- Green Deal Introduction
- Green Deal Assessors, Assessment and Advice
- How the Green Deal Will Work
- The Green Deal Golden Rule
- What Energy Savings Items Will be Included?
- Green Deal – Obtaining Consent
- Financing the Green Deal
- Installation by Green Deal Installers
- Repayment of the Green Deal Plan
- Green Deal Disclosure Requirements
- Green Deal Acknowledgment Requirements
- Green Deal Forms of Acknowledgment
- What’s Next for Green Deal?
How the Green Deal Will Work
There are a number of energy saving products available that can assist in making existing properties more energy efficient including boilers, insulation (including roof, cavity and solid wall insulation) and electricity or heat generation through solar power. Currently, these improvements must be financed by the consumer themselves (although some support is available from Government schemes and energy suppliers). As a result, in particular with rented property, often these energy efficiency measures have a large upfront cost and so landlords simply can’t afford to install them or is unwilling because of the lack of perceived benefit to the landlord.
Under the green deal, households and businesses can have such energy efficiency works done to their property without having the sometimes large upfront costs. Instead, the costs of the works are funded by a green deal provider and repaid through the energy bills. Under the golden rule, these re-payments must be less than future savings on their energy bills as a result of the investment (for the first year at least). Accredited assessors will recommend the measures and then private sector providers will install the energy efficient measures.
The Department of Energy and Climate Change (DECC) has provided a useful flowchart which outlines all the scenarios from start to finish of a green deal plan.
To summarise, the following will occur in most straightforward cases.
Consumer requests green deal assessment and green deal adviser visits property
Assessor carries out an assessment based upon energy performance certificate principles (unless an up to date EPC exists)
Assessor carries out an occupancy assessment
Assessor produces a report and registers it with the EPC database
If green deal not appropriate (no significant savings can be made), assessor may provide information about the energy company obligation affordable warmth program for vulnerable households etc.
If green deal is appropriate:
Consumer contacts green deal supplier (can contact as many as like)
Green deal supplier provides quote for instalments payable and length of loan
14 day cooling off period
Agree terms and works commence
Instalments repaid through energy bill (electricity bill where electricity is supplied)
There are in essence five stages to a green deal plan
Green deal assessors, assessment and advice
Financing the green deal
Installation by green deal installers
Repayment of the green deal plan