Is Free Central Heating Systems in Wales real?
Many people have said to me that free central heating “sounds to good to be true”, “it must be a con”, “what’s the catch” and so on and so forth.
So let me answer that question.
First Time Central Heating is a part of the Government Carbon Reduction Grant Scheme, which is referred to as ECO. This is the 3rd phase of ECO and so it is cleverly called ECO3 and it is administered by OFGEM. OFGEM is the industry watchdog and an official Government Regulatory Body.
Who pays for the Central Heating?
The Energy Act 2011 gave a legal obligation to the Gas and Electricity companies to reduce Carbon Emissions. This is known as the Energy Companies Obligation (hence ECO).
When you insulate a property you reduce the Carbon Emissions of that property. Gas and Electricity companies will buy those Carbon Emission savings to achieve their legal obligation. So when a free central heating system is installed the money is actually coming from one of the Gas and Electricity companies. However, the utility companies get their money back by adding a charge to every gas and electricity bill – about 5% on a gas bill and about 11% on an electricity bill. Shown as environmental costs in the infographic on the left. Care of Uswitch.
In January 2020 the Government increased the level of funding for First Time Central Heating, which means that more people will now qualify for a fully funded central heating system.
Funds are limited, so it is a matter of “first come – first served”.
How do I find out more about the Free Central Heating Scheme?
The “Free Central Heating” page will fully explain how the scheme works. It will also explain how your home qualifies. You will then need to find out if you qualify. – or of course, you can just give us a call, drop us an email or complete our online enquiry form.
There are a couple of pre-conditions which apply to every property. These are concerning insulation at your home, and they have been set by OFGEM. They relate to Cavity Wall Insulation and Loft Insulation.
If you want to have a look at these OFGEM pre-conditions feel free to follow the link below. They are quite complicated and are for us to deal with, but the link confirms that First Time Central Heating is an OFGEM, and therefore, a Government scheme.
So in conclusion, this means that the fully funded First Time Central Heating scheme is not a “con”, it is real. So lets find out if you qualify, or you can find out how the scheme works.