Climate clause

Green Assured Shorthold Tenancy (AST) Clauses

Toryn's Clause

Green AST clauses to give tenants a modest rental rebate for 'green' household management and give landlords the ability to invest in renewable energy installations while their rentals are occupied.

This is a climate clause

This clause brings climate considerations to your drafting. It is not yet net zero aligned. To align this clause with net zero, use our toolkit or join one of our events.

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Why use this?

Clauses that incentivise tenants to occupy a rental property in a sustainable way and allow landlords to install renewable energy solutions at the property while it is still occupied.

Disclaimer - please read

The clauses on this website have been prepared in good faith on a pro bono basis and are free to download and use. The clauses have been drafted and edited by a variety of lawyers and, as such, the approaches to drafting may not conform to any particular drafting norms. We acknowledge this as a consequence of the collaborative drafting process.

The clauses on this website are provided on an ‘as is’ basis and without any representation or warranty as to accuracy or that the clauses will achieve the relevant climate goal or any other outcome.

The clauses on this website do not comprise, constitute or provide personal, specific or individual recommendations or advice of any kind, and do not contain legal or financial advice. The clauses are precedents for legal professionals to use, amend and negotiate using their professional skill and judgement and at their own risk.

While care has been taken in the drafting of these clauses, neither The Chancery Lane Project nor any of its contributors owe a duty of care to any party in relation to their preparation and do not accept any liability for any errors or omissions, nor for any loss incurred by any person relying on or using these clauses or any other person. Users should use their own professional judgement in the application of these clauses to any particular circumstance or jurisdiction or seek independent legal advice.

The clause

Additional Definitions

Green Occupation Undertakings has the meaning given to it in clause [1.2]. 

Green Rent Rebate has the meaning given to it in clause [1.2]. 

Rent has the meaning given to it in clause [1.1].

Rent Payment Date has the meaning given to it in clause [1.1].

[Drafting note: Capitalised terms relate to either a defined term in this clause or a defined term in the main agreement that this clause is designed to be inserted into.]


Additional Clauses

1. Rent

1.1 Subject to clause [1.2], the Tenant shall pay rent at an initial rate of £[●] per calendar month (Rent) in advance on or before the [●] day in each calendar month (Rent Payment Date) to the Landlord.

1.2 The Landlord agrees to reduce the Rent by £[●] per calendar month (Green Rent Rebate) in reliance on the following Tenant undertakings:

(a) to purchase electricity and, if available, gas from a renewable/ green tariff[, install a smart meter and smart heating controls to monitor their energy use [Drafting note: If not already installed by the Landlord]] and minimise energy use as far as possible (for example, by turning appliances off standby mode);

(b) to replace existing LED light bulbs with new LED light bulbs as required from time to time; [Drafting note: Assumes all light bulbs in the Property are already LEDs]

(c) to recycle as much as possible and otherwise minimise household waste as far as possible; and

(d) to minimise water use as far as possible (for example, by installing water efficient shower heads) [Drafting note: If not already installed by the Landlord],

(the Green Occupation Undertakings).

1.3 The Landlord reserves the right to require the Tenant to provide reasonable evidence (for example, copies of recent utility bills) to demonstrate its compliance with the Green Occupation Undertakings.

1.4 If, in the Landlord’s reasonable opinion, it does not believe that the Tenant has been complying with the letter and/or spirit of the Green Occupation Undertakings, the Landlord may withdraw the Green Rent Rebate at its discretion. In this event, the Rent shall return to the amount stated in clause [1.1] with effect from the next Rent Payment Date.

2. Landlord’s right to enter the Property

2.1 Subject to clause [2.2], the Landlord reserves the right for the Landlord, or any person acting on behalf of the Landlord, to enter the Property on giving reasonable prior notice to the Tenant to: 

2.1.1 investigate the possibility of installing renewable energy or energy efficiency solutions (for example, installing a more efficient boiler, loft insulation, solar panels on the Property’s roof, a home battery or an electric vehicle charging point); and 

2.1.2 if such installation works are deemed suitable, to carry out the installation works.

2.2 The Landlord, or any person acting on behalf of the Landlord, shall take reasonable steps to ensure that the Tenant’s right to quiet enjoyment of the Property is not unduly interrupted by, and make good any damage caused by, the investigations or the undertaking of the installations referred to in clause [2.1].

2.3 Subject to the Landlord complying with clauses [2.1] and [2.2], the Tenant shall use its reasonable endeavours to cooperate with the Landlord to assist it with the investigations or the installation works referred to in clause [2.1].

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