‘Such high take up in so short a period of time proves that offering people incentives to invest in energy efficiency works,’ he said. ‘People need some financial incentive to encourage them to make the initial investment in this technology, especially now, and the response in the first couple of weeks of this initiative proves that if this is available the public will be willing to come on board.’
Wright continued, ‘This momentum should be built upon by offering cuts in council tax and business rates for properties that have a Green Deal Plan in place. Offering a cut of £100 a year in council tax on top of what people could save on their energy bills would be an attractive sum for anyone.’
Wright also called for a reduction in the interest rates on Green Deal Loans, saying, ‘At the moment, active measures, such as solar PV panels, aren’t fully covered by the Green Deal. This is a mistake as this this particular method of saving energy requires a substantial initial investment which is recouped over a longer period. By bringing FiTs under the Golden Rule solar panels would be more affordable and allow thousands of homes and businesses access to their economic and environmental benefits.’
Wright added, ‘In addition, I believe the government should reduce the level of annual interest on the Green Deal Loans, as the current rate of seven per cent a year is too high. Two per cent, in line with the German equivalent of the Green Deal, would be a lot better for consumers considering a Green Deal Loan.’
He concluded, ‘The Green Deal is now more than 18 months old, but, despite the positive news around the GDHIF, take up has been poor. The government needs to take urgent action if it wants this initiative, which it billed as its flagship energy efficiency programme, to succeed. Incentives and sensible finance are the solutions to low Green Deal take up, and this is what we need to see.’
