Jennifer Whitmore (Wicklow, Social Democrats)
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221. To ask the Minister for Communications, Climate Action and Environment the status of the engagements regarding the interest rates under the retrofitting loan guarantee scheme due to be decided in the coming months; the timeline for decision on interest rates; and if he will make a statement on the matter. [39476/22]

Eamon Ryan (Dublin Bay South, Green Party)
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The Climate Action Plan and National Retrofit Plan have set ambitious targets to retrofit 500,000 homes to a Building Energy Rating of B2 or carbon equivalent and to install 400,000 heat pumps in existing buildings by the end of 2030. My Department is engaging with the Department of Finance, the Strategic Banking Corporation of Ireland, the Sustainable Energy Authority Ireland and the European Investment Bank in relation to the development of a residential retrofit loan guarantee scheme. The residential retrofit loan guarantee scheme is part of Ireland’s National Recovery and Resilience Plan and will be co-funded by the EU Recovery and Resilience Facility and Exchequer funding. The scheme is still under development and market engagement is on-going. The Invitation for Pre-Qualification stage to identify interested On-Lenders has now concluded. This is an important milestone in the development of the scheme. The Invitation for Allocation stage, planned for Q3 2022, will determine how much of the guaranteed loan portfolio will be allocated to each On-Lender. The Invitation for Allocation will set out the interest rate pricing approach under the scheme. The aim is to make the loans under the guarantee available in Q4 2022.

The loan guarantee will provide risk protection to retail credit institutions participating in the scheme. This will enable credit institutions to offer loans with reduced interest rates to private homeowners and non-corporate landlords and make comprehensive home energy efficiency upgrades more affordable to consumers. This approach will signal to the banking sector, new sustainable business opportunities associated with retrofit and the transition to a low carbon economy as well as increasing the volume of retrofit activity within the State.

Jennifer Whitmore (Wicklow, Social Democrats)
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222. To ask the Minister for Communications, Climate Action and Environment the current waiting times for each of the retrofitting schemes available in the State, by county; the number waiting on each waiting list and scheme in each county, in tabular form; and if he will make a statement on the matter. [39477/22]

Eamon Ryan (Dublin Bay South, Green Party)
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The Sustainable Energy Authority of Ireland (SEAI) administers a range of grant schemes to support homeowners to improve the energy efficiency of their properties. Grants of up to 50% are now available for individuals who can afford to contribute to the cost of upgrades as well as free energy efficiency retrofits for people at risk of energy poverty.€118 million has been allocated to the energy poverty schemes which are directly provided by contractors procured by SEAI. There are currently just over 9,600 homeowners on the Warmer Homes Scheme work programme. The number of homes on the Warmer Homes Scheme waiting list by county at the end of June 2022 is set out in the table below. 

COVID-19 related restrictions in 2020 and 2021 negatively impacted wait times under the Energy Poverty Schemes. COVID cases are continuing to impact works on the schemes, both on the Contractors’ and Customers’ side. 

It is important to note that the SEAI received over 5,000 applications for the Warmer Homes Scheme to the end of June this year, compared with 2,874 for the whole of 2021.  The increased publicity around the launch of the new SEAI National Home Energy Upgrade Scheme and revisions to the Warmer Homes Scheme, together with increased energy costs, are driving demand for this critical Scheme.

In addition, the deeper measures being provided under the Warmer Homes Scheme result in upgrades taking longer to complete.  In 2021, the average cost of the energy efficiency measures provided per household had increased to €17,620 reflecting the significant works being carried out.

SEAI data indicates that, for homes completed in 2022, the average cycle time from application to completion was 28 months for the Warmer Homes Scheme and the Warmth and Wellbeing Scheme. That average wait time is a function of the level of disruption caused byCOVID-19.The Warmth and Wellbeing Scheme is confined to specific areas of Dublin.

Delivering free energy upgrades to low-income households and reducing the waiting times on the Warmer Homes Scheme waiting list is a top priority for my Department and SEAI. In order to reduce this timeline to completion and target a monthly average of 400 completions this year, the following actions have already been taken:

- The budget, at €109 million, is nearly three times the 2021 outturn (€38 million) and funding has also been sought through the European Regional Development Fund;

- SEAI has been allocated additional staff for the Warmer Homes Scheme;

- SEAI is working to increase contractor output through active contract engagement and management.

Delivery under the Warmer Homes Scheme remains a top priority for the Minister and SEAI.

Other SEAI schemes require homeowners to procure their own contractor or One Stop Shops secure approval from SEAI and draw down a grant once the works are completed. 

For Better Energy Homes and Solar PV Schemes completion times are within the control of the homeowner. However, works must be completed within an 8-month period, starting from the date of grant approval. Under the new National Home Energy Upgrade Scheme, homeowners will engage a registered One Stop Shop to manage the grant application process and oversee delivery of the retrofit on their behalf. Works must be completed under this scheme within 12 months.