The project would see all of Perth and Kinross Council's 389 timber-framed homes in North Muirton fitted with external insulation cladding free of charge. Around a further 300 private homeowners in the area are also expected to benefit from the offer of subsidised work.
The multi-million pound scheme will substantially lower the energy bills of households who take part, as well as help reduce the carbon footprint.
The work will be a partnership by the Council and energy company SSE under the Scottish Government's Home Energy Efficiency Programmes Area Based Schemes (HEEPS-ABS) and the Energy Company Obligation (ECO).
A bid for HEEPS-ABS funding has already been approved by the Scottish Government and an offer of grant amounting to £1,216,881 was unveiled in June. The grant was awarded on the basis that the local authority had also secured ECO funding from SSE to help pay for insulation measures to privately owned and privately rented houses as well as the Council's own housing stock.
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The first phase of works started last month in the Killyland area of Perth.
A total of 159 homes are now being fitted with externally applied wall insulation, with 119 Council tenants and 40 home-owners benefitting.
In the autumn, the work will be extended to North Muirton.
Up to £1.3m will be spent on insulating homes in the area, which will in turn, attract as much as £3,408,000 of ECO funding from SSE and £680,000 of HEEPS-ABS money.
Committee Convener, Councillor Dave Doogan, said: "This is an excellent scheme which provides us with the opportunity to attract significant external funding to upgrade housing stock across Perth and Kinross, and make a positive difference to the lives of householders.
"The homes in North Muirton cannot be insulated using traditional low-cost measures due to the nature of their construction. The external cladding being fitted will provide them with high-quality insulation that will have an impact on household bills.
"All Council tenants will receive the work for free. We also hope that around 300 private home owners will come forward to take advantage of the opportunity. They will receive a subsidy under the project, dependant on the type of existing heating they have and the size of their house."
Dave McEvoy, SSE's Area Development Manager for Scotland, added: "This is another fantastic project to help more Perth homes become more energy efficient and SSE is delighted to be playing such an integral part. We've already started work on insulating homes in Hillyland and we are looking forward to speaking to residents of North Muirton to discuss how they too can enjoy the benefits of better insulated homes.
"These improvements will not only improve the look of the homes but will keep the homes warmer for longer and help reduce residents' energy bills."
A drop-in event will be held for eligible householders on Wednesday 14 August at North Inch Community Campus between 5pm and 8pm.
(JP/CD)
