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Boiler Replacement & The Green Deal

How Does the Green Deal Work?

Under the Green Deal, the government will offer loans to any UK home or business wanting to make energy efficient improvements to their property. The loan can be taken for up to 25 years and is added to the property's utility bills. The debt stays with the property, so when an occupant moves, the new owner or tenant will take on the repayments. There is a Golden Rule which states that expected savings over 25 years must be equal to, or higher, than the initial cost of installing the energy efficient device.

How do I go about Getting My Boiler Replaced Under the Green Deal?

Once the Green Deal goes live, potential candidates will be visited by a Green Deal Assessor, to be known as a GDA, who will produce a Green Deal Report. During this assessment the GDA will calculate the effectiveness of your current boiler and compare it against modern boiler systems.

Boilers are rated in their efficiency from A to G. Older boilers usually fall in the C to G category because while they may burn fuel effectively, hot gases often escape up the flue which causes the loss of heat.

A rated boilers are condensing boilers which send cool gases up the flue to prevent this happening. As a result, more of the heat is retained in the boiler itself and can be used to heat a property.

It is estimated upgrading to an A rated boiler from a G rated one saves around £300 a year.

If the GDA finds a higher category of boiler is available, they can begin the process of arranging the finance and overseeing the installation of the new boiler. Once the report is complete, the resident is welcome to shop around to get the best quote possible or they can leave it all to the GDA.

The government has not yet confirmed whether the GDA's initial report will attract a fee.

Whilst the Green Deal has yet to be officially launched, it looks set to dramatically change the energy industry in this country in the coming years.