The UK Government has launched a £3 million scheme which aims to help the installation of eco-heaters in the homes of social housing. Local authorities and social housing associations, will be able to bid for a share of the £3 million, part of the £15 million Renewable Heat Premium Payment budget.

Energy and Climate Change Minister Greg Barker said:‪ “Improving and greening Britain’s homes must make strong financial sense if we are to provide a real sustainable alternative to expensive old heating systems. If people choose to go green, they want to see real savings.”

From today, bids start for funds of up to £175,000 per housing provider. The deadline for bids is the 15th of September. The scheme will be managed by the Energy Saving Trust.

David Orr, Chief Executive of the National Housing Federation, said they welcomed the scheme: “The National Housing Federation welcomes this specific allocation of £3 million from the Renewable Heat Premium Payment budget to assist social housing providers.”

Mr Barker said the scheme would benefit those facing rising utility prices: “The Premium Payment scheme is a valuable way for people to get involved in energy generation at a local level, insulating them from volatile fossil fuel costs and ensuring homes are heated in a greener, more sustainable way.”

Currently half of the UK’s carbon emissions come from the energy used to generate heat. The Government says the renewable heat financial support mechanisms will provide average savings between now and 2020 of 4.4 million tonnes of carbon per year.

More information about the Renewable Heat Premium Payment scheme can be found at https://www.decc.gov.uk/en/content/cms/meeting_energy/renewable_ener/incentive/factsheet/factsheet.aspx