New green energy scheme promises homeowners ‘no bills for 10 years’

Future homeowners taking part in a new initiative testing renewable energy technology will get free energy for at least 10 years.

It’s part of the world’s first ‘zero energy bills’ home mortgage, which will allow customers to move into homes kitted out with green energy technology.

The scheme was launched by supplier Octopus Energy today (28 June), in partnership with mortgage lender Perenna.

Over 1,000 homes have already been accredited across the UK, spanning from private and shared ownership types to affordable and social rentals.

Octopus Energy aim to set up 50,000 ‘zero bills’ homes around the world by the end of 2025.

What’s a ‘zero energy bills’ mortgage?

The new model will allow potential homeowners to take out a mortgage on a property fitted with the latest sustainable energy technology, including heat pumps and photovoltaic (PV) panels.

In return for choosing an energy-efficient home, Octopus Energy say homeowners will have no energy bills for at least ten years.

The costs of installing the technology will be integrated into the mortgage so they will be spread over the mortgage term.

How does it work?

Thanks to their solar PV systems, these green-energy homes will be able to generate enough electricity to be completely self-sufficient. The heat pumps installed will use national resources to heat and cool down the property.

Not only will the energy produced on-site cover all the daily needs of a household, the technology is designed to cover any potential increases in consumption.

Unused energy can be fed back into the grid, and there’s a chance homeowners will be able to profit from the excess energy.

What are the benefits?

The price of gas and electricity fluctuates based on changing demand and supply. Factors like political relations, weather conditions, and power plant costs all affect how much we end up paying for energy. 

At a time of soaring energy bills and mounting financial pressure, it’s likely the new model will offer more stability than traditional energy sources.

And those who opt for ‘zero energy bills’ mortgages could save a lot of money since they won’t have to pay for energy.

Octopus Energy say their scheme contributes to the UK’s goal of reducing greenhouse gas emissions and building a more sustainable future.

As more consumers learn about how energy-efficient homes can help both their finances and the environment, experts say the demand is expected to grow.