Equity loan scheme - call for evidence: consultation

Chapter 1 Call for Evidence

1.1 As set out in the 2020 Climate Change Plan Update^[1], Scotland's long term climate change targets will require the near complete decarbonisation of our energy system by 2045, with renewable energy meeting a very significant share of our needs. Emissions from homes and non-domestic buildings will have to fall by 68% by 2030 as compared to 2020.

1.2 The Scottish Government published the draft Heat in Buildings Strategy for consultation in February 2021. This strategy sets out a pathway to zero emission buildings by 2045 and details a series of near-term actions as well as long term commitments to accelerate the decarbonisation of both existing and new buildings. Housing to 2040 commitments align with this strategy in affirming that all existing housing be warm, affordable to heat with heating emissions reduced.

1.3 The Scottish Government's Home Energy Efficiency Equity Loan Pilot has been operating since 2017 and during this time has delivered over 55 loans to eligible homeowners to enable financing of installation of energy efficiency measures and associated essential home improvements. We now wish to consider the potential to develop the Pilot as part of the suite of support schemes for the decarbonisation of buildings as set out in the draft Heat in Buildings Strategy.

1.4 This call for evidence seeks feedback on the pilot as well as stakeholder views to inform the Scottish Government's consideration of future delivery. We are also seeking input on potential actions to modify and enhance the pilot to ensure optimal and sustainable outcomes should the decision be taken to proceed with progressing the pilot to a national scheme.

1.5 Alongside this call for evidence, which will run for 10 weeks, we will gather detailed feedback through an independent survey of homeowners who have participated in the pilot, to assess the impact that the measures they have implemented have had on their wellbeing, as well as their energy bills and carbon reductions achieved. 3 facilitated webinars will also be run during the time period the call for evidence is open.

1.6 This engagement builds upon the lessons learned and improvements already implemented on a continuous basis throughout the delivery of the pilot.

1.7 Consultation questions can be found at the end of each chapter. In particular, evidence and views on the points below are welcome:

• the proposal to expand the pilot to a nationwide scheme, along with potential benefits and challenges;
• enhancing the sustainable delivery of the loans to support nationwide uptake;
• scope of eligibility and loan offers to maximise opportunities.

1.8 Reports will be published at the end of 2021 reviewing the pilot, stakeholder responses and providing information on future next steps.