The Energy Efficiency Commitment (EEC) requires energy suppliers to meet targets for the promotion of improvements in household energy efficiency. Under the EEC, insulation work may be installed and the first phase of the EEC (2002-05) resulted in £600 million worth of investment in energy efficiency.
During the first half of the current phase of the EEC (2005-08), which is expected to deliver twice as much activity as the first phase, 88 per cent. of energy supplier activity was through insulation measures. The 2006 climate change programme announced that the EEC target will be increased by 50-100 per cent. for EEC3 (2008-11).
The Government-funded Warm Front Scheme, which is the key programme in tackling fuel poverty in England, provides for the installation of insulation measures in qualifying households, where they are recommended. Total fuel poverty funding over the 2005-08 period will be over £800 million, with the vast majority being for the Warm Front Scheme.
The Government have also introduced a reduced rate of value added tax for professionally installed insulation measures.