Comprehensive information campaign needed on new low-cost retrofit loan guarantee scheme – Farrell

A comprehensive information campaign is needed to encourage homeowners to avail of the new residential retrofit loan guarantee scheme, according to Fine Gael TD Alan Farrell.

Deputy Farrell, a member of the Oireachtas Committee on Environment & Climate Action Committee, said: “Increased grant values and new grant options that were introduced last year by Government mean more homeowners are availing of home energy upgrades.

“This was reflected in recent figures showing 21,727 home energy upgrades were supported through Sustainable Energy Authority of Ireland grant schemes in the first six months of the year, representing a 150% increase on the same period in 2022.

“There are now 17 registered One Stop Shop service providers, an increase of five from April to May of this year which is extremely positive.

“Across more than 300 homes already upgraded from an average BER of E1 to A3 or better through the One Stop Shop scheme, the SEAI found the average cost to the homeowner was €38,200, excluding funding provided through grants.

“This cost is substantial and it can be prohibitive amongst homeowners in some cases, particularly as cost of living pressures continue to be a concern and can impact people’s ability to undertake non-essential property upgrades.

“This is why the long awaited residential retrofit loan guarantee scheme, which is due to be rolled out shortly, will be a gamechanger in providing upfront funding from credit institutions through low cost loans to homeowners for retrofitting work.

“It is hoped the residential retrofit loan guarantee scheme for homeowners will make energy upgrades more accessible and affordable.

“The scheme, due to be announced in the coming weeks, is part-funded by the Government. Savings in energy bills are just one benefit to retrofitting, as the work leads to a warmer home, better mortgage rates, improved property value, as well as delivering a sustainable environment.

“The residential retrofit loan guarantee scheme will be available in addition to existing Government backed schemes, with current activity suggesting the target of 37,000 home energy upgrades will be met this year.

“With several schemes in place and with application processes that can often be complex and cumbersome for homeowners, it is incumbent on both the Environment Minister and credit institutions to ensure as much detail as possible is given to those availing of loans.

“There should be an active and comprehensive campaign encouraging homeowners to sign up for a loan, particularly if we are to live up to actions set under the Climate Action Plan 2023 and the National Retrofit Plan.

“The Department, through the SEAI, should be doing everything it can to ensure more registered contractors come on stream in addition to One Stop Shops to deal with increased demand once the loan scheme is in place,” Deputy Farrell said.