March is coming, possibly a bit faster than we’d like, which means now is the time to get to grips with the expected differences between ECO4 and ECO3. While the two phases are the same in principle, there are a number of differences that set the two apart.
While we have already written one post identifying some of the key changes between the two, we have since been given more information about further changes between ECO3 and ECO4.
How is the grant awarded?
Under the current ECO3 scheme, grants are awarded based on the lifetime savings of the insulation/heating installed. This will be changed under ECO4 to how big the difference is between energy performance ratings. An appliance is given an energy rating, based on how efficient the energy use is during a typical use. The highest rating is an A and the lowest is a G.
Prevalence will be given to a candidate who would see their home being taken from an EPC rating of G to an EPC rating of C, over a candidate who would see their EPC rating go from an E to a C.
First Time Central Heating
Anyone applying for first time central heating via an ECO grant will be required to have some sort of solid wall insulation. This can be internal or external insulation.
The First Time Central Heating (FTCH) Checklist must be completed in order to determine whether or not a central heating system replacement would qualify under the ECO scheme as first time central heating. It applies to all boiler systems, including renewable heating systems. Any applicant who is offered first time central heating is required to take all of the insulation measures offered by their installer.
Repairing first
During this cycle of the ECO4 scheme, more emphasis will be placed on repairing instalments, rather than replacing them. As part of this, LPG tanks and Oil tanks will no longer be installed. Instead, installers are to focus on using the grant to repair an existing main gas central heating system or a modern electric storage heater.
Rolling out measures for the most vulnerable
The Home Upgrade Grant (HUG) will work alongside ECO4, to ensure that energy saving measures are delivered to the most vulnerable. It is likely that local authorities who access HUG will also be using LA Flex rules to ensure that the vulnerable people in their area, who do not claim benefits, still have access to the same funding opportunities as those who can take advantage of ECO grants in the UK.
More renewable options
As part of this phase of the ECO scheme, boilers and other insulation measures that aren’t low-carbon, will be phased out in favour of renewable measures. Most notably, heat pumps and solar panels will be more widely offered during this new phase of the scheme.
ECO4 is expected to start rolling out from March this year! Of course, Green Deal First will still be here to help you navigate through every step of the application process.