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The government's renewable heat incentive (RHI) has been welcomed by a number of organisations.
Rhian Kelly, director for the business environment at the Confederation of British Industry, described the initiative as "a great way to reduce bills and cut emissions" for both business energy customers and household gas and electricity supplies.
The incentive gives individuals and companies the chance to generate their own green energy through subsidising low-carbon heat technologies, such as biomass, geothermal and solar panel thermal.
Liz Laine, energy expert at Consumer Focus, the energy watchdog, said the RHI is "particularly good news" for consumers who live off the national gas grid and often have much higher energy bills.
She added: "Energy efficiency and renewable heating systems could help consumers to save money on their energy bills."
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