Landlord incentives address insulation market failure
05/Feb/2009
The Federal Government’s Low Emissions Plan for Renters, targeting an additional 500,000 uninsulated rental properties, will substantially address a long standing and systemic market failure, according to the Insulation Council of Australia and New Zealand (ICANZ).
The landlord incentive is part of the recently announced Energy Efficiency Homes package that includes incentive of up to $1,600 for Australia’s 2.2 million uninsulated owner occupied homes.
Mr D’Arcy ICANZ CEO said, “Many properties are older properties with poor thermal comfort that creates additional costs for landlords and tenants.
“There has is a continuing market disconnect between landlords and tenants because the immediate benefits of insulation, such a lower energy bills and improved comfort are enjoyed by the tenant while the benefits of property improvements for the landlord are not as obvious.”
“We believe the Federal Government’s renters plan, offering between $500 and $1,000 for landlords to install insulation in their rental properties will help the industry to overcome this significant market failure,” Mr D’Arcy said.
“Clearly, the landlord incentive is a much needed program and will bring many benefits to all concerned,” Mr D’Arcy concluded.
Media inquiries: Glenn Schaube GRS Communications: 03 9478 5224, 0439 320 151
