The definition of a green deal is "something so complicated the government had to publish research on how to explain it". Here's a link to the 49 page document.

The Green Deal is a Government scheme to increase energy efficiency by providing loans for households to install Green Deal Energy Efficiency Measures (EEM's).

The loans will be available from Green Deal Providers who will typically be the energy and utility companies or major retailers such as Tesco, B&Q and Marks & Spencer who have pledged their support for the scheme. The loans are guaranteed against the house and not the resident therefore if you move house the loan remains with the property. An energy assessment is undertaken to ensure the "golden rule" is met whereby the savings achieved through installing the energy efficiency measures will be greater than the cost of the loan.

Energy assessment

The energy assessment process is linked to the Green Deal provider and not the installer. Once an energy assessment has been undertaken and a Green Deal provider has agreed the loan the householder can contact installers to carry out the work. It's important to realise that the householder will be the one who chooses which installation company to use. However the householder can only choose those companies who are accredited to install the recommended energy efficiency measures.

Accreditation

There will be many companies offering to help you achieve accreditation, this is unnecessary it's not rocket science. The assessment program for accreditation schemes has been announced and most of the major trade organisations are on board. Our recommendation is to stick with your existing accreditation body providing they are offering a Green Deal option. Using our Green Deal compliance module and going through the accreditation process with your existing scheme will enable you to become accredited before October 2012 start date.

Green Deal for installers

Although there are some 26 possible energy efficiency measures many of these will not pass the golden rule for the majority of houses. As a developer of energy assessment software we are sure that some of the Green Deal measures will prove very popular and others less so.

Heating

The replacement of old boilers with a new condensing boiler will definitely prove a very popular measure as will the upgrade of heating controls.

Insulation

Cavity wall and the upgrading of loft insulation are probably the best Green Deal available. it is highly likely that the energy assessment will recommend upgrading the insulation alongside additional energy efficiency measures such as boiler replacement or solar panels.

Renewables

There is a significant opportunity for solar PV installer in that solar PV counts towards the energy rating of older houses therefore installing the panel alongside insulation energy efficiency measures will enable the householder to claim the feed in tariff. if gas is unavailable then solar thermal, biomass and heat pumps are a viable option under the Green Deal and also qualify for the renewable heat premium payment.

Heating and electrical contractors should start forming close working relationships with insulation companies as it is highly likely that Green Deal recommendations will include both measures. Our Green Deal compliance module allows contractors to collaborate on projects.