The NLA, a leading association for private residential landlords in the UK, awarded the contract to MITIE as the government officially launched the Green Deal.
The Green Deal, set up by the Department of Energy and Climate Change, supports the introduction of energy efficiency measures to all buildings. There are dozens of measures installers can implement in domestic dwellings including loft insulation, double glazing, boiler replacements, central heating systems and solar panels. The initial cost of installing these measures is funded by an approved Green Deal Provider and repaid through savings made on energy bills, up to a period of 25 years.
Some properties and tenants may also be eligible for subsidies under the £1.3bn ECO schemes – paid for by energy companies – so that installations funded through these schemes do not need to be repaid.
By 2016, private landlords will be unable to refuse reasonable requests by their tenants for green deal improvement, and by 2018, they will be unable to rent properties that have an F or G Energy Performance Rating.
Early adopters of the Green Deal scheme are eligible to claim cash-back for each measure installed to a property. The cash-back is paid directly from a £125m fund set up by the government. It is available on a first come first served basis and payments can be worth in excess of £1,000 depending on the number of measures installed.
Richard Lambert, NLA chief executive officer, said:
“Partnering with MITIE enables us to offer all private landlords an end-to-end, cost-effective solution with energy company subsidy and/or Green Deal finance.
“We selected MITIE because of its national delivery capability, its track record of delivering home and energy improvements to tenanted properties, and its relationship with different ECO and Green Deal Providers, ensuring the best solution for both landlords and tenants.”
MITIE already manages over 200,000 tenanted properties in the UK . Its director for strategy and corporate development Stephen Giacchino, said:
“This is a great opportunity for MITIE to further expand its domestic energy services offering. We are looking forward to working with the NLA to help landlords maximise the investment benefit that the Green Deal brings to their portfolio, while delivering energy savings and increased comfort to their tenants.”
DECC, the Department of Energy and Climate Change estimates that expenditure on Green Deal measures is likely to be worth up to £17 billion during the next 10 years.