www.landlords.org.uk why does energy efficiency matter? many homes are poorly insulated appliances...

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www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently Tenants are paying more for energy than they should be.

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Page 1: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Why Does Energy Efficiency Matter?

• Many homes are poorly insulated

• Appliances are left on standby

• Thermostats are used inefficiently

Tenants are paying more for energy than they should be.

Page 2: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Average Household Faces Fuel Poverty By 2015

Energy costs have risen more than six times faster than household incomes since 2004

The average dual fuel bill has climbed 117% in the last seven years

Page 3: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Page 4: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Landlords & Tenants are often put off installing energy efficiency measures.

The Government plans to introduce the Green Deal – a finance mechanism by which households can get a package of energy-efficiency measures at no upfront cost.

The Green Deal

Page 5: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

• It is paid for by the Tenants of the home through a service charge on their energy bill

• The charge is tied to the property – so you only pay if you’re benefitting from the measures, and not if you move out

• The main criteria is that expected fuel bill savings will exceed repayment charge = ‘Golden Rule’.

How it Works

Page 6: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

The Legislative timetable

• It is anticipated that the Green deal will be launched in Autumn 2012

• Autumn 2011 – Formal consultation on secondary legislation

• Early 2012 – Secondary legislation laid before parliament

• Spring 2012 – Detailed industry guidance prepared

• Autumn 2012 – First green feels appear

Page 7: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Page 8: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Page 9: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Page 10: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Page 11: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Green Deal & Landlords

1. Visibility of a Green deal on a property at viewing/ letting

2. Cant refuse reasonable requests from tenants

Page 12: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Page 13: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Page 14: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

PV

“ A Licence to print money”

Page 15: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

The ‘license to print money’ which is the Government’s Feed in Tariff scheme is available in its current (very generous) form for only another 24 weeks. Act quickly if you want to benefit. All change 1st April 2012.

Page 16: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

British Gas

Solid Wall Offer

Page 17: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Introduction

According to the Energy Saving Trust, around 45% of the heat lost in an un-insulated solid wall home is through the walls.

Installing external wall insulation (EWI) can reduce heat loss and can save occupiers around £375 a year on their fuel bills, helping to reduce carbon emissions by around 1.9 tonnes per year for a home heated by gas (and much more for those heated by electricity and solid fuel) and alleviating fuel poverty in ‘hard to treat’ homes.

Traditionally, EWI is much more expensive to install than loft and cavity wall insulation and it has previously been seen as cost-prohibitive but British Gas can now provide a new solution to help increase the uptake in some of the most vulnerable households in your area.

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Page 18: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Which properties are suitable for external wall insulation?

Twice as much heat can be lost through an uninsulated solid wall as through an un-insulated cavity wall meaning that they are often classed as ‘hard to treat’.

If a home is of solid brick construction, the bricks will tend to be placed head-on and lengthways in an alternating pattern.

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Homes built before or around 1920 usually have external walls made from a single skin of ‘solid brick’, rather than cavity walls. In addition, many post-war system built properties are made from concrete or other pre-fabricated materials (e.g. Cornish, Wimpey, BISFs) and do not have cavity walls.

Page 19: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

What is British Gas able to offer?

British Gas will CERT fund every external solid wall measure installed in the following two categories:

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• Social housing

• Private sector housing where the occupier falls into Priority Group Flex (PGF) categories - new enhanced funding available

PGF is a private household where at least one occupant is on a set list of benefits (see slide 9)

Page 20: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

Funding for private sector households in PG Flex

Our new offer for private sector properties provides a significant amount of funding to households in receipt of the following benefits or allowances:Council Tax Benefit - Housing Benefit - Income Support - Income-based Job Seekers Allowance - Income-related Employment and Support Allowance - Attendance Allowance - Disability Living Allowance - War Disablement Pension (that includes either a mobility supplement or constant attendance allowance) - Disablement Pension (that includes constant attendance allowance) - State pension credit - Child Tax Credit (where the relevant income is £16,190 or less) - Working Tax Credit (where the relevant income is £16,190 or less)

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Page 21: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

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Funding levels – private sector (PG Flex only) Huge uplifts in funding

Typical funding levels – Based on an average 3 bed semi detached house

£3,404£3,834

£6,991

£4,280

£7,875

£0

£1,000

£2,000

£3,000

£4,000

£5,000

£6,000

£7,000

£8,000

£9,000

Gas LPG Electric Oil Coal

Existing fuel type

Fu

nd

ing

)

Full property funding amounts are contained in Appendix 2

Page 22: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

www.landlords.org.uk

How will the private sector PG Flex scheme work?

Individual households will not be able to apply directly to British Gas.

We will rely on local authority partners, managing agents and installers to help co-ordinate the scheme.

The process has been designed to be straightforward and with minimal administration.

Claims can be submitted for as little as one or two properties, so there is no requirement for minimum numbers or project size.

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Page 23: Www.landlords.org.uk Why Does Energy Efficiency Matter? Many homes are poorly insulated Appliances are left on standby Thermostats are used inefficiently

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Homework!1.Explore PV before Christmas2.Consider BG Solid Wall insulation offer3.Get ready for Green Deal