Frequently Asked Questions
Search below to find the answer to some of our most frequently asked questions.
FUNDING
- Why is funding available?
- What is ECO funding?
- What funding stream would I be eligible for?
- What funding levels could I attract?
- What is the Green Deal?
- Who can claim funding?
- Why can't I just speak to the energy suppliers myself?
- How do I apply for funding?
- Can I back-date funding?
COSTS
PAYMENT
MEASURES
APPROVED CONTRACTORS
PAS 2030
ASSESSMENTS
PROPERTY TYPES
Why is funding available?
The Government has placed an obligation on the six main energy suppliers to reduce carbon emissions across the UK. The obligation is called the Energy Company Obligation (ECO) and enforces energy suppliers to contribute to carbon savings for your schemes and projects to help tackle climate change and alleviate fuel poverty.
What is ECO funding?
The Energy Company Obligation (ECO) is a funding stream which was released at the beginning of October 2012. An annual £1.3 billion grant is available to enable landlords, private tenants and housing providers to upgrade their housing stock.
ECO funding is split into three different streams with:
- 60% going into the Carbon Emissions Reduction Obligation (CERO), targeting domestic hard to treat households in particular
- 15% going into the Carbon Saving Community Obligation (CSCO), targeting the lowest 15% income areas in England, Scotland and Wales
- 25% going into the Home Heating Cost Reduction Obligation (HHCRO), targeting the most vulnerable homes in the private sector
What funding stream would I be eligible for?
A thorough, office-based assessment takes place on specialised programs to determine which ECO area your property fits into. Our services are complex and tailored to each client and therefore we cannot indicate which stream your funding will come from until the analysis of your address and property assessment results.
The Carbon Emissions Reduction Obligation (CERO) has funding available for all homes, but specifically for Hard-to-Treat properties (HTT) and those in need of solid wall insulation (SWI). There are also a package of additional measures such as heating upgrades, glazing & draught proofing.
The Carbon Saving Communitiy Obligation (CSCO) targets private and social housing in low-income areas for community, area-based schemes. Insulation measures available include solid wall insulation, cavity wall insulation, loft insulation, district heating and glazing. There are no need for qualifying benefits for properties in a CSCO area, funding is given regardless of tenure. 20% of funding can be given to areas adjoining the target Lower Super Output Areas.
CSCO Rural utilises 15% of the CSCO funding to those on benefits in rural areas, defined as populations of less than 10,000. There are a large range of measures available, e.g. loft insulation, cavity wall insulation, solid wall insulation, replacement boilers and glazing. A qualifying benefit or tax credit is needed to be eligible for CSCO Rural.
The Home Heating Reduction Obligation (HHCRO) is measured on the reduction of notional bill savings (i.e heating) and is aimed at the most fuel-poor and those on qualifying benefits. Any measure is allowed so long as it reduces the property's heating cost (incl. boiler repairs). Qualifying benefits are the same as those for CSCO Rural.
What funding levels could I attract?
The ECO funding levels you could attract are based upon a number of different variables.
- Your property's location can determine which funding stream within ECO you are able to access. Read more about these streams here.
- The results from an EPC assessment. We arrange a survey from one of our Approved Contractors or our in-house assessors to analyse the current carbon expenditure of the property and the potential carbon savings. The level of carbon that can be saved with an energy efficient measure determines the amount of funding you will receive.
At Effective Energy, it is our role to source you the highest funding offer within the market and help you to calculate the carbon savings for your scheme.
What is the Green Deal?
The Green Deal is a nationwide, easily accessible finance scheme that benefits people living in every region of the UK. It is particularly ideal for public buildings, community spaces and commercial organisations.
Improvements are available for money saving measures such as insulation, heating and lighting without having to pay an upfront cost. The energy bill savings generated from installing energy efficiency upgrades pays back the cost of the works over a period of time, meaning that the homeowner or tenant benefits from the housing upgrade at no upfront cost. In addition to the finance upfront, the homeowner or tenant may be eligible for ECO funding towards the cost of the works, depending on what measures are carried out. The Green Deal finance plan is not a personal loan (it is attached to the property), is not means tested and there is no need for a credit history check during the application process.
Who can claim funding?
ECO funding is available to private home owners, private renting tenants, social housing tenants, local authorities, commercial buildings, charities, contractors and manufacturers. It is our role to help you access the funding and advise you on your eligibility.
Why can't I just speak to the energy suppliers myself?
You can - however this is usually time consuming and does not always offer an impartial advisory service. It is our role to draw upon our good relationships and ensure that we speak to the six major energy suppliers for you to get you the best offer in line with market funding rates. We usually have higher funding levels than the energy suppliers themselves as we can shop around for your rates. In addition, not all schemes and projects deliver enough carbon for the supplier to get involved, in which case, it is our role to help smaller schemes access ECO funding.
How do I apply for funding?
It's easy – contact us to enquire.
Can I back-date funding?
All ECO funding has to be claimed within a month of completion on a property. Therefore, funding cannot be back-dated.
What is the cost of your services?
There are no costs to clients for the ECO funding that we provide, our fees are paid by our funding providers. We pride ourselves in offering the very best funding rates for your project at no additional charge to your works. Funding inspections and quality monitoring are all included as part of our service. You may incur costs is for assessments (EPCs for example) or when we have sourced you one of our local Approved Contractors. This will be a cost for the installation of certain higher-cost measures such as external wall insulation or micro-generation. In some cases, lower cost measures such as cavity wall and loft insulation can be fitted free of charge depending on the funding levels we can attribute to cover this measure cost.
What are the payment terms for funding?
This varies depending on who the client is, a contractor, a housing provider, or a manufacturer. We aim to pay funding to our clients as quick as possible once all the relevant information has been received. Depending on the client, it can be within a 30 to 60 day period once the works have been submitted and completed. This is something that we will agree with you in principle before the works go ahead.
How is funding paid?
Funding is generally paid by BACS.
What measures qualify for funding?
Please see our list of eligible measures.
How do you procure your Approved Contractors?
Each of our Approved Contractors have undergone an in-depth pre-qualification questionnaire assessing health and safety, quality, customer care, financials and more. We also have a detailed induction process whereby each contractor is fully monitored by our Operations Team to ensure they are working to the highest standards expected by you, the client.
What is PAS 2030?
PAS 2030 (Publicly Available Specification) provides guidance on installing, managing and providing energy efficiency measures in existing buildings. Installers of energy efficiency measures under the Green Deal and ECO will need to be PAS 2030 accredited in order to access funding. It also recommends the most appropriate ways to manage installation processes and providing services to the customer before, during and after installation and may also be of interest to others, including Green Deal Providers. PAS 2030 provides a robust and common specification that demonstrates compliance, as well as ensuring that the energy efficiency measures installed meet customer expectations.
Why do I need an EPC assessment?
Effective Energy can provide EPC assessments through our EPC Assessors (as part of our technical inspections) in compliance with Ofgem for all the grant funding we provide. This service follows the inspection process set by Ofgem. We are positioned to provide EPCs on a national basis to fulfil ECO projects and we are working hard to facilitate schemes with full delivery - including supplying RDSAP assessments.
RDSAP was introduced in 2005 as a lower-cost method of assessing the performance of existing dwellings by determining carbon emission levels. They generate an Energy Performance Certificate (EPC) using government-approved software. The assessment is based on the construction, type of dwelling and relevant fittings (heating systems, insulation or double-glazing, for example). Reduced Data SAP (RDSAP) assessments have become the latest significant requirement within ECO and Green Deal.
What is classed as a Hard-to-Treat property?
Hard-to-Treat cavity wall properties are defined as:
- Too high, more than three storeys tall
- Unsuitable for standard fill
- Narrow cavities that are less than 50mm wide
- Prefabricated concrete constructions systems with cavities
- Metal frame construction systems with cavities
- Uneven cavities formed in walls constructed of natural stone outer leaf and block/brick inner leaf
- Timber frame uninsulated studwork cavity (also has a masonry cavity, which must not be filled)
- Exposed to severe, wind-driven rain
- Substantial remedial works required
Effective Energy Solutions Ltd
Carriage Court, Welbeck Estate, Worksop,
Nottinghamshire, S80 3LR
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