Energy Companies Obligation (ECO)

The Energy Compliance Obligation (ECO) scheme is an energy efficiency programme that was first introduced in 2013. The ECO Scheme replaces two previous programmes: the Carbon Emissions Reduction Target (CERT) and the Community Energy Saving Programme (CESP).

ECO runs alongside Green Deal putting legal obligations on large energy suppliers to deliver energy efficiency measures to low income or vulnerable users. Andrews Water Heaters is interested in this scheme as it links in with the work we do with larger domestic settings such as housing associations and new housing developments.

ECO targets

There are three areas where energy suppliers aim to assist in the improvement of energy efficiency under ECO:

• Carbon Emissions Reduction Obligation
  Energy companies should concentrate their efforts on hard-to-treat homes and products that can't be fully funded through Green Deal, including solid wall insulation and hard to treat cavity wall insulation.

• Community Obligation
  At least 15% of each energy supplier's Carbon Saving Community Obligation must be achieved by providing energy efficiency for low income and vulnerable households in rural areas, such as providing insulation measure and connections to domestic district heating systems.

• Home Heating Cost Reduction Obligation
  Energy suppliers must provide measures to ensure low income and vulnerable customers can continue to afford to heat their homes.

More information on the ECO Programme can be found on the Ofgem website.