Renewable Heat Incentive Inquiry

The Renewable Heat Incentive Inquiry examined the design and operation of the Northern Ireland Non-Domestic Renewable Heat Incentive scheme, which led to significant overspend of public funds. Sir Patrick Coghlin's report, published in March 2020, made 45 recommendations addressing policy development, governance, ministerial accountability, and civil service capabilities.

The Northern Ireland Executive responded in October 2021, accepting 43 recommendations in full, one in principle, and rejecting one concerning an independent mechanism to assess special advisers' compliance. The Northern Ireland Audit Office (NIAO) has published two progress reports, in June 2022 and October 2024, assessing implementation.

According to NIAO's October 2024 assessment, 29 recommendations (64%) show evidence of completion, while 15 (33%) have no recent updates. Key legislative changes include the Functioning of Government Act 2021, which established statutory requirements for ministerial declarations of interest and gave the Assembly Commissioner for Standards powers to investigate code breaches - addressing a recommendation the Executive had initially rejected.

Significant institutional reforms are documented, including establishment of the Better Business Cases NI framework, the Making a Difference policy guide for officials, revised codes of conduct for ministers and special advisers, and creation of a Raising a Concern framework with trained investigators. The NICS has established a Project Delivery Profession and People & Organisational Development Group to address capability gaps.

However, NIAO identifies several recommendations as 'unlikely to be fully implemented'. These include requirements for regular record-keeping audits, departments reviewing governance systems in practice, and ensuring ministers sufficiently familiarise themselves with legislation. The Department of Finance has indicated it considers existing arrangements sufficient for some recommendations or that further action would be 'disproportionate'.

The evidence indicates substantial structural and procedural changes have been made, particularly in business case processes, policy development guidance, and accountability frameworks. However, implementation of recommendations requiring behavioural or cultural change appears less complete, with NIAO seeking evidence that new guidance is being rigorously applied in practice.