Who Funds ECO4?
The UK’s ECO4 grant scheme, part of the Energy Company Obligations (ECO) scheme, is funded from a combination of sources.
The £4 billion ECO4 scheme provides heating and energy-saving measures for homes in the UK. Funding for the ECO4 grant program comes from medium and large gas and electricity suppliers, including companies such as British Gas, EDF Energy, Eon, Ovo, Scotland Power and SSE.
These suppliers are required by the government to contribute to the program by funding and implementing energy efficiency measures in households across the country.
Under the ECO scheme, each supplier is required to have an overall target based on their share of the UK domestic energy market. Suppliers work with installers to recommend specific efficiency measures such as heating and insulation upgrades in qualified homes. The program aims to tackle fuel poverty, reduce carbon emissions, and improve household energy efficiency.
The ECO4 funding program focuses on supporting low-income households who cannot afford to upgrade their homes and heating systems. It gives priority to the lowest-income households, including those receiving vehicle testing subsidies.
In addition, ECO4 Flex is designed to target low-income households that do not receive benefits, thus achieving up to 50% of the obligation target. Local, Scottish and Welsh governments and suppliers are required to voluntarily participate in ECO4 Flex.
The basin eligible for ECO4 includes at least 3.5 million homes. The program supports energy efficiency improvements in homes in the D-G energy efficiency range and the least efficient homes in the E-G ranges for social housing and private rental housing.
It also sets specific goals for measures such as gas central heating, non-condensing boiler replacement, air source heat pump, solar photovoltaic, storage heater replacement, insulation attic, roof room insulation, cavity wall insulation, and interior wall insulation.
Qualifying Criteria for ECO4 Grant
The main criteria for accessing ECO4 grants are:
– Living in a low income household based on eligibility for benefits like Universal Credit
– Residing in poorly insulated accommodation with energy performance certificate rating of E, F or G
– Being elderly (over 60) or having an illness or disability
Additional requirements include:
– Property must be privately rented or owner-occupied
– Applicant must be named on energy bill
– Improvements should result in cost and carbon savings
Grants do not cover new builds or second homes.
It is important to note that the information provided is based on a platform available until September 2021 and there may have been updates or changes since then. For the most current and accurate information, you should consult the official sources of the government or relevant organizations participating in the ECO4 grant program.
ECO4 is backed by large and medium energy suppliers. They have legal obligations under the Energy Company Obligation (ECO) scheme. This includes companies like British Gas, EDF Energy, E.ON, Scottish Power, and Octopus Energy.
For more information please go to the government’s Ofgem website.