Ministers are keen to create a framework to support the use of alternative energy production, such as biomass, through the Renewable Heat Incentive (RHI).
Energy minister Chris Huhne has committed to providing renewable heat installations such as biomass plants with "long-term guaranteed financial support".
The RHI is the first of its kind in the world and will be backdated to include equipment installed as far back as July 15th 2009.
Its first phase will be targeted at providing long-term tariff support for non-domestic sectors, which contribute 38 per cent of the UK's carbon emissions.
In addition, Mr Huhne noted: "We are also today publishing text for the draft regulations that will underpin the tariff scheme.
"We are looking to seek Parliamentary approval of the regulations in July 2011 and will introduce the tariff scheme thereafter."
The RHI is expected to increase green capital investment by £4.5 billion up to 2020, with the government keen to reduce the country's dependence on fossil fuels, the burning of which is responsible for 95 per cent of heat produced across the UK.
Typical Guttridge equipment used in the energy industry includes; Elevators – bucket elevators – valves
