Solar Panels Government Loan
People who are thinking of installing solar panels on their home often find themselves ultimately changing their minds once they learn about the initial investment. Solar panelling, especially enough to cover an entire roof, can be very expensive. Even the cheapest option is often more than most people can afford, and even though solar energy does cut down your electric bill, a solar panel system may not actually pay for itself for years. This is enough to dissuade many people from going with this green type of energy. However, recently the UK government instituted the Pay as You Save programme and the Warm Homes, Greener Homes strategy, two initiatives aimed at making solar power more affordable.
The first of these two initiatives, the Pay as You Save programme, is designed to help homeowners deal with the financial commitment that solar power requires. This solar panels government loan program would assist them with paying the initial cost for the solar power system. They would then pay back the loans over a number of years in instalments. The instalment amount would be determined on an individual basis and would be set lower than the amount of money they will save by using solar power. This way, homeowners will actually see some of their savings each month instead of simply paying what they save in energy costs to the loan.
One of the interesting decisions in regards to this programme is the legislation associated with it that would tie the solar panels government loan to the property instead of the individuals living in it. This is because, on average, a person moves house about every ten years. They may not be able to pay back the loan during that time, but if they move, they may no longer enjoy the savings of solar energy. By tying the loan to the property, however, the next owner would assume the loan payments while receiving the savings of solar power.
The Warm Homes, Greener Homes strategy aims at helping homeowners add insulation to their homes. This will help keep the home warmer in the winter and cooler in the summer, saving on the cost of heat and air conditioning. The smart meters, which all homes will have installed in them by the end of 2020, will show just how much each home is using in terms of power and how much they save. In addition to these initiatives, the Warm Homes, Greener Homes plan also calls for a reform of the Energy Performance Certificate so that it helps people learn how they can save energy by making their homes energy efficient.
The overall goal of these programmes is to remove the financial barriers to using solar panels. By offering solar panels government loans and educating people on ways of making homes more energy-efficient, the UK will be on the right track to meeting the goal of cutting all greenhouse gas emissions from housing by 29% by the year 2020.