The ‘Green Deal’ intends to reduce carbon emissions cost effectively by revolutionising the energy efficiency of British properties.
The new innovative Green Deal financial mechanism eliminates the need to pay upfront for energy efficiency measures and instead provides reassurances that the cost of the measures should be covered by savings on the electricity bill.
A new Energy Company Obligation will integrate with the Green Deal, allowing supplier subsidy and Green Deal Finance to come together into one seamless offer to the consumer.
WHY IS THE GREEN DEAL AND ECO NEEDED?
At a local level, the Green Deal will enable many households and businesses to improve the energy efficiency of their properties so less energy is consumed and less money is wasted. The key focus of the new energy company obligation – or “ECO” will be on those householders who cannot achieve significant energy savings without an additional or different measure of support. For example, this includes vulnerable and low-income households and those living in harder to treat properties, such as solid walled properties. A quarter of the UK’s carbon emissions comes from the energy used in homes and a similar amount comes from our businesses, industry and workplaces.