Big Bright Star

Care and Repair Conference
SSE Energy Solutions – 03 May 13
Dave McEvoy
ECO - Green Deal
Why are energy companies here?
Why is funding available?
What is Energy Company Obligation (ECO)?
• Energy Company Obligation (ECO) is a scheme
launched by the UK Government, who say “it will focus
energy companies on improving the ability of the
vulnerable and those on lower incomes to heat their
homes affordably”.
• ECO tackles existing domestic homes and in particular
the more expensive measures such as solid wall
insulation and hard to treat cavity walls.
• ECO is also designed to target bill savings of those on
certain benefits. This allows us to give products and
services to this group.
Why are we here?
• The Government’s new Energy Company Obligation
means that SSE will pay for and install energy efficient
gas boilers and provide insulation into the homes of
people currently claiming qualifying benefits.
• Best of all, in most cases, this is completely free. Visit our
stand to learn more about Affordable Warmth. This part is
the Home Heating Carbon Reduction Obligation
(HHCRO) of ECO, see next slide
ECO Targets
Home Heating Cost Reduction Obligation (£4.2bn of
lifetime cost savings).
Requires energy suppliers to provide measures which
improve the ability of low income and vulnerable
households (the ‘Affordable Warmth Group’) to affordably
heat their homes. A heating qualifying action is the
installation of a measure that will result in a heating saving;
including the replacement or repair of a qualifying boiler.
Affordable Warmth – next slide
Renewable Energy Grant
Do you receive any of the following
With an income of £15,860 or less
Receiving guaranteed or savings.
has an income of £15,860 or
less and has
And Support Allowance
Child under the age of 16, or
in receipt of a disability element or
aged 60 or over.
Or one of the following
And Support Allowance
Receiving a work-related activity or
support component,
Plus one of the following
A pensioner premium, higher or
enhanced pensioner premium
A disabled child premium
Income- based
Job Seekers Allowance
may be
Entitled to Heating &
Insulation for FREE
Child tax credit which includes a
disability or severe disability
Enhanced disability premium or severe
disability premium
Income Support
Child under the age of 16
0800 975 3342
ECO Targets (HOW MUCH? And MORE)
ECO funding is divided between two targets:
• i - carbon saving, which includes a carbon saving communities sub target
• ii - affordable warmth.
The proportion between these two targets is approximately 75% carbon
saving 25% affordable warmth.
DECC’s split in terms of cost is estimated at:
• £760m/yr Carbon Saving- CERO
• £190m/yr Carbon Saving Communities - CSCO
• £350m/yr Affordable Warmth - HHCRO
The Carbon Reduction Target (all above) has been estimated at £1.3 billion,
an amount described by energy companies as conservative. Please
remember that as more is paid / tonne of carbon, energy bills will increase to
offset the costs to the bigger energy firms
ECO Targets
Carbon Emissions Reduction Obligation (20.9 million
lifetime tonnes of carbon dioxide).
Focusing on hard to treat homes and, in particular,
measures that cannot be fully funded through the Green
Deal. Solid wall insulation and hard-to-treat cavity wall
insulation are the primary measures that the Government
intends to be promoted under this target. Other insulation
measures and connections to district heating systems are
also eligible if they are promoted as part of a package that
includes solid wall insulation or hard-to-treat cavity wall
ECO Targets
Carbon Saving Community Obligation (6.8 million
lifetime tonnes of carbon dioxide).
Focusing on the provision of insulation measures and
connections to district heating systems to domestic energy
users that live within an area of low income. This target has
a sub-target, which states that at least 15% of each
supplier’s Carbon Saving Community Obligation must be
achieved by promoting measures to low income and
vulnerable households living in rural areas.
SSE – What else is available?
SSE Energy Solutions / Home
Services / SMART Services
Heating Homes Off gas Grid areas
(Delivery issues)
(rising costs)
Solid Fuel (hard work)
Renewable heating can save
Comfort levels through the
Easy controls
Examples of Renewable Energy (David Smith)
The Smart Services Offering
– An interactive, bespoke energy efficiency review of your home with personalised
– A tariff review and independent price comparison
– A bill health check and guidance to help you understand your bill and what you’re
paying for
– A visual check of your home to identify areas where you could be more energy
– Advice on energy products and services
– A ‘smart plan’ covering all aspects of the visit
– The conversation is all about the customer’s agenda
Example locations in
Green Deal – Private and
Social Tenants
Green Deal
• Green Deal is described by DECC as the Coalition Government's
initiative to support the implementation of energy efficiency measures
to households and businesses without upfront costs.
• Bill payers will be able to get energy efficiency improvements without
having to front up the cash. Instead, banks and lending institutions
(Green Deal Finance Company) will provide the capital, getting their
money back via the energy bill. (Note not all fuel poor will get help).
• RSL’s / local authority may be able to provide information on this to
private home owners in between housing stock, factored or part
Green Deal Rules
• 1. The expected financial savings must be equal to or greater than the
costs attached to the energy bill, known as “the golden rule" of the Green
• 2. The measures must be approved and the claimed bill savings must be
those accredited through this process.
• 3. The measures installed must have been recommended for that property
by an accredited, objective adviser who has carried out an assessment.
• 4. The measures must be installed by an accredited installer.
• 5. For householders, the Green Deal provider must give appropriate advice
within the terms of the Consumer Credit Act and take account of the
individual circumstances of the applicant.
Green Deal and Social Tenants
• Tenants can ask for Green Deal measures but the RSL
will have to give permission to complete
• If the RSL wants to use Green Deal to upgrade (the
tenant pays through their energy bill) then permission will
be required from the bill payer (if flats then all tenants will
have to agree)
• New tenants will have to be informed in advance if the
property has a Green Deal loan against the home
• You should provide tenants with a EPC (in Scotland with
the recommendations report attached)
• Tenants can still move their energy supplier, the
repayment will just move to that new supplier
Raigmore Community Project - EWI
• Project management of the installation of a range of energy
efficiency measures to just under 100 houses in the Raigmore area
of Inverness.
• The two property types on the project were Wimpey No Fines and
Swedish Timber, and installation of external wall insulation has
dramatically improved the aesthetic appearance of the properties.
• In Raigmore measures were installed on behalf of individual
homeowners, providing more of a challenge that working with a local
authority or housing association.
Raigmore Community Project (cont.)
Wimpey No Fine House
Raigmore Community Project (cont.)
Swedish Timber House
Housing Providers / Council /
Private Home Owners / Tenant
What Do I Get / Need to Do?
SSE – Dedicated Offers
• A dedicated SSE Operative to discuss your options
• Up to date information on changes to Green Deal (ECO)
• Work with a registered and experienced installer
• Funding requests will be made automatically for you
• Initial proposals completed with costs (if any) for
• Full compliance with ECO and carbon reporting
• Peace of mind by working with a FTSE top company
• A dedicated SSE Operations Manager on site
• Other SSE offers (e.g. Retail / Energy)
SSE Energy Solutions – Your
Route to Funding / Improvements
Dave McEvoy (07921 069785)