HEMS Overview

  • Costs for all aspects are paid from energy savings over the 23 life of the government approved scheme
  • End users save a minimum 20% of their electricity and carry on paying their existing electricity supplier
  • Electricity prices are fixed for 23 years and only rise by the rate of inflation
  • The equipment; solar PV, battery storage system and LED lighting is given for free to the homeowner or leaseholder after 23 years. During this time energy savings repay the equipment and installation costs
    • Over 23 years the electricity savings for an average home is £15,000 based on electricity prices escalating 6% per annum (between 1H08 and 1H14 it was 9.2%) and inflation rising 2.5% per annum. In the event of moving home the equipment remains in the home leaving lower electricity prices for the new buyer – hence property values are likely to increase
    • A leading investment bank expects electricity prices to double over the next 10 to 15 years
  • No form of down payment is required and there are no costs at any stage
  • All equipment is 100% safe, high quality and sourced from leading manufacturers
  • Installation is a half-day process and fully insured against any damage
  • An app shows all your consumption data
  • No government subsidies of any nature needed
  • No lease or license is required
  • No form of credit checking/scoring so everyone is eligible
  • You can be a home-owner, private or socially renting
  • Free limited bandwidth broadband for those without
  • No maintenance costs we do this in-house for the full 23 year term
  • Comprehensive insurance covers equipment for every eventuality

What’s the catch?

No catch. Just efficient use of finance and technology:

  • Part of your energy savings is used to pay for the equipment and installation
  • Your self-generated solar electricity replaces the cost of buying electricity from utility companies
  • Your battery stores your electricity until you need to use it during the evening and night time
  • LED lighting is highly energy efficient and lowers your overall consumption of electricity
  • Factored into this is a 20% saving in your electricity bill
  • You carry on paying your existing electricity supplier for HEMS, your electricity supplier pays North Star

Virtually everyone except utility companies are winners as you won’t be buying much of their electricity, HEMS frees you from their price-rises for 23 years, North Star’s electricity price rises only by the rate of inflation.

During winter months when days are shorter you will need to top-up your self-generated electricity (for now at least) with a little from your electricity supplier though this will be at off-peak prices regardless of the time of day you consume it by switching your electricity tariff to Economy7 or Economy 10. During summer months most likely you will not need any additional electricity from your electricity supplier.