TrainRebuild: Energy Efficiency
With tenants able to demand energy retrofits from 2016 and minimum energy performance standards no later than April 2018 for private rented properties, it is vitally important landlords fully utilise the current funding which allows that to improvement the energy efficiency of their properties either for free or at no up-front cost.
To help landlords, through a project called TrainRebuild, the NLA and Royal Institute for Chartered Surveyors (RICS), as the UK’s representatives on a pan-European group of organisations have spent the last two years creating training seminars which explains:
- How to improve the energy efficiency of properties;
- What are the most cost-effective measures to install;
- How to utilise the forthcoming Green Deal and £1.3bn per year Energy Company Obligation (ECO) to minimise, if not eliminate, the cost of energy efficient improvements.
These seminars will be included in NLA Branch meetings throughout 2013
What is the Green Deal?
The Green Deal is a financing mechanism through which the cost of improving the energy efficiency of a property is repaid by whoever pays the electricity bill (called the ‘Green Deal Charge’). Importantly though, there will be no increase in the overall energy bill because the Green Deal Charge will be paid through the savings gained from the improvements. Simply put, the Green Deal will not cost either the landlord or the tenant anything.
What is the Benefit to Landlords?
Landlords will get energy efficiency improvements to their properties at no up-front cost. They may even be entitled to upgraded boilers and double-glazing. This reduces maintenance costs and research suggests that tenants stay in energy efficient properties for longer because they are cheaper and much more comfortable to live in – which reduces void periods for landlords.
What is the Benefit to Tenants?
The Green Deal on its own means that tenants will benefit from warmer properties that are cheaper to heat. Therefore, even with a Green Deal Charge attached to their electricity meter, tenants will see reductions in their fuel bills.
Note: The Factsheet says social housing tenants but it is accurate for private tenants as well.