The SDLP has hit out at the Enterprise Minister over his decision to axe the Renewable Heat Incentive (RHI) in Northern Ireland.

The scheme funds renewable heating projects in both the domestic and non-domestic sectors.

SDLP spokesperson Patsy McGlone said it is "devastating news" for local businesses.

He said: "It is sudden and devastating news for the many businesses who have invested hundreds of thousands of pounds into equipment only to be told their services are no longer required. It will also make for tough reading for people who have taken out loans on the basis of the payback that the incentive would provide. It marks the latest step in the DUP campaign to snuff out the renewable sector and increase our reliance on fossil fuels.

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"News coming out of DETI over the past year can be characterised by token low-skill job creation and massive job losses particularly in manufacturing. I can give a clear and categorical assurance that the SDLP will not be voting with him to put people on the dole queue, to lumber people with debt and businesses into administration."

Ulster Unionist economy spokesperson Adrian Cochrane-Watson said: "Mr Bell needs to appear in the Assembly chamber and explain to MLAs his reasoning for this major departure in energy policy. I tabled an urgent oral question this morning demanding the Minister explains his decision and it is deeply regrettable that this request was not acted upon.

"Many businesses and home owners have already spent significant time and money preparing for their RHI applications and installations, as well as some counting RHI returns into business plans. Many people have recently installed biomass burners, encouraged by the incentives which the Department had been promoting. I also know that there are a significant number of jobs dependent on the growth of the biomass sector."

(CD/LM)