ECO must deliver value for money – and customers: Knight
Energy efficiency schemes need to be simplified to make sure customers get the help they need as well as value for money, said Energy UK Chief Executive Angela Knight. A report on the progress of the Energy Companies Obligation (ECO) in its first year of activity, prior to the latest changes, found that ECO’s very precise eligibility criteria and onerous reporting requirements have increased delivery costs, slowed down activity and hindered customer take-up. According to the report, the first year of ECO was delivered at an estimated annual cost of £1.54 billion - £200 million more than original forecast. As part of their recommendations, CSE call for DECC /Ofgem to introduce 'deemed savings’ for each measure.
Angela Knight, Chief Executive of Energy UK said:
“The report by the Centre for Sustainable Energy clearly shows why it is important to reduce scheme complexity to ensure customers get the help that they need as well as value for money – however ECO remains a complicated and burdensome scheme. Energy companies are committed to delivering ECO in a cost effective way and have already passed on the savings that they have made to customers. However, it is important that there is cross-government support for the initiative and ongoing collaboration between suppliers, Ofgem and installers, to make sure that customers who need help receive it.”