The Home Energy Scotland Loan is an opportunity for homeowners and private sector landlords to access up to £38,500 of interest-free funds from the Scottish Government, for the purpose of adding renewable energy technology or making energy efficiency improvements to a property. For heat pumps specifically, the loan covers up to £10,000 interest-free, with a payback terms of up to 12 years.
The result of a bold effort to improve uptake in renewables and energy efficiency, The Home Energy Scotland Loan rewards the desire to live more sustainably. By streamlining access to energy efficient upgrades to your property, the obstacles to energy bill reduction are removed. Managed by the Energy Saving Trust, the goal is to help residents in Scotland live in a way that reduces carbon emissions.
In the UK, this mammoth task has been adopted by a network of independent bodies, local authorities, and government departments. From advice and information to financial help for installation. The Home Energy Scotland Loan is part of this wide network of schemes and incentives, and it is applicable to domestic property owners in Scotland.
Let’s zoom in on how the Home Energy Scotland Loan may be applicable to you, and how you can best make use of this opportunity.
To be eligible for the loan, you need to be an occupier homeowner in Scotland. In some cases, certain private sector landlords may be eligible. Contact us for more details on your situation if this is the case, as strict rules govern company-owned domestic properties.
To apply for the Home Energy Scotland Loan, you need to be aiming improve your energy efficiency (insulation, etc.) or switch to home renewable energy systems (heat pumps, solar panels, etc.). Different levels of funding are available for different types of improvement.
The homeowner must use a certified installer for all projects. We are an MCS accredited installer, which helps you comply with all standards to qualify for the loan and subsequent Renewable Heat Incentive (RHI) scheme payments. We can also advise you about acquiring an EPC, which is another qualification condition.
It is important that you do your research on which suppliers are suitable for a specific task. Once you have decided on project contractors, ensure that work doesn’t commence until a written loan offer has been provided. This is a vital part of the process, and will protect you down the line. We can help you get hold of this Home Energy Scotland Loan offer.
Once the written loan offer is received, the funding must be claimed and the work must be completed within 6 months. There are multiple conditions to meet, so please contact us to learn more about complying with funding regulations for your renewable heating in Scotland.
It’s a no-brainer to make renewables a priority for your home, and the Home Energy Scotland Loan is a fantastic help. By researching other government programmes that cooperate with the Home Energy Scotland Loan, you will find that there are a range of options that make this transition very appealing.
The UK’s Renewable Heat Incentive (RHI) will generate long-term return on investment after installing a renewable heating system in your home. It can work in conjunction with the Home Energy Scotland Loan to minimise upfront costs. In England and Wales, the Assignment of Rights (AoR) initiative allows third-party funders to cover the cost of an installation, with subsequent RHI payments directed to them as a form of repayment. The AoR is also available in Scotland, which offers an alternative to the Home Energy Scotland Loan for Scottish property owners.
Historically, the problem of uptake was one where theory and practice did battle with one another. Whilst most people agree with the use of renewable technology and the fact that it is necessary to switch, the practicality of implementing these changes was not ideal. Long-term savings are clear, but the upfront costs for installation were difficult to swallow. This problem is being tackled in a big way with the Home Energy Scotland Loan.
The Home Energy Scotland Loan offers an easier way to get hold of better energy efficiency and innovative renewable systems. The upfront costs are minimised, and repayment terms are fair and feasible.
For more information about this loan, and and specific advice about your renewable heating project, get in touch with Smart Renewable Heat today.
Please contact us using the form below, or call us on 0800 865 4328.