 to generate electricity or heat from renewable sources.

Those installing electricity technologies will be eligible for payments for feeding electricity into the national grid.

Energy minister Jim Mather said: “Households will unfortunately not be eligible for the UK government’s incentive mechanisms for renewable heat until 2012, so our new loans will help householders fill a gap left behind by this short-sighted move.”