Your guide to the Energy Company Obligation (ECO) How we can make it work for you. A5_ECOguide_AW.indd 2 24/10/ :04

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1 Your guide to the Energy Company Obligation (ECO) How we can make it work for you A5_ECOguide_AW.indd 2 24/10/ :04

2 Energy Company Obligation guide 2 Your ECO Partner The current Carbon Emissions Reduction Target (CERT) and the Community Energy Saving Programme (CESP) are due to end in ECO takes over as the programme designed to address energy efficiency in the domestic sector. We ve been working with registered housing providers for over a decade. Under CERT and CESP, we ve formed great relationships with local housing partners and contractors to develop projects that benefit local communities to save money and reduce carbon dioxide (CO2) emissions. As experts in the field we ll work with you and your tenants to help stop your homes from wasting energy, combat fuel poverty and bring communities together to make them a better place to live. A5_ECOguide_AW.indd 3 24/10/ :04

3 3 Energy Company Obligation guide ECO ECO is a new programme designed to tackle fuel poverty and reduce Britain s domestic energy consumption. ECO sets out to achieve the objectives of reducing domestic carbon emissions and alleviating fuel poverty. It comprises of three elements; Affordable Warmth, Carbon Saving Communities and Carbon Savings. The measures included in ECO will change slightly from the CERT and CESP programme. Whilst CERT mainly focussed on cavity wall insulation and CESP on solid wall insulation for vulnerable communities, ECO will mostly focus on hard to treat properties with energy efficiency measures. This will help more deprived areas and disadvantaged customers, with a long-term commitment through to A5_ECOguide_AW.indd 4 24/10/ :04

4 Energy Company Obligation guide 4 ECO Before After Affordable Warmth Designed to help make heating more affordable for low income and vulnerable households. Affordable Warmth focuses on cavity wall, loft insulation and heating systems. This could include new A-rated energy efficient boilers, central heating systems and heating repairs. Households will need to be on qualifying benefits to get the work done. Affordable Warmth is open to homeowners or private rented homes, but excludes social households. Carbon Saving Communities We have a carbon saving commitment to help reduce fuel poverty. We ll work within local communities similar to our current CESP community programmes targeting the most deprived areas. Measures are all insulation, including solid wall insulation, cavity wall and loft insulation. This will be open to any household and will also include help for rural communities who are in receipt of certain qualifying benefits. A5_ECOguide_AW.indd 5 24/10/ :04

5 5 Energy Company Obligation guide ECO ECO will help make heating more affordable for vulnerable customers, target insulation needs in the most deprived areas and help make hard to treat homes more energy efficient. Carbon Savings Funding under Carbon Savings will focus on solid wall insulation or hard to treat cavity walls. Once one of these gateway measures is done we will be able to offer secondary insulation measures such as loft insulation. For solid wall properties this will be external wall insulation and where this is not suitable (e.g. due to planning approval, access, aesthetics etc) internal wall insulation will be considered. It is suggested that to be eligible for ECO, more than 50% of the external walls will need to be insulated. So what do we mean by hard to treat cavities? This applies to cavities which are non standard such as narrow cavities less than than 50mm or cavities like, random stone walls, high rise and non standard construction such as concrete or metal framed buildings. Carbon Savings will be open to eligible properties both social and private households. A5_ECOguide_AW.indd 6 24/10/ :04

6 Energy Company Obligation guide 6 Green Deal Green Deal Green Deal aims to encourage households to install energy saving measures by removing the obstacle of paying the upfront cost. Through the provision of a loan that is tied to the house, not the occupant, the loan is repaid through the customer s electricity bill. Green Deal providers will organise the survey, funding and installations, either directly themselves or in partnership with other organisations to approved standards. Properties will need to have an energy survey to get an Energy Performance Certificate (EPC) that highlights potential energy saving measures. The Golden Rule The Golden Rule states savings on energy should always be greater than or equal to any Green Deal payments. So where the payments are greater than the savings, ECO may be used to subsidise the installation so that the Golden Rule is met. Energy companies will collect the loan repayments as part of the electricity bill on behalf of the Green Deal providers. As the loan is tied to the property, only professionally installed energy saving measures that are fixed to the house will qualify. Customers will be able to choose which options they wish to proceed with from the recommended energy saving measures listed in the EPC, provided they meet the criteria of the golden rule. A5_ECOguide_AW.indd 7 24/10/ :04

7 7 Energy Company Obligation guide CAN Carbon Action Network Sponsored by E.ON The Carbon Action Network (CAN) is a non profit organisation supporting local government officers with a remit for reducing all aspects of the UK s domesticsector carbon footprint and tackling fuel poverty. We re looking for partners Not sure how to get the most from ECO? Contact us now to find out more about what we can do to meet your ECO needs and to talk to us about your energy efficiency programmes For more information ECO@eonenergy.com Visit our website eonenergy.com/savingenergy The Network s core activities offer members a voice to government, free quarterly magazine, website and distribution of information. Membership of the Network is free to anyone working or interested in the fields of domestic energy efficiency and fuel poverty. To become a member, or for more information; Visit: A5_ECOguide_AW.indd 8 24/10/ :04

8 E.ON Energy Solutions Limited. Registered office: Westwood Way, Westwood Business Park, Coventry, CV4 8LG. Registered in England and Wales No SE/054/12 A5_ECOguide_AW.indd 1 24/10/ :55