The Green Deal works by offering homeowners long- term loans, to make their houses more energy efficient. The loan will allow work such as the installation of solid wall insulation, new boilers and draught-proofing, with the repayments theoretically being outweighed by energy bill savings. The loan is attached to the property rather than the individual.
The first concern I see, is with the launch of the Green Deal being in the next week, many seem unaware of what The Green Deal actually is.
"4 out of 5 haven?t heard of the green deal"
This is why alarm bells are ringing in my mind as to, how the scheme is suppose to be a success when the awareness of the scheme at present has failed. The [YouGov](http://gesl.net/geosciences/yougov-poll-finds-that-4-out-of-5-havent-heard-of-the-green-deal poll found that four out of five people (81%) have still not heard of the Green Deal.
Shadow energy minister Luciana Berger states: "It is very worrying that there appears to be so little interest in the Green Deal with just as week to go before the entire scheme goes live." She goes on to say "Unfortunately it looks like high-interest rates on green deal loans will leave many paying back more than twice the upfront cost of the measures they install."
"£150 for an assessment"
Another concern is cost; consumers want to be more energy efficient, but cost is the biggest factor found, which is preventing consumer from taking the steps to becoming more energy efficient. So with the £85-£150 cost of upfront assessments as well as high interest rates and no guarantee savings at the end, these cost factors are likely to put people off signing up.
It has surfaced that only five households have had the Green Deal assessments since they became available in October last year.
"We're just inviting the cowboys round for a cup of tea"
When asked his thoughts about The Green Deal, Director of amber energy Nick Proctor stated 'These questions concern me; What if the loan is attached to the house and it fails to be occupied at some point? What if the golden rule fails the consumer- surely the supplier is incentivized to over-egg the payback periods? Like the MCS certification for the feed-in-tariff the accreditation for assessing buildings is weak and we're just inviting the cowboys round for a cup of tea'
Whereas Greg Barker, the climate minister thinks differently, stating, "People should not "expect a big bang". He said: "It's not going to be an overnight success, it's going to build steadily, strongly over the years."
So with that in mind, I believe by weighing up the pros and cons at this present time, the scheme is likely to not be the big success, that is may have been built up to be. With high costs attached and lack of awareness along with no guarantee savings, it is a risk to take. But there are some positives attached to the scheme. It could prevent consumers against rising costs in the future, your household will be more energy efficient and the payment plan is designed to allow consumers to make small affordable payments with cash-back rewards. The future may give the scheme time to get up and running and allow consumers to gain a greater understanding on the benefits it may bring them; but for now I am underwhelmed and unconvinced.