Call for interest free loans to be provided to Sligo home owners unable to afford SEAI grants

By Philip Rooney, The Sligo Champion

Cllr Ann Higgins has called for assistance to be provided for those unable to meet the costs of the upfront payment required to avail of SEAI grants.

Cllr Higgins’ motion before the April meeting of Sligo County Council stated, “In promoting retrofitting, renewable heating, and solar energy, some private homes have been made warmer, cheaper to heat, and less reliant on fossil fuels, yet this still remains out of reach for many others. This motion calls on the Minister for Climate, Energy and the Environment Darragh O’Brien to introduce an income-based interest free loan or a ‘fair deal’ type scheme for homeowners who cannot afford the upfront payment required to avail of the SEAI grants.”

Speaking to her motion Cllr Higgins told the Council Chamber, “This motion aims to support those households who do not have spare disposable cash to avail of energy upgrades as they are effectively asset rich but cash poor.”

“We are effectively excluding people who cannot afford to avail of retrofitting or energy upgrade opportunities and they are the ones who probably need it the most. It is a perverse scenario where we are penalising people who are already on the energy poverty line from becoming more energy independent.”

Cllr Higgins pointed to the very real negative impact the current energy crisis is having on all sectors of the community and its unwanted contribution towards our existing cost of living crisis. This motion is calling on the government to introduce measures that will allow all households, regardless of their income, to have access to retrofitting and renewable energy options.

Cllr Higgins used the cost of solar panels as an example, while acknowledging that “Solar panels alone won’t come close to being a total energy solution for Irish housings.” She referenced recent figures that show just 177,000 of Ireland’s one million homes that are suitable for solar panels on the roof have done so. In citing the cost of between €9-10 k for a typical three bedroom home with eight solar panels and a 5kw battery can offset up to 60% annual energy bills.

Cllr Higgins added, “In principle , it’s a no brainer. However, the assumption that most families can access the balance of €8.2k due after the SEAI grant is a very middle class assumption and even less grounded in reality during the current cost of living crisis.”

Cllr Higgins called for a number of improvements to the current grant system.

“First is an increase in the current subsidy to make the transition more popular and relatively inexpensive. Secondly a scheme for free solar panels for every household that gets the fuel allowance; that would reduce the energy costs for thousands of households most vulnerable to fuel poverty and would in fact be paid for from the savings accrued from no longer relying on fuel allowances.

“Finally, an interest free loan for those at certain income thresholds and a ‘fair deal’ type of initiative for energy upgrades so the cost will come out of the person’s estate.

“These supports will remove the income inequality in energy retrofitting homes and will at the same time expediate and equalise the rooftop revolution.”

The motion was supported by Cllr Marie Casserly who commented, “This initiative saves money for everybody, this is the only game in town. It saves so much money for everybody, it alleviates fuel poverty, it is a no brainer.”

Cllr Edel McSharry also gave her backing to the motion saying, “If we can lower our dependence on fossil fuels it’s the way to go. I hope these are the type of initiatives the Minister is looking at.”

Cllr Liam Brennan also spoke in favour of the motion saying, “It needs to be more targetted towards the low income.”

Cllr Donal Gilroy noted, “Low cost loans area available on the SEAI website. It is available already, what we are looking for is that it is amended.”

Article Funded by the Local Democracy Reporting Scheme.