Snugg, a platform that recommends energy-efficiency measures for homeowners, has launched Carbon Cashback, a new initiative that offers financial rewards for making homes more sustainable, allowing homeowners to participate in the voluntary carbon market (VCM).
Developed under the UK government’s Green Home Finance Accelerator (GHFA) program, Carbon Cashback by Snugg uses smart meter data to track carbon savings.
These savings are then converted into carbon credits and sold through the VCM, where companies can buy and sell credits to support emission reduction projects.
“For the first time, homeowners can easily participate in and benefit from the Voluntary Carbon Market,” George Wilson, carbon markets lead at Snugg, said.
Homeowners who implement energy-efficiency upgrades can receive up to $2,590 (£2,000) in cashback over 10 years.
Payments are determined by verified carbon reductions using smart meter data and an approved Verra methodology.
Relevant: PNZ Carbon And Carbonplace To Sell First Credits From Decarbonization Of UK Homes
Businesses partnering with Snugg can provide customers with access to the platform while also gaining insights into energy consumption and emissions reduction.
This data can help companies lower their Scope 3 emissions—indirect emissions from their value chain.
Wilson emphasized the importance of financial incentives in driving home energy improvements, noting that reducing upfront costs could encourage more homeowners to invest in upgrades.
He also highlighted the benefits for businesses, which can enhance their services while helping customers on their sustainability journey.
The initiative is launching in beta with select partners, with a wider rollout planned later this year. Snugg is actively seeking additional early-adopter businesses to join the program.
Carbon Cashback aims to support the estimated $323 billion (£250 billion) investment required to decarbonize UK homes.
The VCM is expected to contribute 5-10% of the total capital needed for residential decarbonization.
Read more: Opinion: The VCM Is Essential To Decarbonizing UK Homes
