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Steps to Green Deal

Energy Company Obligation (ECO)

What is the Green Deal?

Through the Green Deal (GD) you can get a range of energy efficiency measures installed in your home at no upfront cost. The GD Plan is a new type of unsecured, low interest loan, whose repayments do not exceed savings and are added to your electricity bill. GD measures include:

  • • Double or secondary glazing

  • • Loft insulation or flat roof insulation

  • • Solid wall or cavity wall insulation

  • • Underfloor insulation

  • • New condensing boiler with flue gas heat recovery

  • • Upgraded heating controls, e.g. thermostatic radiator valves, thermostat and programmer

What are the steps to getting a Green Deal?

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1 An assessor visits your home/property to see what improvements can be made to give energy bill savings. Improvements and potential savings are summarised in a GD Assessment Report.

2 The Assessment Report can be taken to a GD provider. You can discuss with them what work you want done and whether the GD is right for you. A list of GD Providers can be found at the GD Orb: www.greendealorb.co.uk

3 To go ahead with improvements you must sign your GD Plan – this financial arrangement is a contract between you and the provider stating what work will be done and costs. The provider can arrange a GD installer to do the work who must be accredited with the GD tick.

4 After the work is done, instalments are paid through the electricity bill. The pay back time depends on the work carried out and amount borrowed.


What is the Energy Company Obligation (ECO)?

ECO is a grant; different from the GD as it isn’t repaid. There are three ECO funding strands which the six biggest energy companies (Southern Electric, British Gas, EDF, Scottish Power, nPower and E.on) are required to contribute to. ECO strands are:

• ‘Affordable warmth’ provides support to low income and vulnerable households least able to heat their homes. It covers measures to improve thermal performance and reduce fuel bills including new heating systems and basic insulation measures, e.g. cavity wall and loft insulation.

• ‘Carbon reduction’ works alongside the GD to provide additional support for ‘harder to treat’ houses, e.g., solid wall or off gas network properties where it may not be possible to fund energy efficiency improvements through GD alone. Households may receive measures funded by Green Deal finance and ECO.

• ‘Carbon saving communities’ targets households in specified UK areas focusing on low income households/areas, ensuring properties receive energy efficiency measures, e.g. solid wall, loft and cavity wall insulation.

More information can be found here.


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'Quick guides' on the Green Deal can be found here.