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Energy Efficiency

Dáil Éireann Debate, Tuesday - 18 December 2018

Tuesday, 18 December 2018

Ceisteanna (101, 104)

Catherine Martin

Ceist:

101. Deputy Catherine Martin asked the Minister for Communications, Climate Action and Environment his plans for thermal retrofitting of private rented accommodation; and if he will make a statement on the matter. [53163/18]

Amharc ar fhreagra

Timmy Dooley

Ceist:

104. Deputy Timmy Dooley asked the Minister for Communications, Climate Action and Environment the specific actions he has taken to address split incentives for landlords and tenants as it relates to retrofitting for rental properties; and if he will make a statement on the matter. [53181/18]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 101 and 104 together.

Energy upgrades in rental properties will deliver multiple benefits for owners as well as tenants including improved living conditions and health outcomes, enhanced asset value and reduced energy bills. Notwithstanding this, rented properties in both the residential and commercial sectors can present a particular challenge in terms of energy efficiency upgrades owing to the split incentive problem. A split incentive occurs where, for example, landlords would incur the cost of improvements, while tenants would reap the benefit in lower energy bills and improved thermal comfort so neither party is motivated to invest to upgrade.

The residential energy efficiency schemes funded by Government are available to private landlords but uptake remains low among that cohort. Properties rented from local authorities are currently being retrofitted, and funding has been allocated to the local authorities for this purpose by the Minister for Housing Planning & Local Government.

My Department has recently established a Special Advisory Group to consider and make recommendations on proposals to ameliorate the split incentive problem. It comprises senior representatives from my Department, the Department of Housing Planning & Local Government and the SEAI. The Group has been tasked with considering and making recommendations on appropriate policy interventions having regard to existing research, relevant international best practice and stakeholder inputs, and the impact on the current supply of rental accommodation and on people living in energy poverty.

A public consultation on proposed approaches to dealing with energy efficiency upgrades in rental properties will take place in the middle of next year as part of the consultation on the next Long Term Renovation Strategy.

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