Greg Barker Minister of State for Energy and Climate/Green Deal Web Chat – Monday 19th November 2012

A very interesting web chat today for the Green Deal.

Greg Barker Webchat on the Green Deal

(11/19/2012)

Monday November 19, 2012

10:05

DECC Team: Good morning. Greg Barker will be here at 1130, but in the meantime if you would like to send questions in advance, please do so via the text box below.

11:31

DECC Team: Hi everyone. Greg is running 5 minutes late, but we should be starting at 1135 and will finish slightly later to accommodate as many questions as possible.

11:34

Greg Barker: Hello everybody. Lots of good questions flooding in. Let’s get cracking.

11:35

Comment From Simon Pickstone I would like to ask the Minister, why, after having been ‘launched’ over 6 weeks ago, are participating companies and householders still unable to undertake energy assessments (the pre-requisite for securing Green Deal Loans)? Surely this should have been sorted out months ago?

11:39

Greg Barker: Lets be clear. The Green Deal wasnt “launched” six weeks ago. The frame work went live on October 1st to allow companies to begin getting registered as Green Deal Assessors, the real “launch” as such will be 28 January when the first consumer finance plans can go live.

11:40

Greg Barker: However as more Assessors gain creditation and Green Dealm Providers begin marketing their services we expect the number of Assessments to rise.

11:41

Comment From Sarah E-T 1. Do we have any firm ideas of the GD interest rate yet? 2. Do we know how many providers & assessors have registered yet? 3. Are there any targets for the end of the first month? 4. Sky News indicated this weekend that there had been no uptake on the cashback scheme. Do you have any comments on this?

11:44

Greg Barker: Hi Sarah, the interest rate is really important but it is not the only driver nof good value. We are working to deliver the lowest interest rate possible, much lower than typical consumer credit, and are working closely with the Green Investment Bank; but the actual rate will partly depend on the market.

11:44

Adam Vaughan@adamvaughan_uk #GBGDchat What recourse, if any, will a GD householder have if their GD charges are higher than they energy bill savings?

11:49

Greg Barker: Hello Adam There will be very strong consumer protection to guard against mis-selling, including a new Green Deal Ombudsman. Obviously, the golden rule cant be a guard against a change in behaviour or life style but the products sold must deliver their technical potential and the savings estimates for all Green Deal measures have actually been revised down further, so are on the very conservative side, to err on the side of caution. So i hope most people will be very pleasantly surprised by the savings they make, even after the finance charges are taken into account!

11:49

Comment From David Lamb When will GD Finance be available?

11:50

Greg Barker: Hello David That is an easy one. 28 January!

11:50

Comment From David Craig How long is the Green Deal likely to last? Would a change in government affect it?

11:52

Greg Barker: Hi David, Good question. This is a transformational new market for Energy Efficiency. We reckon that the huge challenge of retrofit plus the exciting growth of new cost effective measures and technologies means that the market will run at scale to at least 2030

11:52

Comment From Keith C What will cause householders or tenants to take up the Green Deal when there is no direct financial benefit to them?

11:56

Greg Barker: Hi Keith, well there will be a direct financial benefit for the first GreenDeal Customers, which is why people should get in early. The GreenDeal Cash back, recently announced by George nOsborne, could mean up to £1,000 cash for taking up a variety of Green Deal measures, on toop of the the very real annual savings we expect every Green Deal customer to benefit from. But it is noit just about cash, it is about home improvements too, increasing the value and comfort level of your home. Dont under-estimate the power of aspiration!

11:56

Comment From Chris Dawson I have not read or heard much in the Press etc about the Green Deal, what plans are there to communicate this initiative to the public?

11:56

Greg Barker: Sorry for my typing folks! it is a trade off btwn speed and typos!!

11:58

Greg Barker: For Chris’s question, we have a major PR plan for 2013 but the biggest push will come from the diverse range of Green Deal providerts themselves. Thisw is not some Soviet style statist plan, it is an exciting new market with lots of different players!!

11:58

Jessica Shankleman@JessicaBG #GBGDchat When do you expect Green Deal to take off in earnest? Will there be an influx of demand on 28 Jan? Or will it be a slow burner?

12:00

Greg Barker: This is a two decade project, We want steady growth through 2013 as the market gains confidence, systes are tested and new entrants gain confidence to roll out their models at scale. Yes we want a very positive launch but we dont want hype!

12:00

Gareth Clarke@gareth30 #GBGDchat Q: do you have a total number of qualified GD assessors and GDAS / GDAO’s to date and how many you would considered are needed?

12:04

Greg Barker: Hi Gareth New Assessors are just starting to come through now, we have paid for training for the first 1000 assessors and 1000 installers, The first 247 installers have now been accredited but many, many more in the pipe line.

12:04

Comment From Lisa Is there any guidance or regulation regarding this cost of a Green Deal Assessment and Report?

12:06

Greg Barker: This is clearly very important and we are going to be watching this very carefully but until the scheme really gets going, we wont have a good feel as it is for the market to set the most competitive rates. Any charges though will have to be declared upfront, and many GreenDeal providers are indicating they may offer them for free.

12:07

Comment From Matthew Binks Whom would be the first point of contact for a consumer wanting to take up the GD

12:09

Greg Barker: You cant go wrong with a call to our new Energy Saving Advice Service. 0300 123 1234 I have been there myself (even took a couple of calls!) but was really impressed with the breadth of knowledge and expertise of the advisers on the end of the phone.

12:09

DECC Team: We’re getting hundreds of questions through, so please bear with us. To make it easier to follow, we are only publishing the questions that Greg answers.

12:09

Comment From Teresa Gizzi How many companies have registered as Green Deal providers so far?

12:11

Greg Barker: Hi Teresa, Only just starting to clear the process which iopened on October 1st but there are 12 companies through now with many, many more in the pipeline, expected through before Christ,mas. We published new GD Provider guidance on the DECC Website today, so do have a look at that too

12:14

Greg Barker: Lots of people asking me about the Green Deal Assessor Software, including on Twitter over the weekend. It is being vaildated by the BRE as we speak and we are pressing them for this asap, as we know that a lot of you need it soon as possible, We should have it by the end of the month if not sooner

12:14

Comment From georgina Would a village hall be able to take advantage of the Green deal initiative?

12:16

Greg Barker: Hi Georgina, Absolutely! nthough it may need help with the forms! Seriously community projects are a key part of my visioin for an ambitious GreenDeal roll out and hope that many groups who took advantage of our LEAF funding will be at the the frointy of the queue for GreenDeal finance for their community buildings

12:16

Comment From Paul Chapman How will the industry be regulated to ensure consumers are not over charged for equipment, installation and interest rates? Is it down to the individual providers to set there own prices?

12:18

Greg Barker: Hi Paul, we have created a dedicated Oversight and Registration Body to govern and police the GreenDeal. But individual companies and providers will set their own prices and offers. Lots of healthy competition for the consumers business will be key to the market.

12:19

Comment From paul o reilly when does the Non_domestic green deal become available?

12:21

Greg Barker: Hello Paul, Non Domestic Green Deal for businesses, will spring to life on 28 January too, But this is a more complex market so we expect it to develop over the year. However I am really excited about thelong term potential for the Green Deal for Business to help overhaul our inefficient commercial, retail and industrial buildings

12:21

Comment From Jay SIngh As mentioned in one of your previous answers “we have paid for training for the first 1000 assessors and 1000 installers”. Who do we contact to get the benefit of this paid training?

12:24

Greg Barker: Hi Jay Fotr details of the Assessor Training please contact WWW.AssetSkills.org For Installer Training for solid wall installers please contact www.cskills.org

12:24

Comment From Sam Hi Greg, Is it possible for a GD provider, assessor and installer to operate under one business entity?

12:28

Greg Barker: Hey Sam, Yes is the answer, it can be all under the same roof but lots of different providers will offer a variety of services, some in conjunction or in partnerships with other groups or companies.

12:29

Greg Barker@GregBarkerMP Am typing as fast as I can! Still another 20 minutes to go. #GBGDchat #GreenDeal pic.twitter.com/BbmbfPuF

12:30

Greg Barker: Lots of people asking about ECO, our new measure focussed on the fuel poor and hard to treat homes Energy Compnies can already start delivering against their ECO targets already but we want to open the market up further and will be consulting shortly on the ECO Brokerage

12:32

Greg Barker: Sunday Times suggested yesterday that ECO could add £50 to consumer bills, Massively wide of the mark, we dont expect any additional cost on bills as it replaces existing schemes almost pound for pound but should deliver even more through greater competition and efficiency

12:32

Comment From Ally Will rural/hard to treat places (western isles for example) be able to take advantage of the GD?

12:35

Arnold Laver@ArnoldLaver RT @FeeHorne: #GBGDchat How will Govt ensure smaller builders/plumbers & builders merchants not squeezed out by big retailers & energy cos?

12:35

Greg Barker: Hi Ally, this is really important, Yes is the answer! Unlike CERT I specifically designed ECO to have a ring fenced pot of subsidy for rural areras and we also expect ALL Local Authorities to have a plan to offer Green Deal to their residents in every part of the country and expect the private sector to work closely with them.

12:35

Greg Barker: Sorry! that Question popped up before I had answered the last one

12:38

Greg Barker: Hello Arnold, SME’s are key to delivering the nGreen Deal. They are by far the most trusted compoanies that people want to work in their home, especially for the bigger jobs when they are going to e left alone in the peoperty to get on with it. There are several different ways in which SMEs can particiapate but i think becoming a trusted partner of the Local Authority will be a big advantage.,

12:38

Comment From Richard Adams Why would property owners want to use GD finance when there are cheaper options available to them?

12:41

Greg Barker: Hi Richard, I am all for choice! If someone has a better route to improving their home they should take it! But dont forget all the additrional protections and safeguards that come with the GreenDeal. Upfront costs remain the biggest barrier to most people taking on a major retrofit, Green Deal is about way more than just a bit of lagging, so this should be fantastic for millions of people.

12:42

Greg Barker: We are coming towards the close of this but you can always try and tweet me on @Gregbarkermp later or look at the DECC Website but lets take one more!!

12:42

DECC Team: We’re running out of time, but Greg is going to take one more question.

12:42

Comment From Helen You mentioned that energy suppliers can already start delivering on their ECO targets, but without the necessary guidance from OFGEM to ensure compliance, the reality is that this is not happening yet. Do you know when we can expect this from OFGEM?

12:44

Greg Barker: Hi Helen The ECO guidance is due very shortly but OFGEM actually wrote directly to the Big Six last week spelling out the principles of how the ECO will work and you can view it on their website now.

12:45

Greg Barker: Thanks everyone for joining in, we had a record number of peopole viewing. Sorry if i didnt get to answer your question this time but lets do this again!

12:45

DECC Team: Ok that’s it. Thanks to everyone who sent in questions and watched the event. We will take a look at all the unanswered questions and will follow up on any outstanding points as soon as possible.

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