1 The Green Deal Is It A Fair Deal? Dave Princep B Sc (Hons), LLB, MCIEH Independent Housing Consultant

Green Deal “biggest home improvement programme since the Second World War “ Greg Barker Climate Change Minister Commences October 2012

Green Deal Way of making energy efficiency affordable for all home occupiers. No “upfront” costs Costs/Finance attached to building’s electricity meter Paid back over time as part of electricity bill. Repayments will be less than, or no more, than savings on bills (GOLDEN RULE) Significant level of customer protection

Before After Fuel Bills Whole House - Improvements Fuel Bills Repayments Green Deal Savings?

Green Deal Provider Provides finance and arranges works Authorised by GD Oversight Body Compliance with Code of Practice Hold Consumer Credit Act licence etc………..

Green Deal Accreditation Accredited Assessors Accredited Contractors Product Guarantees Compliance with Code of Practice

CONSENT Green Deal can be taken out Owner Occupier Tenant or Landlord But must get written permission from all affected now & written confirmation from those to be affected in future

CONSENT Must get written permission from all affected – Current Bill Payer/Tenant (or Landlord) – All future Bill Payers/Tenants (clause in tenancy agreement) – Freeholder – Anyone else with interest in property – Planning Dept – Common parts??????

Green Deal Win Win?? Tenants Fuel Bills lower - Landlords property improved

ECO Funding Funded by Bill Payer through Electricity Meter Funded by Energy Company (ENERGY COMPANY OBLIGATION) GREEN DEAL FINANCE

Funding Funded by Bill Payer through Electricity Meter Funded by Energy Company GREEN DEAL FINANCE ECO Hard to Treat Vulnerable Deprived Area

Funding For Vulnerable Occupier For those on very low income - use so little energy that the GOLDEN RULE does not work ALL works will be paid by ECO

Green Deal Eligible Works Building fabric Cavity wall insulation, solid wall insulation, loft insulation, flat roof insulation, internal wall insulation, external wall draught proofing, floor insulation, heating system insulation, energy-efficient glazing and doors Heating, ventilation and air conditioning Condensing boilers, heating controls, underfloor heating, heat recovery systems, mechanical ventilation, flue-gas recovery systems Water heating Innovative hot-water systems, water-efficient taps and showers Lighting Lightings and controls Micro-generation Ground and air source heat pumps, solar thermal, Micro-generation solar PV, biomass boilers, micro-combined heat and power

Green Deal & ECO Finance LOFT INSULATION NEW BOILER SOLID WALL Paid by Tenant through Electricity Bill Paid by ECO (Energy Provider)

Immediate Effect of Green Deal Current funding from energy companies (CERT) – Aimed at most cost effective works for CO2 reduction – i.e. lower cost works such as (most bangs for bucks) Lofts Cavity Boilers Draughts From Oct 2012 this funding will STOP ( obligation transfers to ECO)

Excellent Current Offers Free Loft Insulation Free Cavity Insulation Cash back for any referral Cash back if vulnerable Etc……………

Energy Savings Trust Phone

Green Deal Home Owners – Voluntary Social Landlords – target set by Govt. Private Rented Sector (Commercial & Domestic ) - compulsion will be introduced

PRS Enforcement Proposals Energy Act 2011 Energy Act 2011 – Establishes 2 sets of regulations to be introduced – Precise details are not known – consultation about to start Date for both is stated “as no later than….” Stated aim is to encourage PRS to voluntarily take up Green Deal

Enforcement Proposals Energy Act 2011 Tenants’ “ reasonable requests ” Tenants’ Energy Efficiency Improvements Regs. No later than April 2016 landlords will not be able to refuse reasonable requests from tenants, or local authorities acting on behalf of tenants, to improve their property;

Enforcement Proposals Energy Act 2011 Prohibition for renting low energy efficient premises Domestic Energy Efficiency Regulations No later than April 2018 will be unlawful to rent out a house or business premises which has a low (likely to be "E“) energy efficiency rating. Around 700,000 properties likely to be affected (£5,000 fine)

Energy Performance Certificates (EPC) P rovision of EPC from 6 April 2012 Require first page of EPC to be attached to written particulars when buildings sold or rented out Make full EPC available to viewers & person who requests EPC Regulations changed to make enforcement easier including making agents responsible for providing EPC EPC will show whether any GD finance – will need recent copy of EPC (from database)

EPC – Energy Costs

EPC – Energy Efficiency Rating

EPC – Measures – Green Deal

RLA & PRS Concerns Enforcement Proposals – set up to fail!?!? Consents Tenants Reluctance – Blight properties? – Avoidance Targeting of ECO funding Tax Allowance – extension of LESA (Landlords Energy Efficiency Allowance) – Benefit those in fuel poverty HMOs Works – Installers – known contractors

Thank You