The Green Deal Tracy Vegro Director – Energy Efficiency and Consumers 11th October 2010

Repayments and Follow Up Green Deal Process Assessment Finance Installation Repayments and Follow Up

Assessment All households entitled to an energy efficiency assessment as part of Green Deal Accredited assessor produces – Fabric and behavioural assessment Independent – uses agreed methodology Consumers can shop around after receiving advice

Finance A new finance mechanism enabling a payment obligation to be attached to the energy meter at a property The householder receives a package of energy efficiency measures at no up-front cost from a ‘Green Deal provider’. Obligation passes to whoever pays the bill at the property, so transfers automatically to any new occupier Not a loan, and not secured against the property

The Supply Chain Green Deal will remove barriers promote take up and stimulate the market for energy efficiency – leading to more activity and more jobs The supply chain could be very broad, including opportunities for: energy companies big name retailers local authorities major construction companies local installers Currently 27,000 people are employed in energy efficiency sector - as installers, ancillary staff and in supply chain Over the next decade the market might grow to support 250,000 jobs Estimated for 2025.  This is a peak year but is not unrepresentative of a range of years in the mid 2020s. These installation estimates are used to calculate the number of installer jobs by considering the number of person days associated with each measure. Ancillary jobs and supply chain jobs are calculated by applying a fixed ratio to the number of installer jobs (taken from the 2009 Innovas report).

Installation Green Deal will require standards and accreditation for products and installers Installer will need to: meet certain standards to practice under the Green Deal carry the Green Deal kite-mark/ logo sign off work once complete and inform GD Provider that repayments can begin

Repayments and follow up Payments to be collected through energy bills – either gas or electricity with Green Deal charge as a separate line on the bill Follow up information from GD Provider/ visit from adviser?

Indicative Timetable Autumn 2010 – Bill introduced into Parliament Autumn 2011- Bill receives Royal Assent (depending on length of 1st Session) Ahead of Autumn 2011 - officials will be developing thinking on secondary legislation with a view to drafting secondary legislation and formally consulting. Early 2012 – secondary legislation laid in Parliament Spring 2012 – detailed guidance prepared Autumn 2012 – First Green Deals appear

Challenges How do we ensure that a wide variety of businesses get involved in delivering Green Deal products and services? How do we make sure Green Deal is seen as an obvious and desirable choice for households - a ‘no-brainer’? How can we best support the supply chain in gearing up? Glad I can count on the support of the TUC in harnessing the opportunities Green Deal will bring.