Zero Rate Loan for Energy Saving Jobs
February 5, 2019
The eco-PTZ is a loan that is intended to finance your ecological renovation work and opens to property owners who are occupants of their property or they decide to rent it.
The work carried out on the basis of the capital obtained on the basis of this loan at zero rate must be done by companies RGE or recognized guarantors of the environment.
- 1 The functioning of eco-PTZ
- 2 Borrowers eligible for eco-PTZ
- 3 The purpose of the financing constituted by the eco-PTZ
- 4 The notion of a bouquet of works
- 5 Improving overall energy performance
- 6 Eco-PTZ and non-collective sanitation
- 7 The right choice of work under the eco-PTZ
- 8 Amount and duration of eco-PTZ
- 9 Organizations that provide the zero-rated eco-loan
- 10 Work done in installments
- 11 The cumulative nature of eco-PTZ
- 11.1 Eco-PTZ in the DOM
- 11.2 Eco-loans from the sustainable development booklet (LDD)
- 11.3 Eco-PTZ and co-ownership
The functioning of the eco-PTZ
The eco-PTZ was set up in order to allow property owners to ensure that they gain in energy performance and that they are more in line with environmental standards, that is to say, they emit less greenhouse gases.
In order to benefit from it, it is then necessary to project a bunch of energy renovation works , to record a minimum level of energy performance over the whole of the housing, to start work aimed at renovating a non-collective sanitation system that does not consume energy.
In addition, there is work benefiting from Anah’s assistance under the “Habiter mieux” program.
It should be noted that these various eligibility conditions for your work at the eco-PTZ are not cumulative. Each of them can justify the subscription of this loan at zero rate.
There is also what is called complementary eco-PTZ, open since July 2016 and allowing owners to apply for a second loan following the first provided that new energy renovation works meet the same criteria as those mentioned above.
Borrowers eligible for eco-PTZ
The benefit of eco-PTZ is granted to homeowners who occupy their own homes or have the status of lessor without looking at their level of resources. It simply has to be a main house.
For a zero-rate eco-loan requested in metropolitan France, the house or apartment must have been built before January 01, 1990. In overseas territory, the building permit must have been filed before May 1, 2010.
It can also be attributed to the benefit of a co-ownership. The amount per dwelling will then be 10,000 euros without exceeding the ceiling for all requests for eco-PTZ, 30,000 euros.
The purpose of the financing constituted by the eco-PTZ
The zero-rate eco-loan finances the purchase and installation of works that meet the conditions laid down by the legislation inherent in eco-PTZ. It also supports indissociable works such as the recovery of the power supply, the establishment of a ventilation system, heating …
The eco-PTZ also includes the fees due to the architect, namely, the architect, the design office … and may include insurance costs to cover the owner as a project owner .
The notion of a bouquet of works
By structure of works, the legislation inherent to the eco-PTZ intends to speak of a list of works having a minimum of coherence between them and whose realization involves an increase of the energy efficiency of the property which benefits from it.
This is why the law requires builders or renovation specialists who meet the qualification “recognized guarantor of the environment”.
Thus, the work undertaken in the framework of the zero-rate eco-loan must belong to at least 2 of the following categories :
- High performance insulation of the roof
- High performance insulation of external walls
- Insulation of the openings that give on the outside
- Installation or replacement of heating equipment or sanitary hot water production
- Heating installation operating from renewable energies
- Installation of hot water production equipment using renewable energies.
Improving overall energy performance
- The question of choosing the work to be done in order to benefit from the eco-loan at zero rates presents a particular challenge, especially for real estate built after January 1, 1948.
- In this case, using a thermal design office will highlight the consumption of the property as it is before the works and best define the work that will improve its overall energy performance.
- Thus, the work thus stopped will lead to a consumption of less than 150kWhEP / m2 / year for an initial consumption of 180KWhEP / m2 / year and an overall consumption of 80KWhEP / m2 / year for an earlier consumption of less than 180KWhEP / m2 / year. .
- The professional who will conduct the thermal study of your home will get different figures depending on its climate zone and the altitude at which it is located.
Eco-PTZ and non-collective sanitation
- Houses that are not connected to the public sewage collection network must be equipped with non-collective sanitation facilities, the establishment or renovation of which may be financed under the eco-PTZ from the moment where one chooses a device that does not consume energy.
- The amount of the eco-PTZ granted for this purpose will be up to a maximum of € 10,000.
The right choice of work under the eco-PTZ
The choice of work to be carried out as part of the eco-PTZ depends on the configuration of each house or apartment. It is therefore not possible to recommend the same work for all properties to renovate.
Referring to the categories to be considered in the formulation of the work package, it is possible to choose according to what will be the most advantageous for a considered good. Consulting with a contractor or a renovation specialist is the best way to find the best solutions.
The profitability of the energy renovation works will be all the more significant as the house to renovate is energy intensive.
In practice, it has been found that insulation and ventilation, which is the first priority in relation to the installation of heating and hot water systems, is more efficient in terms of energy renovation.
Of course, the use of renewable energies is among the most consistent solutions to changes in legislation in the field of energy renovation. It is therefore preferred.
Amount and duration of eco-PTZ
The amount and duration of the eco-PTZ depends on the intervention method chosen. In any case, it will not exceed 30,000 euros . Its duration is 10 years on average and it gives rise to no refund of interest.
The amount of the complementary eco-PTZ must not exceed the ceiling of 30 000 euros when added to the amount of the first application.
In practice, the maximum amount of the eco-PTZ depends on the option the borrower has opted for.
For example, a simple action gives rise to a maximum loan of 10,000 euros and will last for a maximum of 10 years. For a bouquet including 2 works, the maximum amount will be 20 000 euros still repayable over 10 years.
A bouquet of 3 works gives the right to the maximum release of 30 000 euros and a repayment which can spread over 15 years. The same is true of works aimed at improving the overall energy performance of housing.
On the other hand, an intervention on non-collective sanitation gives rise to a maximum release of 10,000 euros to be reimbursed at the latest within 10 years.
The duration of the repayment is also flexible and can be done for a minimum of 3 years if the borrower so requests.
Organizations granting the zero-rated eco-loan
After the identification of the artisan RGE or “recognized guarantor of the environment” who will carry out the work previously defined, the borrower will have to apply to a bank partner of the eco-PTZ device , that is to say which signed an agreement with the administration to be able to diffuse this type of loan.
He will have to present a form “estimate” as well as the different estimates of the option he has chosen.
Like any other type of loan, the bank will decide according to the borrower’s situation, ie its ability to repay the loan and its level of indebtedness.
A loan granted means that the borrower has 3 years to carry out the work envisaged under the eco-PTZ. Once these are done, he must return to the bank with the form “invoices” and invoices from the completion of this work.
The certificate of eligibility of the works that the borrower intends to realize is now the responsibility of the company and no longer the banker. It is therefore up to him to give the figures corresponding to the work and to commit to the fact that it is work eligible for eco-PTZ.
An error of declaration carries for it sanctions. This is a fine equal to 10% of the incorrect amount and declared as eligible.
Work done in installments
To be able to benefit from a complementary eco-PTZ following a first wave of work, it is essential to start its loan application process within 3 years after the release of the first. It is also necessary that the eco-PTZ initially granted be closed.
The two loans will not exceed 30,000 euros while the criteria for granting the second are the same as those of the first.
In practice, it has been noted that the work done globally at one time is better than the consecutive work at least, in terms of profitability.
The cumulative nature of eco-PTZ
The eco-PTZ can be cumulated with other categories of aid namely:
- Anah’s help and those offered by the communities
- Energy Saving Certificates and the PTZ on Home Ownership
- The energy transition tax credit (since March 01, 2016).
Eco-PTZ in the DOM
The dwellings located in the overseas departments and whose building permit was filed before May 1, 2010 may be the subject of work under the eco-PTZ.
However, the work carried out there is adapted according to the climatic conditions that exist in these territories. Thus, the arrangements for the solar protection of these dwellings are preferred over the thermal insulation work.
Eco-loans from the sustainable development booklet (LDD)
The zero-rate eco-loan is to be differentiated from LDD-related eco-loans in that the latter, although they also finance energy performance work, agree with interest rates although their rate is lower by compared to those of the classic loan.
They can complement the zero-rate eco-loan and show their usefulness for work that may not be eligible for eco-PTZ.
Eco-PTZ and condominium
The eco-PTZ can be both subscribed by each co-owner for work on his property at the same time as the trustee co-ownership to finance the work that remains to be done outside those made under the eco-PTZ individual to each co-owner.
In this case, a complementary eco-PTZ may be requested as an addendum to the eco-PTZ co-ownership and within one year from the closing of the latter.
Its amount plus the participation of the co-owner in the eco-PTZ co-ownership should not exceed 30,000 euros.