The Department of Energy and Climate Change (DECC) has announced details of a new release of the Green Deal Home Improvement Fund (GDHIF).
From 10 December, DECC will make up to £30 million in vouchers available to help homes fund energy efficiency improvements. New applicants will be able to claim up to £5,600 on eligible energy saving measures which include double glazing, solid wall insulation, energy-efficient boilers, cavity wall and floor insulation.
The fund has been divided up into two categories with £24 million set aside for solid wall insulation and £6 million made available for two measures from a list of home improvements under the scheme.
Under the GDHIF domestic energy customers are eligible for up to £4,000 for solid wall insulation, up to £1,000 for installing two measures from an approved list, £100 refund on the Green Deal Assessment cost, and up to £500 more if applying within 12 months of buying a new home.
Energy and climate change secretary Ed Davey said: “This fund is a big success story for the Green Deal – helping thousands of people improve their homes so that they’re warmer, greener and cheaper to run.
“The best way people can cut their energy bills, this winter and every winter, is to improve their homes so that they leak less heat and use less energy. That’s why we’ve increased the funding available for the Green Deal to help even more people start saving money sooner.”
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Importantly, the government has revealed that it expects to announce details for new GDHIFs on a quarterly basis, with the next fund expected to be announced in February 2015. The funding for which will come from the £550 million that the government has set aside to boost household energy efficiency over 2014-17.
DECC claims that the GDHIF will help create job opportunities in the energy efficiency sector and help support the 1,100 Green Deal registered businesses operating under the scheme.
In July this year, DECC abruptly closed the initial GDHIF due to “overwhelming public demand” which saw over £60 million of GDHIF vouchers applied for in just over two days. The energy efficiency sector reacted angrily to the sudden closure, describing it as a “setback for the industry”.
Reacting to the new GDHIF details, Richard Twinn, policy and public affairs officer at the UK Green Building Council, said: “Full marks to government for listening to industry and making sensible changes to the fund.
“A more robust application process is likely to result in fewer speculative applications and prevent the feeding frenzy witnessed last summer. Ring fenced funding will also stop the fund being completely swallowed up by the most expensive energy saving measures.
“However, this is still a finite pot of funding that will create uncertainty for both householders and industry when it inevitably runs dry,” added Twinn.
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