The Green Deal is a new government backed scheme which will help residents in the UK finance energy efficiency improvements in their home. The Green Deal is due to be launched in October 2012. Upon announcing the initiative, Chris Huhne, Secretary of Energy and Climate Change, claimed that the Green Deal would also dramatically increase the number of jobs in the energy sector from 27,000 to nearly 250,000.
The Green Deal Explained
The Green Deal will provide a loan for any residential or commercial property in the UK whose owner wants to install energy saving devices such as double glazing or loft insulation. The repayments will be added to the property's electricity or gas bill and paid in installments determined by the amount of energy saved. However, the Green Deal is unique in the fact that the debt does not remain with the individual, but with the actual building. Therefore, if a person moves out, the next occupant will carry on paying off the debt as they will be the ones reaping the rewards from the energy saving device. Loans can be paid back over a period as long as 25 years and repayments cannot exceed the saving that has been made in any set period. This means residents should not see an increase in their utility bills despite the added repayment figure.
Double Glazing and the Green Deal
The air between double glazed windows acts as an insulator and, therefore, keeps more heat in the house than single pane windows. This means homeowners have to use less heat to keep their houses warm. As a result, double glazing is classed as an energy saving installation and will qualify for the Green Deal. Anyone who wants to have windows installed under the deal will be visited by a Green Deal assessor who will produce a report to judge whether the property could save money with double glazing. In the event it does, which is almost certain for properties with single pane windows, the GDA can then arrange for the installation of the windows by a qualified company and will also arrange the funding.
Whilst the Green Deal has yet to be officially launched, it does promise to help those who cannot afford pay for energy efficient devices upfront. The Green Deal will not only satisfy the government's desire for Britain's homes to become more environmentally friendly, but will also boost the economy by creating more jobs. Of course, only time will tell how successful the Green Deal will be, but at this moment is does truly look to be the real deal.