ECO Carbon Emissions Reduction Obligation (CERO)
The Carbon Emissions Reduction Obligation (CERO) (formerly the Carbon Saving Obligation) is a scheme within ECO designed to help households pay for solid wall and hard to treat cavity wall insulation.
Get grants to help pay for solid wall insulation
There will be funds available through the ECO that will not be means tested. These funds will be directed at homes with hard to treat cavity walls and solid walls through the Carbon Emissions Reduction Obligation. A lot of the housing stock in Britain is old, which means that they typically have these kinds of walls. Not only are they energy inefficient and therefore expensive to heat, they are harder and therefore more expensive to insulate (either internal or external solid wall insulation is needed at a cost of around £10,000) meaning that it doesn’t get done.
The Green Deal doesn’t work in these houses by itself, as the cost of the insulation means that the loan repayments would end up being larger than the savings on the energy bill from having the insulation. This means that the government is asking energy suppliers to provide grants to these homes through this scheme to either fully fund the insulation or partially fund it to make the Green Deal a viable option for them. This funding is available to people living in both private and social housing, and should be open for applications soon.
- What is CERT?
- The 'Carbon Emissions Reduction Target' obliges energy companies to take steps to ensure that the amount of CO2 emissions from homes is reduced. It is all about reducing CO2 emissions, one of the main causes of climate change. CERT came into effect in April 2008, and is in the third phase of a programme that has been running since 2002. The previous phase was known as the Energy Efficiency Commitment.
- Why do we need CERT?
- The UK has committed itself to a number of targets to reduce harmful emissions and CERT has been designed to make a significant contribution to achieving these targets:
- cutting greenhouse gas emissions by 22 per cent from 1990 levels by 2008-2012, as part of the Kyoto Protocol
- cutting emissions of CO2 by 34 per cent and 80 per cent from 1990 levels by 2020 and 2050 respectively, as part of Government policy
- How does CERT work?
- Electricity and gas suppliers will be obliged to promote things that:
- improve energy efficiency, for example, loft and wall insulation
- increase the amount of energy generated from renewable technologies such as wind turbines, solar panels and ground source heat pumps
- What does CERT mean to me?
- Energy suppliers will provide grants and offers to help you pay for energy efficiency measures and renewable energy technologies for your home. The key thing to note here is that you can take up grants and offers from any energy company, regardless of whether they supply your gas and electricity. This could help reduce the amount of energy you use, reducing your CO2 emissions as well as helping you to save money on your energy bills too.
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