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CHANGES TO THE GREEN DEAL CASHBACK SCHEME

Mar 18, 2014   //   by CK   //   Green Deal Cashback, Green Deal Update, New and Views, Newsletter  //  No Comments

Announcement from Green Deal:

DECC recently announced several changes to the existing Green Deal Cashback Scheme (operating in England and Wales) which rewards consumers for taking action to improve the energy efficiency of their homes through the Green Deal. These changes were the result of feedback we’ve had from industry and consumers on how the scheme could be made more attractive to increase energy efficiency in households.

A quick recap of the changes :

The scheme will be open for new applications until 30 June 2014. Vouchers will have a validity period of three months, or six months for Solid Wall Insulation ( SWI). However, all work must be completed and vouchers redeemed by 30 September 2014.
The rates have changed for some items: Eg, SWI changes from £650 up to £4000. These new rates will apply to applications made or redeemed on or after 13 December and the Cashback Administrator will contact people affected by this.

We have increased the customer’s contribution cap from half to two thirds, bringing more households within reach of the maximum cashback rates for each measure.

For customers who do not want to take out a Green Deal Plan to make energy efficiency improvements we are removing the requirements for Guarantees and Insurance Backing for all measures except for cavity and solid wall insulation.

Customers will not be able to claim cashback for packages of measures that include a contribution from Green Deal Communities schemes, and from April 1, customers will not be able claim cashback for packages of improvements that include an ECO contribution

WHY THE CHANGE TO BLENDING ECO AND CASHBACK?

DECC wants incentives to drive a greater uptake of energy efficiency measures than would otherwise be the case, and ECO companies already have ECO targets which they are obliged by law to meet. It is important that ECO costs are no higher than they need to be. The changes to ECO proposed in December, which we are now consulting on, will reduce costs to the energy companies.

By keeping the funding streams separate , we avoid the possibility that cashback simply represents taxpayer subsidy of what the energy companies would be doing anyway, reducing their costs still further without producing any additional benefits to households.

WHAT WILL THIS MEAN FOR PROVIDERS?

We intend to make changes to the Cashback Customer Terms and Conditions to reflect the changes in eligibility criteria, and we will write to Providers shortly regarding potential changes to the Provider Terms and Conditions.

Cashback vouchers are already based on the customer’s contribution costs excluding any ECO discount applied, and based on the quotation that the Provider gives to the customer for the work.

Changes to cashback apply to the Cashback Terms and Conditions only. The arrangements between Energy Suppliers and Providers regarding ECO is a matter for them.

WON’T THIS CHANGE MAKE IT CHALLENGING TO ENCOURAGE MORE COSTLY IMPROVEMENTS SUCH AS SOLID WALL INSULATION?

We have revised the rates of cashback on offer to better reflect the costs that customers incur in installing measures and as such we expect the increased SWI rates will make it more attractive to consumers, especially as part of a Green Deal finance plan.

For example: ( all costs are illustrative)

Cost to install SWI £7000

Cashback available ( up to max of) £4000

Difference £3000 which can be paid for through a combination of a Green Deal Plan and/or savings or other finance routes.

ECO and Green Deal Work Leads

Dec 24, 2013   //   by CK   //   ECO Work Leads, Energy Company Obligation, New and Views, Newsletter, Uncategorized  //  No Comments

Energy Company Obligation ECO LeadsDue to the increased demand for qualified ECO (Energy Company Obligation) leads, QMSA are due to launch a new website and solution for Installers early 2014.

The feedback from our customers has been that other lead generation firms are selling leads to multiple businesses, not qualifying information, and that by the time they recieve their weekly spreadsheet many leads have already died on the vine.

freeboilerinstallers.co.uk will be used to deliver qualified leads to our businesses as quickly as possible enabling you to arrange for assessments to take place and jobs to be put forwards for ECO funding.

The new initiative will also cover general boiler enquiries and breakdown and provide a free listing to Installers which will increase the profile of your business, helping our customers to win work.

With a new hotkey solutions and SMS messaging, you can receive qualified live leads on the phone and speak directly to the homeowner/tenant to arrange for a survey, meaning ECO work leads from freeboilerinstallers will be valid and current.

The system is currently being developed and will be ready early 2014 once the funding providers begin to fulfill their new quotas for ECO funding, existing QMSA customers can pre-register now and will be listed for free once the new system goes live, receiving an additional special offer for early registration…

http://freeboilerinstallers.co.uk/business-registration/

Thanks,

QMSA

 

Andy’s Christmas Speech! – the year ahead

Dec 23, 2013   //   by CK   //   ECO Scheme, Green Deal 2014, MCS Scheme, New and Views, Newsletter, Uncategorized  //  1 Comment

Andy on ECO Green Deal PAS2030 and MCS

A look over the year, and what to expect in 2014

Well, it’s certainly been an interesting year!

Green Deal launched, and unfortunately didn’t really hit the ground running, and although many thousands of green deal assessments have taken place, conversions to actual Green Deals has been incredibly poor, with 400 looking like an optimistic figure for the whole year, which is a long way from Greg Barkers forecast of 10,000.

MCS has also been on the downward slope of a roller coaster ride this year. With a mass exodus of approved installers not renewing their membership, particularly in the PV market, it’s not gone the way industry would have hoped. Couple this with the uncertainty of the renewable heat incentive which has been yearned for to bring understanding to the  market around Solar thermal, heat pumps and Biomass, and we have a sector which is far from stable.

Then we have ECO (energy company obligation). For many businesses whom have had any involvement around this sector, this has been a lifeline for economic stimulus, and has kept the wheels turning in the absence of other schemes, however, it has been far from a bed of roses. Like many new initiatives which look to bring work volume, consumer demand and high profitability, it tends to attract Sharks, and this has been no different.

Managing agents with little or no knowledge of industry, picking up a PAS2030 ticket, and then subcontracting out to installers, paying low rates and delivering poor work. Add to this the huge problems which have existed in the effective gathering of evidence and the submission of data to the energy company, and its been hard work, not to mention that its being reviewed at the beginning of 2015 anyway, which would raise the question as to whether it is really worth getting involved for such a potentially small window.

So more of the same for 2014…..

In my opinion (for what it’s worth) is that 2014 could be a defining year and hopefully a more progressive view for all of us.

In terms of green deal, clearly it hasn’t been as successful as we would have hoped, but its now moving forward and all the indicators are moving in the right direction.
The green deal installer database is slowly growing, The number of assessments taking place is in growth, and more green deal providers are now in a position to deliver a full green deal.

The autumn statement has pledged commitment to keep moving it forward, recognise its shortcomings, address them, and improve accordingly, a genuine opportunity.

MCS has more certainty around the renewable heat incentive which is already bringing interest from installers and we are seeing more businesses looking for mcs approval with heat pump, thermal and biomass measures which is encouraging.

ECO has been stretched and will now operate until 2017, and the sharks I spoke of are up in arms and already looking for their next ‘scam’, as it is no longer a get rich quick scheme for the rogue traders out there.

All the signs as I see it, are starting to shape our industry in the right way, and bring us what we really need, which is stability and longevity.

For those businesses (which includes us) who have been sitting on the fence, wondering which way to turn whether to make a decision at all, now we are all in a position to be more positive.

If you have been considering going down the green deal route to deliver green deal and ECO, but holding off for more certainty, I would say there is as much certainty as there will ever be, so Go for it !!

If you are considering MCS as a way forward, particularly with heat producing measures, there is more stability now, and I would say Go for it !!

Lets all have a great Christmas and hit 2014 with positivity and look forward to a great new year !

Merry Christmas to all

Cheers

Andy

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