Out-Law News 2 min. read
09 Aug 2012, 9:16 am
In an update on the Government-backed guarantee scheme at a business summit in London, Treasury Secretary Danny Alexander said that support for the Green Deal under the scheme could "help ensure that the finances are in place to get the programme off to a very strong start".
"Our early action to get a grip of the public finances is allowing us to support up to £40 billion worth of UK infrastructure investment by putting out hard-won fiscal credibility behind major projects," he said. "Already we have had over 30 expressions of interest in the UK Guarantees scheme and we continue to receive more on a daily basis."
The announcement came as registration opened for 'Providers, Assessors and Installers' under the Green Deal, allowing them to begin the authorisation process before the first domestic projects get underway in October. The Department for Energy and Climate Change (DECC) has also authorised a £7 million loan to The Green Deal Finance Company (TGDFC), which will enable authorised Green Deal Providers to offer low-cost finance. However, the availability of funding for Green Deal schemes cannot be called upon until early 2013.
The Green Deal is a Government-backed scheme which will allow property owners to fund the installation of energy efficiency measures at no up-front cost, with the repayments met through subsequent energy bills. It will be introduced to householders from October this year; however, in April, the Government admitted that the launch for the non-domestic sector would be delayed to ensure that industry concerns about the "complex" scheme were fully addressed.
Environmental law expert Linda Fletcher said that the announcements showed that the Government was "eager" to keep the Green Deal in people's minds. However, the Government remained silent on when the scheme will be extended to commercial properties, she said.
"The announcement of the £7 million loan from DECC and the likely eligibility of the Green Deal scheme to receive support from the Government's new £40bn guarantee scheme for infrastructure projects will assist with the ability of low cost finance for Green Deal packages, which is seen as one of the key elements to the scheme being successful," she said. "However, there remains a time lag between launch of the scheme and the finance packages underpinning it."
Properties will be able to undergo assessments to consider their suitability for the scheme from the 1 October launch date, however the first loans will not be made available until January 2013.
Any company can apply to become a Green Deal Provider as long as it meets the requirements in the Government's guidance for authorised companies and passes a 'fitness test'. Assessors and Installers must be able to demonstrate that they meet the standards and must sign up to a Code of Practice by applying to one of the accredited certification bodies. Providers can apply for authorisation directly online, while the certification bodies will be able to submit the details of Assessors and Installers to be authorised.
Energy Minister Greg Barker also announced the creation of a new 'Green Deal Quality Mark', which all authorised companies will be able to display from 1 October to demonstrate that they comply with the required standards.
"The opening of the Green Deal register will enable businesses to start becoming Green Deal authorised and the Green Deal Quality Mark will show that they have met our standards," he said. "Crucially, this will protect consumers, who will know that anyone displaying the Quality Mark has been through the required process to become authorised."
