Summary of updates to the Green Deal policy on 11 June 2012

Following the press release from Ed Davey on the 11th June a number of updates have been made to the Green Deal, as summarised below:

It is now required, in addition to the consultation proposal, that Green Deal Assessors make the following declaration to customers ahead of making an assessment visit:

• Their status (whether they are independent or tied in any way to a Green Deal Provider)
• What payment they are receiving for carrying out that assessment (including any commission). See page 15

Concerns over cold calling mean that restrictions have been put in place. Green Deal participants are required to respect no cold call requests, whether face to face, by phone, electronic communication, or if ”No Cold Call” stickers are displayed. See page 16

To avoid mis-selling it is now required that if a lower than average energy user wishes to take out a Green Deal finance, the Green Deal Provider must obtain a written acknowledgement that they are aware that, based on their energy use, the Green Deal charge may not be fully offset by their energy savings. See page 16

The interest rate structure in the domestic sector will be restricted to a fixed rate. However, in order to allow Green Deal Providers and customers to attach more finance at the outset DECC are proposing to allow Green Deal Providers the option to increase the whole charge by 2% a year, in line with the Bank of England inflation target. See page 18

DECC have confirmed that companies will no longer have to hold warranties for new green technologies installed under the scheme for the full 25 years of a Green Deal Plan. DECC said it would maintain "robust minimum standards of protection for consumers, including 25 year warranties in the case of wall insulation", but agreed that 25 year warranties for all technologies covered by the scheme were not feasible. See page 20

ECO will deliver carbon savings and heating cost reductions in line with the indicative 75:25 split – with expected investment from suppliers to deliver on their targets at £1.3bn per annum. Following consultation, this will now be delivered through three obligations on Affordable Warmth, Carbon Saving Communities and Carbon Savings. See page26

RdSAP has been revised as part of the continuing improvements of the methodology for energy assessments and to support the delivery of Green Deal policy

A draft methodology and associated documents for Green Deal assessments in domestic properties have been made available

List of in-use factors published on page 8, in order to ensure that finance for the Green Deal takes in to account the potential difference between tested energy efficiency performance in the lab and actual performance in the home.

Final list of measures that qualify for Green Deal finance listed on page 11. Microgen technologies have made it in.

Questions remaining:

1. Question over whether GD interest rates will allow final list of measures to be deployed or will restrict things to insulation
2. Ed Davey confirmed that later in June the government will release a second tranche of more minor Green Deal statutory instruments and bring forward a Green Deal Code of Practice and modifications to energy licenses and codes. What changes will be introduced here?

Existing housing