Design of the Energy Company Obligation ECO4: 2022-2026

We’re seeking views on the future design of the Energy Company Obligation (ECO) scheme. This includes:

• continuing to target low income and vulnerable, and fuel poor households
• greater support and deeper retrofit for the least energy efficient homes, requiring homes to meet new minimum energy efficiency requirements
• the proportion of the scheme that can be delivered through local authority referrals, and by suppliers, under a reformed local authority and Supplier Flexible Eligibility route
• supporting innovation under ECO
• how ECO interacts with other grant funding
• views on a future supplier buy-out mechanism to enable small suppliers to participate in ECO, subject to primary legislation

Alongside this consultation we have published:

• a draft impact assessment (on this page)
• ECO evaluation reports

The consultation is open to all but of particular relevance to:

• energy suppliers
• energy efficiency installers
• energy efficiency measure manufacturers and associated software developers
• local authorities
• consumer groups
• academic groups

Update 11 August 2021

Consultation close date extended to 3 September 2021.

Update 2 August 2021

We updated the consultation document to:

• correct the email (page ii)
• correct the stated limit in table 11 on the number of ESH replacement and ESH repair uplifts allowed in a given package from “1” to “no limit” (page 80)

Read the BEIS consultation privacy notice.

Please don’t send responses by post to the department at the moment as we may not be able to access them.