Sustain held the event "Be Lean, Be Green - Energy Efficiency and Cost Saving in Private Residential Properties" on 7th December, in London, for a number of organisations in the private rented sector. The event was to introduce private landlords to the Green Deal due to be launched next year and the accompanying Energy Company Obligation (ECO). In addition Sustain highlighted the support currently available for energy efficiency improvements, including grant funding. The event was supported by the Department of Energy and Climate Change with Emma Bulmer giving the Government's perspective.
Key take-away points:
- Most forecasts show a continued upward trend in energy prices. DECC itself is predicting domestic gas prices to rise by 52% and electricity by 70% by 2020
- The Government is launching a new approach to domestic energy efficiency in 2012 - the Green Deal
- The Green Deal will bring about a step change in investment in energy efficiency in existing homes and will be funded via private finance
- This will bring opportunities for landlords as energy efficiency improvements will be paid for by energy bill savings of tenants
- The Green Deal will overcome the previous barrier of the split incentive with both tenant and landlord benefitting from the improvement
- It's likely that tenants will be seeking consent from landlords for Green Deal improvements and the Government is planning regulation that would require landlords to reasonably comply
- In addition to the Green Deal there is subsidy for hard to treat and fuel poor homes via a new Energy Company Obligation (ECO)
- The Government is currently consulting in detail on the proposals (closes January 18th) and it will be important to highlight specific issues relating to the private rented sector that could pose barriers to uptake - for example leasehold law frequently came up in discussion
- Sustain would welcome an ongoing dialogue on these issues and as further details emerge closer to launch
- There is also considerable help available now for private landlords and grant funding that may not exist after 2012
- We would urge all private landlords to act now as well as weigh up the future policy proposals. Contact Sustain for more information.
Please follow these links below to access the presentations
- What will the green deal and ECO mean for private landlords - Rob Knight, Sustain
- The Green Deal - Emma Bulmer, DECC
- Be Lean Be Green Today - Katie Swain, Sustain
