Hon Gerry Brownlee
Minister of Energy and Resources

1 July 2009
Media Statement

Three councils kick-start scheme allowing ratepayers to pay off insulation through rates

The government has announced the first three councils to offer their residents the opportunity to pay off energy efficiency investments through their rates, as part of the government’s Warm Up New Zealand: Heat Smart programme.

“I’m very pleased to announced that Hawke’s Bay Regional Council, Environment Canterbury and Nelson City Council have all agreed to take part in Warm Up New Zealand: Heat Smart,” Energy and Resources Minister Gerry Brownlee said today.

“These three councils are in the process of rolling out schemes suited to their areas, which will allow ratepayers to pay off insulation, and in some cases clean heating, via their rates bills.

“This makes the cost of investing in energy efficiency much more manageable for ratepayers, so they can enjoy the benefits of a warmer, drier home that causes less air pollution.”

Mr Brownlee said a number of other councils are in the process of working through the administrative and technical details for implementing the scheme through their rating systems.

The $323 million Warm Up New Zealand: Heat Smart programme plans to insulate 180,000 houses over four years.

Today Mr Brownlee visited one of the first houses to be insulated under the new programme.

The Lower Hutt house received a grant to cover part of the cost of ceiling and underfloor insulation, and a heat pump. The house was assessed by Right House.

Mr Brownlee said as well as warming up cold New Zealand homes, the programme was providing employment for out-of-work New Zealanders, both at the sales and installation end of the industry and the manufacturing end.

“I am told that Right House has employed 20 people over the last month to satisfy the increased demand and they are still recruiting. Of the 20 people, nine of them were previously unemployed young guys who are now learning a trade.

Mr Brownlee said householders interested in finding out more about the programme and how to locate a provider in their area should look at www.energywise.govt.nz

Or phone ECCA: 0800 358 676

See background below for more information about the three councils taking part in Warm Up New Zealand: Heat Smart.

Photos of the Lower Hutt house visited by Gerry Brownlee today are available on request from Jane O’Loughlin (contact details below).

Background:

Hawke’s Bay

• Hawke’s Bay Regional Council are working on the details of a scheme they hope to have operational by 1 October 2009
• It’s proposed that ratepayers across the Hawke's Bay region will have the option of paying off insulation on their rates bill over a time period (possibly 10 years).
• In areas where there are air quality issues, such as Napier and Hastings, the regional council will provide additional grants or interest subsidised loans to help fund the cost of clean heating devices.

Canterbury

Environment Canterbury will be rolling out the coverage of its targeted rate in three stages:

a. From July 1, people within urban Christchurch city will be able to choose to pay off an insulation and clean heat retrofit on their rates bill.

b. Stage 2 begins in late 2009 to extend this eligibility for a targeted rate to outside the urban centre, including Timaru, Ashburton and Kaiapoi and Rangiora.

c. Stage 3 is as yet without a firm start date but will expand the targeted rate to ratepayers in the wider Canterbury region.

Nelson

• From 1 July 2009, Nelson City Council ratepayers will be able to pay off an insulation and clean heat retrofit on their rates bill provided they are in a polluted airshed and have to replace an existing non-approved burner.

ENDS