hhic journal

AUGUST 2012 ISSUE 18

INDUSTRY COUNCIL

HEATINGHOTWATER

HHICCCO

CAROLINE FLINT MP

PROFESSOR PAUL EKINS

DR TINA HOLT

ELIZABETH LEIGHTON - WWF

PROFESSOR DOUG KING

DR ELAINE LANCASTER

01 Cover.indd 1 12/7/12 14:48:20

HHIC Camden House, Warwick Road, Kenilworth Warwickshire CV8 1THTel: 01926 513777 Fax: 01926 511923e-mail:[email protected]: www.centralheating.co.uk

SECRETARIATDirectorRoger Webb Tel. 01926 513740e-mail: [email protected]

Deputy DirectorChris Yates Tel. 01926 513744e-mail: [email protected]

Technical ManagerGlyn Thomas Tel. 01926 513746e-mail: [email protected]

Membership Services ManagerIsaac Occhipinti Tel. 01926 513742e-mail: [email protected]

Communications ManagerJodie Wiltshire Tel. 01926 513743e-mail: [email protected] Administrator Natalie Flay Tel. 01926 513741e-mail: [email protected]

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DEVELOPMENT PUBLISHER Juliet Loiselle

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HHIC is a division of Energy and Utilities Alliance (EUA)

Many moons ago, I produced a programme for BBC Radio 4 on the history of the public library. What struck me most in researching this documentary was how people’s desire for free knowledge was incredibly important. The success of the Green Deal depends on how consumers will perceive this scheme and how the trusted, information bearers deliver its benefits. This is why in this issue, I have a gathered a diverse pool of experts from academia, government and industry specialists to debate many concerns relating to the Green Deal. With the government and

WELCOMEFROM YOUR EDITOR

If you are interested in submitting editorial for HHIC Journal, please contact the Editor, Jodie Wiltshire on 01926 513743 or e-mail [email protected] Editor reserves the right to withhold or edit any material submitted for publication. The Editor’s decision is final.Views expressed in HHIC Journal are not necessarily the official view of the Heating & Hotwater Industry Council.The inclusion of advertising, circulation of any advertising literature or enclosures with HHIC Journal does not signify HHIC endorsement of any of the products or items concerned.

40

14

industry putting a serious commitment into the scheme, they really can’t afford it to fail.

Jodie Wiltshire, EDITOR, [email protected], Twitter: JodieCommsHHIC

CONTENTS

AUGUST 2012 HEATING & HOTWATER INDUSTRY COUNCIL22_3 Contents.indd 2 25/7/12 12:14:37

Caroline Flint Caroline Flint MP is the Shadow Secretary of State for Energy and Climate Change. Caroline is a British Labour Party politician who has been the Member of Parliament (MP) for Don Valley since 1997. She served as the Minister of State for Housing and Planning in 2008, and later as the Minister for Europe until 2009. In October 2010, she was elected to the Shadow Cabinet, and Ed Miliband appointed her Shadow Secretary of State for Communities and Local Government. In October 2011 Miliband appointed her Shadow Secretary of State for Energy and Climate Change.

Elizabeth Leighton Elizabeth is a Senior Policy Offi cer - Footprint Project Manager for WWF and her role is to paint a picture of a One Planet Scotland and engage with government and others to make it a reality. Scotland is currently living a three planet lifestyle. One Planet Scotland is a project to cut the Ecological Footprint as the UK is on a footprint trajectory that could lead to a 20 per cent increase by 2020.

Professor Doug King Doug King is an independent specialist in innovative and sustainable buildings. He has been behind the design of some of the most infl uential sustainable buildings in the world and has received numerous awards recognising his work and his contribution to the construction

industry. Doug is a Royal Academy of Engineering Visiting Professor in Building Physics and was author of their reports “Engineering a Low Carbon Built Environment” and “The Case for Centres of Excellence in Integrated Sustainable Building Design.”

Professor Christopher TweedProfessor Christopher Tweed is the BRE Chair in Sustainable Design of the Built Environment, Welsh School of Architecture at Cardiff University. He has a general interest in environmental design in the built environment, which embraces research into reducing the demand for energy in existing buildings as well as research on the role of built cultural heritage in urban sustainability.

FEATURES

REGULARS

04

10

CONSUMER BEHAVIOUR IS VITAL FOR GREEN DEAL TO WORK Professor of Energy, Paul Ekins and Dr Catalina Spataru

discuss how consumer behaviour is vital for the Green Deal to work

HOME COMFORTS IN AN AGE OF UNCERTAINTY Professor Chris Tweed discusses how retrofi tting houses must result

in a better quality of life

THE GREEN DEAL MUST BE A GOOD DEAL TOO Caroline Flint MP, talks about how important the Green Deal is to the

Labour government

FORGET ‘ECOBLING’ THE UK NEEDS TO CONSUME LESS ENERGY Professor Doug King debates how the UK must build

refurbishments that actually address energy consumption

PUTTING ENERGY SAVINGS WITHIN REACH Elizabeth Leighton, Senior Policy Offi cer, WWF Scotland compares an

equivalent Green Deal scheme in the USA

NEW NAME, SAME CREDIBILITY, FRESH ENERGY Mike Foster, Chief Executive of Energy and Utilities Alliance (EUA)

explains why this trade association is fi nally moving forward

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38

CONTENTSAUGUST 2012 ISSUE 18

CONTRIBUTORS

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30

40

20

09

45

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MEMBER NEWS

MARKET UPDATE

MATTER IN QUESTION Roger Webb, HHIC’s Director refl ects on

how the backbone of the Green Deal is heating

\

HOMES BEHAVING BADLY Dr Tina Holt tells us more about the

HOBBS project funded by the UK government’s recent community-

focused scheme, the Local Energy Assessment Fund (LEAF)

DOING THE DEAL Dr Elaine Lancaster, Research & Development

Director at Ideal Heating discusses how high effi ciency systems are

crucial if the carbon targets are to be met

BOILERS CAN BE THE TRIGGER TO KICK-START THE GREEN DEAL Neil Schofi eld from the Worcester Bosch Group discusses the

importance the Green Deal has on the boiler manufacturing industry

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WWW.CENTRALHEATING.CO.UK AUGUST 2012 32_3 Contents.indd 3 25/7/12 11:37:14

AUGUST 2012 HEATING & HOTWATER INDUSTRY COUNCIL4

CONSUMER BEHAVIOUR IS VITAL FOR

CONSUMER BEHAVIOUR

“The Green Deal will be the biggest home improvement

programme since the Second World War shifting our

outdated draughty homes from the past into the future.”

Greg Barker, Climate Change Minister (June 2011)

The UK has one of the oldest stocks of residential buildings in Europe. In England 21% of dwellings were built before 1919 and 16% built between 1919 and 1945 which represent nearly one third of the total non-domestic building stock.1 The energy efficiency of these dwellings will need to be much improved to meet the UK Government’s energy policy objectives of reduced carbon emissions, increased energy security and affordable fuel bills. To pursue these objectives, the government has developed and implemented a range of policies, including regulation, information and market incentives to influence people’s energy behaviour.

4-8 professor ekins.indd 4 23/7/12 14:52:11

WWW.CENTRALHEATING.CO.UK AUGUST 2012 5

TO WORKBY PROFESSOR PAUL EKINS AND DR CATALINA SPATARU, UCL ENERGY INSTITUTE

“One of the most important but least understood factors related to the Green Deal is the diversity of consumer behaviour”

In 2010 the coalition government announced the introduction of the Green

Deal which will come into effect from autumn 2012. The Green Deal is a

regulatory framework that is intended to make energy efficiency affordable

for consumers with no up-front cost and provides the conditions for a

competitive market where customers can choose.2

The Green Deal will apply to owner-occupiers, the social and private

rented sectors and the commercial sector. Chris Huhne, the then Secretary

of State for Energy and Climate Change, announced on 21st September

2010 that: “The Green Deal is a massive new business opportunity which

has the potential to support up to a quarter of a million jobs as part of our

third industrial revolution”3. The Chartered Institution of Building Services and

Engineers (CIBSE) mentioned that an average of one building every minute will

need to be refurbished over the next 40 years4 to meet the national targets for

carbon emissions reduction. In fact, refurbishing one home a minute would

only upgrade around 20 million dwellings5, so to do the whole building stock by



CONSUMER BEHAVIOUR

then would require more than one per

minute (including upgrading relatively

new buildings).

The logistical implications of such

a programme have attracted a good

deal of scepticism. In January 2012

the UK Energy Research Centre

(UKERC)6 highlighted a series of

irregularities in Green Deal design

by drawing attention to what it calls

‘key omissions and inconsistencies’

in the document. Also the UKERC is

seeking clarification on how the Green

Deal will fit with and complement

other reforms and initiatives being

proposed, particularly the Renewable

Heat Incentive, and Feed-in-Tariffs.

Under the Green Deal, homeowners

will be able to borrow up to £10,000

to pay for different measures and pay

back the capital (plus interest) through

an extra charge on their electricity

bill over a maximum of 25 years. The

Department of Energy and Climate

Change (DECC) has published a list

of measures including insulation,

boiler, glazing and heating controls

improvements. These are expected

to be suitable for Green Deal finance

with eligibility being dependent on the

calculated savings from the energy

measures being less than the bill

repayments – the so-called ‘Golden

Rule.’ However the government will not

guarantee the actual cash savings and

should the occupier move, the charge

on the electricity bill will stay with the

property and the next bill payer.

One of the most important but

least understood factors related to

the Green Deal is the diversity of

consumer behaviour. Different owners

or tenants have different lifestyles,

preferences, comfort requirements

and budgets. The Deal is taken out

for a particular property at a particular

time and the package may suit the

current consumer. However, if a

new owner or tenant occupies the

property, the Green Deal may not be

appropriate for them with implications

for the energy and cost savings. The

Green Deal tailors an energy efficiency

package for a particular consumer, not

a standard product which may suit a

wide range of people. Also, this may

cause a problem in the fluidity of the

housing market.

There have been a number of field

trials of micro-distributed technologies

(heat pumps, solar photovoltaics (PV)

and others), which have shown that

poor installation and site selection,

as well as some tool deficiencies,

were major factors leading to poorer

performance than predicted by

manufacturers. The Energy Saving

Trust (EST) studies in heat pumps7 and

solar thermal systems8 show that in

the case of heat pumps some installed

systems failed to meet the levels

studied in European field trials. In the

case of solar thermal systems, the

trial found examples where systems

were not properly configured or used.

Therefore, the performance of these

systems could be affected by user

behaviour and attitudes (how they

are controlled and used) and by the

quality of installation.

In addition most studies to date

have focused on characterising the

technologies and less on the context

of people and buildings. These latter

is particularly important in terms of

understanding behaviour diversity

and how technologies may perform

in occupied buildings. All field trials

“The Deal is taken out for a particular property at a particular time and the package may suit

the current consumer.”



have their limitations but even so the main fi ndings that have emerged can still

be useful. For example, there is no evidence that demand temperatures have

risen over time and controls do not necessarily result in lower temperatures as

assumed in the Standard Assessment Procedure (SAP). In dwellings with small

heat loss the parasitic power9 during start up and cooling down can mean that

condensing boilers can outperform micro-chp10 units.

Another point is that behavioural changes can be more important in reducing

electricity consumption than any energy effi ciency intervention relating to

household equipment. If heat pumps increasingly replace boilers for space

heating and hot water, the peak electricity demand could increase signifi cantly

if not carefully managed. This could well drive an increase in the unit cost of

electricity. Micro-distributed technologies where several devices provide heat in a

connected system are more sensitive to occupant behaviour. Unfortunately there

“All fi eld trials have their limitations but even so the main fi ndings that have emerged to date can still be useful.”


8

CONSUMER BEHAVIOUR

AUGUST 2012 HEATING & HOTWATER INDUSTRY COUNCIL

are few findings available from field studies

detailing the interactions between occupants

and energy efficiency and systems, and the

diversity of these. Additional research on the

diversity of people, controls, smart home

energy management, as well as education of

households and installers, can help in providing

more understanding of real dwellings behaviour

and the interaction with their occupants.

In addition a variety of criticisms of SAP

have been made in recent years. Many studies

have shown that SAP can overestimate or

underestimate the savings made in dwellings,

yet the government intends to use SAP for

the Green Deal. SAP was designed to assess

buildings, not to provide an accurate estimate

of the performance of a specific building-

technology-occupant-location system. A

Green Deal assessment based on SAP may

give misleading results unless it is adjusted

to take into account different occupants’

behaviour, heating patterns, different climate

locations, etc.

If the Golden Rule is going to work so that

Green Deal customers who keep their energy

haviour unchanged do not face higher energy

bills, then far more thought is required in how

to characterise occupant behaviour. Also, how

to include this in the assessments that will

work out which measures meet the Golden

Rule and should therefore be supported

through Green Deal finance will need to be

considered. Unless this is done before the first

Green Deal loans are issued, there is a real risk

that some customers who change their energy

behaviour following the energy efficiency

measures, perhaps without being aware of it,

will be disappointed to see their energy bills

rise rather than fall. And that will risk bringing

the whole of the Green Deal into disrepute.

1 English Housing Survey, Housing Stock Report, 2008 Communities and Local Government,

http://www.communities.gov.uk/documents/statistics/pdf/1750754.pdf

2 DECC 2010, The Green Deal A summary of the Government’s proposals, http://www.decc.gov.

uk/assets/decc/legislation/energybill/1010-green-deal-summary-proposals.pdf

3 http://www.decc.gov.uk/en/content/cms/news/pn10_104/pn10_104.aspx

4 http://www.cibsemail.org/preview.php?c=904&m=0&previewtype=html 538years X 365.25 days

X 24 hrs X 60 min= 19,986,480

6 http://www.ukerc.ac.uk/support/tiki-read_article.php?articleId=1679&fullscreen=y Full version of

UKERC’s response to the Green Deal Consultation http://tinyurl.com/853zfdm

7 The Energy Saving Trust, 2010, Getting warmer: a field trial of heat pumps

8 The Energy Saving Trust, 2011, Here comes the sun: a field trial of solar water heating systems

9 Parasitic power is power used to make the machine work, but that doesn’t produce a useful output

10 Chp stands for combined heat and power. These units produce both electricity and useful heat.



MEMBER NEWS

HHIC has been working

hard with industry and the

government in trying to

fi nd a solution to this dilemma. We all

accept that the Green Deal will be more

successful if SMEs are engaged, but no

one has yet come up with a defi nitive

way that ensures they will be.

Within the heating industry there are

around 60,000 installation and servicing

businesses. Most of these are small and

micro companies, often employing one

or two people.

Around 80% of gas boiler

installations are done by these small

businesses meaning that every day

around 5,000 homes are visited by

these companies.

Given that boiler installations will

almost certainly be a key driver for

Green Deal take up these 5,000 visits

could be a very effective way to market

the Green Deal and ensure its success.

So why are there doubts that this

will happen?

The current structure of the Green

Deal requires two key elements. It

requires an accredited assessor to

conduct a Green Deal assessment of

the potential customer’s property and

energy use. It also requires a Green Deal

provider to guarantee the works and to

provide any capital for the project.

This means small companies would

probably have to receive work from the

Green Deal providers once a deal has

already been agreed. The dilemma

here is that if a heating engineer

is called into a home to quote on

replacing a boiler, recommending the

Green Deal will not guarantee they get

the job. Instead, if they quote privately

they have a better chance of keeping

all the income for themselves.

If the heating engineer has a prior

relationship with the consumer it is even

less likely that they would recommend

a scheme that may jeopardise a well-

standing relationship.

Therefore the current structure

may well alienate smaller installation

companies and create resentment

amongst them for the Green Deal.

Instead, we need to look at ways

to help engage installers and fi nd a

model that fi ts their current way of

doing business.

The government is working hard

to come up with solutions for this.

Currently it believes there are three

broad routes that could involve

smaller companies.

One is as a subcontractor to a Green

Deal provider. The Green Deal provider

would conduct the assessments and

arrange fi nance. The installer would

do the work and would be paid by the

provider to do so.

Another route is working with a

trade body or merchant chain that

may have a provider scheme that

allows installers access to Green Deal

fi nance to help them offer the Green

Deal to their customers. However a

Green Deal assessment would still

have to take place.

Local authorities may also set up

Green Deal schemes that installers

could bid to work on. However

local authority tendering processes

are notoriously diffi cult for smaller

companies to win.

HHIC believe there are some other

solutions to this dilemma.

One solution could be to use

some of the stated £200 million

the government has put aside for

encouraging Green Deal take up

to discount fi tting boilers. HHIC’s

idea would be for the boilers to be

installed outside the Green Deal

mechanism, but with the promise of a

voucher for a sum, £500 for example,

if the consumer undertakes a Green

Deal assessment within six months of

the installation.

This will allow smaller installers to

continue to sell boilers to their existing

customers and to bid for work in the

same way.

It would also boost the take up Green

Deal assessments hopefully leading to

full Green Deals by consumers wanting

to claim their £500.

This however is a short-term solution

to help remove some of the initial

barriers that may be present when the

Green Deal is launched.

Another more long- term solution is

to simplify the Green Deal process to

allow installers to also be Green Deal

assessors. This is currently possible but

the costs for doing so are prohibitive

and the process complicated.

If government were to make the

process easier and much cheaper,

installers could be trained quite easily,

potentially as part of their current regular

gas competency training to undertake

property assessments. This would allow

them to take control of the Green Deal

process and allow smaller installers to

be a one-stop shop for consumers to

get a Green Deal.

Smaller installers must feel in control

of the process and understand how it

benefi ts them, and then they are more

likely to recommend it and to push it to

be a success.

HHIC will be lobbying the

government over the coming months to

ensure this message is communicated

because we want the Green Deal to

be a success. However, we recognise

that if installers are not part of the

solution then we risk alienating the best,

cheapest and most logical route to

market the Green Deal has.

MEMBER NEWSEveryone involved in the Green Deal wants to see SMEs engaged with the scheme. However, given the structure of the Green Deal, is this realistic?

BY ISAAC OCCHIPINTI, MEMBERSHIP MANAGER

IF YOU HAVE ANY COMMENT ON THIS ARTICLE PLEASE CONTACT ME ON 01926 513742

09 member news.indd 9 23/7/12 09:53:22


HOME COMFORTS IN AN AGE OF UNCERTAINTY

HOME COMFORTS in an age of uncertaintyBY PROFESSOR CHRISTOPHER TWEED, BRE CHAIR IN SUSTAINABLE DESIGN OF THE BUILT ENVIRONMENT

10-13 home comforts.indd 10 12/7/12 14:14:53


Our homes are so familiar

to us that we take for

granted much of what

they offer. But relations between

ourselves and the structures we

inhabit have fascinated philosophers,

psychologists, architects and

anthropologists for centuries. Their

various writings illustrate the diverse

interactions we have with the fabric

and contents of our dwellings, and

yet their detailed insights barely

register outside the academic world.

Such issues gain little traction

with practitioners, policymakers

and others working at the ‘sharp

end’ of the construction industry,

where concerns about the finer

details of design and delivery are

often dismissed. This short article

argues that ideas, methods and

observations developed through

careful field studies of people in

buildings and the resulting theories

about human-environment interaction

can help us improve quality of life

and user satisfaction with the built

environment. These concerns are

at the real sharp end of designing

and building—the end of the retrofit

delivery pipe—as that is where

solutions are implemented and either

fail or succeed.

The UK Government is promoting

large scale retrofitting of its housing

stock to reduce CO2 emissions

through the Green Deal. According

to recent DECC statistics more than

7.6 million homes with solid walls

(98%) have yet to be insulated.

This will have a major impact on

people’s homes and yet much of

the debate surrounding retrofit

is about the merits of particular

technical solutions for upgrading

the building fabric and renewable

energy systems. Focusing solely

on the technical aspects of retrofit

ignores the need for users to operate

their upgraded homes effectively

to achieve the intended carbon

and energy savings. This is crucial

to achieving the carbon emissions

reduction targets required by 2050

and is not amenable to purely

technical treatment. It requires

an understanding of how people

behave in their homes that is so far

absent from current proposals.

One approach to studying how

people engage and interact with

the environment stands out. The

ecological psychologist, J.J. Gibson,

emphasised the need to consider

organisms and environments

simultaneously, since the way they

interact depends on the properties

of both. Just as the energy and

environmental performance of

unoccupied buildings is relatively

meaningless, so treating people in

the abstract, devoid of any particular

context can be equally misleading.

Gibson’s approach highlights the

need to understand people in

buildings and reminds us not to

rely on generalisations about what

people do outside a given situation.

His major contribution is a pair of

related concepts: affordance and

effectivity. An affordance is what an

environment offers people (for good

or for ill) and depends not just on

the properties of the environment

but also on the capabilities of

those immersed in it. In short,

buildings support various activities

and amenities, but only for those

with the appropriate effectivities.

This interrelationship between

affordance and effectivity alerts

us to the unavailability of building

functions to users, for example, with

reduced mobility.

Affordances and effectivities,

then, are a better way to describe

what buildings offer occupants

than the generic notion of building

function, which is independent

of who will use the building and

their abilities. It would be limiting,

however, to think of affordances

as unavailable to those who lack

an ability or have a “disability.” An

interesting corollary of the study

of affordances is the realisation

that users must possess certain

skills to be able to engage with a

building effectively and to access its

intended functions. This is becoming

increasingly evident as buildings and

“The experience of getting warm in front of a glowing fire almost encapsulates the very idea of home in our climate.”



HOME COMFORTS IN AN AGE OF UNCERTAINTY

their systems become more complex.

In other words, people have to have

certain skills if they are get the most

out an environment.

The theory of affordances

sketched above questions

the conventional approach of

separating people and buildings

in much contemporary design and

construction, including retrofi tting.

There is a further assumption to be

challenged, which is also supported

by detailed studies of how people

engage with buildings.

Most current efforts to reduce

energy consumption in buildings

reduce the end user experience in

a refurbished building to a single

‘comfort’ temperature. There is no

detailed consideration of thermal

comfort criteria and the models

of thermal comfort embedded in

energy calculation software are

usually quite crude. Observations

of how people create and maintain

thermal conditions in their

homes suggest the outcomes of

refurbishment may be diverse and

differ from the assumed model of

user behaviour markedly.

“Just as the energy and environmental performance of unoccupied buildings is relatively meaningless, so treating people in the abstract, devoid of any particular context can be equally misleading.”

People’s behaviour and actions,

for example, appear to be driven

as much by wants as by needs.

As Henry Petroski noted, “luxury,

rather than necessity, is the

mother of invention.” Once basic

needs are met, people are mainly

interested in the experiences they

can have in a given environment.

In certain conditions this may

be straightforward, such as the

physiological need to maintain

a core body temperature. But to

assume such a need is the main

driver for thermally related behaviour

in the home, underestimates the role

that emotion and feelings play in

our everyday lives. As an example,

consider the change in methods of

heat delivery that is taking place in

low energy buildings.



Heat and warmth are primal

forces for people living in northern

and cool temperate climates. Fire in

its raw and tamed forms have been

central features within the home for

centuries. The experience of getting

warm in front of a glowing fi re almost

encapsulates the very idea of home

in our climate, but conventional

theories about thermal comfort are

largely blind to our preferences for

the way in which heat is delivered to

us in space and time. Low carbon

solutions, whether new build or

retrofi t, tend to introduce new forms

of heat delivery that operate at

much lower temperatures thereby

removing high temperature sources

from the dwelling. The absence of

high temperature (or high exergy)

sources stymies comfort habits and

practices that have been deeply

embedded over many years in our

cultural and social norms. Gathering

around a heat source is not simply

a physiological but a culturally

sanctioned response to coming in

from the cold. Field observations

suggest that if people are deprived

of thermal stimulation by the design

and operation of their heating

systems, they are likely to devise

other ways to regain the variety in

thermal conditions they are used to.

If their actions include buying and

using an energy intensive halogen

type heater from the local DIY store,

we are in trouble, since this may

subvert the entire low carbon project.

Debates about the choice of heating

system and its method of delivering

heat to spaces need to consider

the quality of the heat delivery and

the experience this provides for

the occupants—and not just the

immediate thermal experience.

Existing approaches to retrofi tting

mainly focus on technical concerns

and solutions. I have argued for

the importance of considering

psychological, social and cultural

issues in designing and planning

retrofi t programmes. The ultimate

success of a nationwide programme

will depend on those who are

expected to accept and operate

their modifi ed homes in line with

the intentions of the designers.

Many building projects get things

the wrong way round. Concerns

about the end-user experience

and improvements to the quality

of life are drowned out by loud

talk over technical solutions and

methods. Retrofi t has to result in

better quality of life for occupants

or else it is unlikely to work in any

wholesale way.

“People’s behaviour and actions, for example, appear to be driven as much by wants as by

needs. As Henry Petroski noted, “luxury, rather than necessity, is the mother of invention.”

Once basic needs are met, people are mainly interested in the experiences they can have

in a given environment.”



Labour wants the Green Deal

to succeed. We had a

pay-as-you-save scheme in

our manifesto, and it was

the last Labour government

who initiated pilot

programmes to test the

scheme. If done properly, a

pay-as-you-save energy

effi ciency scheme could

create jobs, lower bills for

families and cut carbon

emissions. But for the

Green Deal to work, it must

be a good deal too. With

just a few months until the

scheme is due to start, the

government still has much

to do to improve the

Green Deal to ensure it

delivers savings for hard-

pressed bill payers and

offers real incentives

so millions of people

want to take it up.

TheGREEN DEAL must be a good deal too

BY CAROLINE FLINT MP, SHADOW SECRETARY OF STATE FOR ENERGY AND CLIMATE CHANGE

CAROLINE FLINT MP

14-15 caroline flint.indd 14 25/7/12 15:11:10


I t’s not just Labour saying this.

In recent months the CBI,

Which?, the Federation of

Masters Builders, the Construction

Products Association, Green Alliance

and even the government’s own

advisors, the Committee on Climate

Change, have warned the Green

Deal will fail without signifi cant

improvements. But the government

just dismisses anyone who suggests

improvements, or raises concerns,

as scaremongerers – when in reality,

of course, exactly the opposite is

true. The real champions of the

Green Deal are those of us who are

trying to improve it and make it a

good deal.

Most importantly consumers

need to be offered affordable rates

of interest on Green Deal loans.

This is absolutely crucial to making

the scheme a success. Polling

conducted by the Great British

Refurb Campaign found that only

7% of homeowners would be

interested in taking up the Green

Deal if the interest rate is 6% or

above. Worryingly, however, a report

by environmental think tank E3G

says that relying on commercial

loans - as the government plans

- will mean interest rates as high as

8%. Modelling by London-based

home improvement fi rm, Crystal

also shows that even with a 5%

interest rate, measures taken out

under the Green Deal would cost

twice as much over the lifetime of

a plan, compared with paying for

them upfront. Finance at these kinds

of rates won’t be attractive to most

people, limiting demand and leaving

the Green Deal struggling to get off

the ground. To make matters worse,

the government are still intent on

including harsh penalty payments

for repaying loans early, which

will cost consumers thousands of

pounds and destroy the public’s

trust in the scheme.

One solution is the Green

Investment Bank. The government

announced last year that one of the

priorities for the Bank is to provide

support for the Green Deal, but they

haven’t specifi ed what form that

will take. It’s vital that any capital

made available is used to secure

affordable, attractive interest rates

for consumers, in order to lower the

cost of Green Deal packages.

Small businesses should be

allowed to complete with bigger

companies on a level playing fi eld.

Labour’s vision for the Green Deal

is one where small businesses,

co-operatives, local authorities,

charities and social enterprises are

able to compete alongside the big

six and other large companies that

want to take part in the scheme.

But the government’s proposals

will restrict full access to the Energy

Company Obligation (ECO), which will

provide subsidy for energy effi ciency

measures, to the Big Six energy

companies. These proposals not only

limit smaller providers from competing

on a level playing fi eld across the

whole Green Deal market, but

entrench the dominance of the big six

in our energy market. Labour wants to

see the Green Deal open to all types

and sizes of providers by allowing fair

access to the ECO.

Lastly, we have to ensure help

reaches those who need it most.

Under the last Labour government

the number of houses in fuel

poverty fell by 1.75 million. But with

energy bills on the rise, and cut to

programmes like Warm Front, there

are already warnings that progress

could be reversed. Labour believes

the funding from the ECO should

focus on delivering for low income

hard to treat homes, over able-to-pay

households. This would drive carbon

reduction while ensuring that we put

those who need help most, fi rst.

With time running out until the

Green Deal launches, the government

needs to end the uncertainty,

stop the infi ghting and focus on

developing a credible way to deliver

new jobs and lower energy bills.

14-15 caroline flint.indd 15 25/7/12 11:46:18


LESS ENERGY

FORGET ‘ECOBLING’THE UK NEEDS TO

CONSUMEBY PROFESSOR DOUG KING

FORGET ‘ECOBLING’

LESS ENERGY LESS ENERGY LESS ENERGY LESS ENERGY LESS ENERGY

ECOBLING DOUG KING

16-19 ecoblin.indd 16 25/7/12 11:50:10


“By now, everyone should be aware that the UK is committed to reducing

carbon dioxide emissions 80% below 1990 levels by 205O.”

The last two governments have managed to agree on one thing at least: the importance of tackling climate change and addressing future UK energy security. Because of this accord, the UK has actually adopted some extremely worthwhile, but challenging, targets on greenhouse gas abatement and on renewable and low carbon forms of power generation.

By now, everyone should

be aware that the UK is

committed to reducing

carbon dioxide emissions 80% below

1990 levels by 2050. Most people

reading this journal will also be aware

that carbon dioxide emissions arising

from energy consumption in the

buildings accounts for around 45%

of the total.

Thus, one of the headline policies

is that all new buildings should be

constructed to zero carbon standards

by 2020. However, by the time 2050

comes around new, zero carbon

buildings will only account for around

20% of the building stock, the

remaining 80% are already in use

today. The low carbon refurbishment

of some 20 million existing buildings

presents an even greater challenge

for the construction industry than that

of zero carbon new buildings. Further,

in order to meet the commitment we

will need to deliver over 2,000 low

carbon building refurbishments every

working day starting today.

Unfortunately, a number of recent

studies of both low carbon housing

and low carbon non-domestic

buildings have shown that there is

still a wide performance gap between

the expectations of the construction

industry and its clients and the

ability to deliver real carbon savings.

It is therefore vital that we embark

on this journey of decarbonising

the built environment with a clear

understanding of what it will involve

and which approaches deliver the

best abatement at the lowest cost.

Otherwise, we risk wasting time

and money on initiatives that fail to

achieve the end goal of reducing the

overall amount of carbon dioxide

emitted to the atmosphere.

Recently, the conjunction of local

planning policies demanding on-site

renewable energy generation and

the generous fi nancial incentives

available for these technologies

have created a perverse new market

for small scale generation in urban

locations. The most common

approach now being taken to low

and zero carbon housing is to use

an electric heat pump in the winter

and then provide the building with

suffi cient renewable generation to

offset the electricity consumed by

the heat pump over the course of

the whole year. What we are seeing

at the putative cutting edge of

new housing design will no doubt

become the default approach for

refurbishment too unless we do

something about it.

In some instances, I am even

hearing now of low carbon projects

that are abandoning super insulation

and other passive energy conservation

measures in order to pay for the

revenue earning technologies. Under

the right circumstances an owner

can now be paid to generate heat

that is wasted in a less well insulated

building and paid again to generate

renewable electricity to offset the

wasted consumption and still qualify

as zero carbon.

Subsidies aside, this approach

to zero carbon, whether applied to

new build or refurbishment, may not

actually lead to zero emissions, as

16-19 ecoblin.indd 17 23/7/12 12:32:56


“One of the headline policies is that all new buildings should be constructed to zero carbon standards by 2020. However, by the time 2050 comes around new, zero carbon buildings will only account for around 20% of the building stock, the remaining 80% are already in use today.”

the assessment of carbon abatement

does not take into account the different

times at which the generation and the

demands occur. The carbon intensity

of grid supplied electricity varies

depending on the mix of generation

required to meet demand. Generally,

in the winter the carbon intensity is

higher as more fossil fuel generation

is brought into the mix to match the

demand, whereas during the summer,

when building attached renewables will

be generating at their peak, the carbon

intensity is low anyway.

Taken to the extreme, if we try to

address low carbon refurbishment to

meet our national targets using a mix of

heat pumps and small scale renewable

generators then we will simply

exacerbate the problems. As more and

more renewable generation is added

to buildings, the carbon offset available

for each individual generator will get

lower and lower. On the flip side, a

wholesale move to electric heating in

the winter, even with the purported

efficiency of heat pumps, will require

a vast increase in generation capacity.

Even if a substantial proportion of

this demand can be met from large

scale renewables there will still be a

requirement for backup generation

to cover the intermittency of the

renewable generators.

Then we need to consider the

actual performance of heat pumps in

practice. Ground source heat pumps

provide consistent performance

throughout the year, but are expensive

and require large areas of land for

heat extraction. The performance

of the more popular air source heat

pumps depends on the external air

temperature. The performance figures

that are typically used to assess

the carbon abatement potential are

seasonal averages corresponding to

outside air temperatures of 5°C to

7°C. With well designed, well insulated

new and refurbished buildings there

should be little demand for any space

heating at these temperatures. In the

future, heat pumps will be required to

work mostly at outdoor temperatures

below 0°C, when their performance

drops rapidly. Thus, the instantaneous

electricity demand from heat pumps

during the winter could be much higher

than anticipated at a time when the

grid has higher carbon intensity.

A further problem with adopting

small scale renewable heat

ECOBLING DOUG KING

16-19 ecoblin.indd 18 23/7/12 12:33:15

19

technologies to refurbish British

buildings is that we have a history

of building homes that leak. The

UK’s relatively benign climate means

that, historically, we never really

had to bother with insulation before

energy conservation became such

an issue, whereas our damp weather

quickly leads to mould problems in

buildings without good ventilation.

Our standards of construction

therefore refl ect these very real drivers.

However, this means that our buildings

are generally too expensive to heat

continuously, as the heat just escapes.

Consequently we have adopted

a pattern of intermittent heating

following occupancy in homes and

non-domestic buildings alike.

Intermittent heating requires a

high intensity heat source such as

a gas boiler, and a heating system

that responds quickly, such as the

traditional radiator. Low carbon and

renewable heating systems work best

when they are confi gured to deliver

low intensity heat continuously to a

well insulated, airtight building. To

size a heat pump to deliver similar

“Therefore, when it comes to retrofi t, we must not

allow ourselves to become distracted by the apparent fi nancial

attractiveness of bolt-on renewable

energy technologies.”

that the approaches we take in order

to meet policy goals in the short term

may not in fact be the most sustainable

approach in the long term.

The problems facing us in dealing

with the building fabric issues in

our stock of existing buildings will

require considerable effort, expense

and innovation. Failing to deal with

the building fabric issues will result

not just in higher than expected

emissions, it could exacerbate health

problems and other social issues such

as fuel poverty. We need to be aware

that the directions we are taking now

through expedience may not lead us

directly to our hoped for destination

and that we may have to change

direction several times before we can

reach our ultimate goal.

We would be much better off

focusing our efforts on building

refurbishments that address the

fundamental issue of consuming less

energy to create comfortable and

productive internal environments,

rather than continuing to delude

ourselves that we can simply bolt

expensive technology on top of already

failing buildings. That way, the cost to

decarbonise our energy supply, the

only real way to achieve a low carbon

economy, will be reduced in line with

the energy we save.

WWW.CENTRALHEATING.CO.UK AUGUST 2012

peak output to a boiler would be

prohibitively expensive and lead to

signifi cant problems in its operation.

Dealing with the poor state of

the fabric of our buildings must

be the priority in refurbishment,

before we ever start to think of

bolt-on technologies. Insulation

and airtightness do not have the

“EcoBling” attraction of small scale

renewable energy, but will require just

as much thought and ingenuity if we

are to get it right.

When we try to retrofi t high levels

of insulation and air-tightness to

traditionally constructed British

buildings we can quickly run into

problems with indoor air quality,

condensation and even rot within

structural timbers, not to mention

bronchial health problems relating to

mould. Improvements to insulation

and airtightness therefore need to

go hand in hand with provision for

protection against condensation

and controlled ventilation with heat

recovery. Thus, an apparently simple

measure actually introduces a whole

family of additional requirements in

order to maintain a safe and healthy

internal environment. Is a serious

mistake therefore to try and skimp on

consideration of issues relating to the

building fabric in order to pay for the

low carbon technologies.

Therefore, when it comes to retrofi t,

we must not allow ourselves to

become distracted by the apparent

fi nancial attractiveness of bolt-on

renewable energy technologies. It is

conceivable that the conjunction of

zero carbon buildings, the Feed in

Tariff and Renewable Heat Incentive

could actually lead to higher emissions

overall, whilst not addressing the root

of the problem. This is of course an

extreme example, but it does highlight

16-19 ecoblin.indd 19 23/7/12 12:33:31


WWF ELIZABETH LEIGHTON

Putting Energy Savings within Reach: WHY SOME HOME ENERGY EFFICIENCY

20-25 wwf.indd 20 12/7/12 14:25:06


With just months to go before the launch of the Green Deal, questions are being asked about

its likely success. Will Green Deal packages be attractive to consumers? Will the Golden Rule hold true? Will enough demand be generated

to build a professional energy performance industry? What about the fuel poor? All these

questions and more are troubling the minds of campaigners and civil servants alike, who are

counting on the Green Deal to help deliver climate change targets.

Putting Energy Savings within Reach:

PROGRAMMES WORKBY ELIZABETH LEIGHTON, SENIOR POLICY OFFICER, WWF SCOTLAND

WHY SOME HOME ENERGY EFFICIENCY

20-25 wwf.indd 21 12/7/12 14:25:24



So what are the factors for success and how can we

make sure the Green Deal and associated policies

and programmes really do put energy savings within

reach of ordinary homeowners? Through a Churchill Memorial

Trust Travelling Fellowship, I analysed what the US experience

could offer in terms of lessons. I visited fi ve exemplar

programmes in Vermont, Maine, California, and Oregon.

The main conclusion was that there is no single ingredient

to success – rather you need the full complement, the entire

recipe, to bake the cake. Financing, incentives, customer

service, social marketing, professional workforce, performance

standards and long-term funding are all essential, put together

in one coherent package over a period of several years. All

aspects are important – a loan programme could not succeed

without good marketing, standards could not succeed without

incentives, and nothing succeeds without trusted contractors.

In short, all rely on a positive customer journey.

What does this tell us for the Green Deal? Here is a checklist

for the Energy Minister to consider as he puts the fi nal touches

on the Green Deal arrangements:

Guarantee QualityA trusted system of quality assurance helps build a

professional contractor network, gives customers confi dence,

and produces a measure of actual savings achieved. The

Green Deal does include some measures of quality assurance,

but many are concerned they won’t be robust enough.

For example, in the US, all upgrades are ‘tested out’ for

air-tightness and quality work. In addition to independent

certifi cation of auditors and contractors, there is a need for

pump priming and supporting the profession, through funding

cooperative marketing, training in customer service and help

for small, local companies that need to scale up quickly, but

fi nd it diffi cult to get the capital in place.

Provide a positive customer journeyCustomer focus is what it is all about. The customer journey

has to be rapid, professional, and meet expectations. The best

programmes have a strong contractor network which is local,

qualifi ed, trained in marketing and customer service, and can be

counted on to deliver on time, on budget and with the savings

promised. After all, the energy adviser and contractor will be the

ones to clinch the deal. Multi-year funding and programmes are

important to allow the market to build in tandem with the rising

demand - market transformation in action. Online assessments of

track record (eg number of jobs completed) and customer service

in the style of ‘Trip Adviser’ can help to weed out the ‘cowboys’

20-25 wwf.indd 22 24/7/12 11:17:34


“I visited fi ve exemplar programmes in Vermont, Maine, California, and Oregon. The main conclusion was that there is no single ingredient to success - rather you need the full complement, the entire recipe, to bake the cake.”

and reward the top contractors. This

can also maintain the customer

relationship over several years through

tailored correspondence and phone

contact to increase conversions to

upgrades now and in the future.

Work with social normsIt is vital to engage with social norms

– the rules and customs that guide

social behaviour in a community or

group. People don’t tend to make

rational decisions based on information

or fi nance, but they will often conform

to what their neighbours, friends, or

community does. It is important to take

the time to understand the community

or segment the audience and design

a programme that engages with their

values and needs. A one size fi ts

all approach will not work. Another

solution is to use trusted local people

to promote the programme through

a range of on-the-ground activities

– dinner parties to show off upgrades,

door-to-door visits, school events and

competitions. In today’s world of virtual

communities, it is just as important to

use social media. Social applications

need to be developed for the UK market

which encourage people to share and

compare their energy use and ideas for

how to reduce it.

Provide attractive fi nancing as part of an energy upgrade programmeConsistent and long-term fi nancing

programmes are essential to build

demand and trust. Short-term incentive

programmes may initiate a burst of

activity, but contractors will fi nd it hard

to respond, undermining confi dence

in the profession. Householders will

also lose faith in stop-go incentive

programmes, assuming they have run

out of money and so won’t bother to

apply. Yet even with the best fi nancing, it

is not enough to attract much uptake on

its own. The overall energy programme

of advice, technical support, marketing

and quality assurance must be part of

the package.

Regulate for minimum standards of energy performanceRegulation and performance standards

are necessary to drive demand and

create a value for energy performance

in the housing and rental market.

The evidence shows that standards

work when aligned with strong

programmes of technical support,

fi nancial assistance, and marketing.

Householders and landlords will

respond if they believe the standard

20-25 wwf.indd 23 23/7/12 15:12:42



20-25 wwf.indd 24 12/7/12 14:26:02

AUGUST 2012 25

will give some monetary value to

the energy upgrade, so systems to

disclose and market the value of the

rating must be implemented and

supported. Most important, standards

should be developed through a

stakeholder process which takes

account of all concerns and results in

better compliance.

Help the fuel poorThe Green Deal is not the answer for

most fuel poor households, so support

from the Energy Company Obligation

and government programmes is

essential. In Scotland, the Existing

Homes Alliance is arguing for a

National Retrofit Programme aimed

at meeting climate change and fuel

poverty targets. Key elements of the

programme should include area-

based programmes targeted at fuel

poor areas that provide free or heavily

discounted measures.

Conclusion In conclusion, energy efficiency is a

tough sell. You can’t see it or touch

it, and the big financial savings come

over time. Successful programmes

sell the immediate benefits of comfort,

health, warmth, and savings on bills.

While US energy and housing policies

are different in several respects from

that in Scotland and the UK, their

experience in delivering home energy

efficiency programmes has much to

offer. US programmes show a market

approach can work, but only if the right

ingredients are mixed together and

given careful support. There is no ‘silver

bullet’ that will motivate homeowners

on its own. A coherent package

must be offered as one attractive

and streamlined customer journey.

Community engagement, targeted

marketing and products, a professional

workforce, independent advice,

affordable finance, minimum standards,

consistent assessment – these are the

main ingredients.

If any are missing, the programme

will falter and discredit similar efforts for

the future.

There is considerable concern that

the UK Government is relying too much

on the Green Deal to deliver energy

upgrades that will make Britain’s

homes fit for the 21st century. The

evidence is quite clear – financing on

its own will not motivate people to take

action. Financing must be packaged

as part of an overall energy upgrade

programme. This programme needs

strong leadership from government

which makes it absolutely clear that

by 2020, the UK expects all homes

to be low carbon homes – warm,

comfortable, and cheap to run. Given

this approach, the Green Deal could

have the potential to achieve genuine

transformation of social norms and the

market. The scheme could actually

lead to the pace and scale of change

needed for a low-carbon Britain.

“In today’s world of virtual communities, it is just as important to use social media. Social applications need to be developed for the UK market which encourage people to share and compare their energy use and ideas for how to reduce it.”

To read the full report on the

US home energy efficiency

programmes, Putting Energy Savings within Reach: why some home energy efficiency programmes work, go to:www.wcmt.org.uk/reports/906_1.pdf Existing Homes Alliance

Scotland

www.existinghomesalliancescotland.co.uk/Churchill Memorial Trust

www.wcmt.org.uk/WWF Scotland Contact:

Elizabeth Leighton

01350 728 200

07810 507 232

www.wwfscotland.org.uk

20-25 wwf.indd 25 23/7/12 15:12:55


EUA NAME CHANGE

1905 was Albert Einstein’s “miracle year” he published his theory of relatively and established mass – energy equivalence (or E=MC2) to you and me. The gas industry was almost a hundred years old by then, with carbonised coal producing town’s gas that provided lighting and heating across the British Isles. It was also the year a Mr Charles Clare of Fletcher Russell (a gas appliance manufacturer) took the fi rst step in creating what was the “Society of British Gas Industries” representing 36 members paying subscriptions of two guineas each. Nearly one hundred years later, in 2003, what was then the Central Heating Information Council was merged into SBGI and became known as the Heating and Hotwater Industry Council. HHIC is one of the three divisions of the former SBGI which has now changed to Energy and Utilities Alliance (EUA).

BY BY MIKE FOSTERMIKE FOSTER, CHIEF EXECUTIVE OF ENERGY AND UTILITIES ALLIANCE, (EUA), CHIEF EXECUTIVE OF ENERGY AND UTILITIES ALLIANCE, (EUA)

25-29 EUA.indd 26 23/7/12 11:27:11


“Energy and Utilities Alliance better refl ects the broad base of our membership now

standing at over 220.”

25-29 EUA.indd 27 23/7/12 11:27:39

28 28

Today’s environment, with

its challenges, demands a

change from the industry and

for me that triggers a name change

too. SBGI is widely respected by

those who know the organisation.

But frankly, i ts name no longer does

justice to the wide range of members

we have across the three divisions.

So in May 2012, we announced

a new name as we take on those

challenges. As a name, ‘Energy and

Utilities Alliance’ better refl ects the

broad base of our membership, now

standing at over 220. The variety of

member fi elds includes gas storage,

smart meters, pipes, high effi ciency

boilers, industrial boilers and

renewables. (As an aside, in my fi rst

week as CEO our accountant came

to see me and the fi rst question he

asked me was, “what are you going

to do with the name SBGI?”. When

your accountant is giving marketing

advice, you know it’s time to act).

Today, EUA provides a leading

industry voice that helps shape the

future policy direction within the

sector. Using our wealth of expertise,

and over 100 years of experience,

we act to further the interests of our

members and the wider community

in working towards a sustainable,

energy secure and effi cient future.

There are enormous challenges

ahead in the energy and related

industrial sector. Rising energy

costs, issues over security of supply,

greenhouse gas emissions and UK

jobs and skills are at the forefront of

concerns. Working in partnership with

others, EUA intends to be a powerful

voice for the industry, speaking out

when it matters, as the UK faces

these challenges in the years ahead.

Let’s take Green Deal, featured in

this edition of the HHIC Journal, as an

EUA NAME CHANGE


“The gas industry was almost a hundred years old by then, with carbonised coal producing town’s gas that provided lighting and heating across the British Isles.”

example of one of those challenges.

No one disputes the good intention

of the scheme. Promoting energy

effi ciency measures is good for

households, meaning lower bills; it

reduces consumption and therefore

greenhouse gas emissions, helping

to save the planet; it provides a base

for UK employment opportunities,

so individuals as well as society

benefi t too. But, there is always a but,

industry insiders are sceptical the

scheme will work. At its best, Green

Deal could change our outlook to

energy effi ciency for the better and for

the long-term but only if government

listens to the wider industry and our

concerns. At worst, the scheme

will degenerate into the next

industrial scale mis-selling scandal

and will bring energy effi ciency

and environmental concerns into

disregard. We owe it to future

generations to get this right.

EUA is also heavily involved in the

debate around the future of gas, our

heritage demands we are. So does

the future energy security needs of

the UK. Gas generated electricity is

more environmentally friendly than

coal powered electricity generation.

Hence, in the short-term it makes

25-29 EUA.indd 28 23/7/12 11:28:06

29 2929WWW.CENTRALHEATING.CO.UK AUGUST 2012

sense to make that switch. But

keeping the gas grid for domestic

users is also important as part of the

future energy mix we will be using

to be green but also keep warm.

Thankfully only a few people in the

sector are still advocating the end of

domestic gas supply. The majority,

what I call the “sensible realists”,

recognise that even with large scale

renewable use in the home, there

is always the need for that peak

demand for heating to be met. And

gas is the most effi cient means to

meet it.

That longer-term commitment

to gas also means exploring shale

and biogas, as well as potentially

hydrogen and coal-bed methane in

our future energy mix. EUA have been

developing our policy position towards

shale, energy security and the future

of gas as part of our strategy to be

relevant to the challenges of the future.

I’ve mentioned the job creation

opportunities that the Green Deal

potentially offers. Jobs and skills in

the UK are central to the public policy

debate we will face in the years ahead.

Part of that debate is about making

careers in our sector appealing. It is

about showing young people how

exciting it is to be “making things”.

Encouraging the brightest and best

talent to consider long-term careers

in the industry as well as being the

home of well-qualifi ed technicians who

can deliver at the coalface the energy

secure, energy effi cient and energy

affordable future we all want.

So Energy and Utilities Alliance

is here to contribute to meeting the

challenge of the future, forged in our

history, championing the interests of

our members.

25-29 EUA.indd 29 23/7/12 11:29:36

MARKET UPDATE Highlights• Boiler sales fail

to recover• Solar Thermal

sales continue to slide

Each quarter we will bring you an update on the heating market, with a focus on boiler sales. This update replaces the quarterly Boiler Sales Update which HHIC used to distribute as a separate publication.


Gas Boiler Sales Q4 2011 v Q4 2010

Q1 2012 Q1 2011 Annual Comparison

Jan Feb Mar Jan Feb MarQ1 12 –

Q2 11

Q1 11 –

Q2 10

%

change

Total boiler

sales (000’s)106.3 129.4 131.4 120.2 118.1 139.6 1462.7 1595.4 -8.3

Gas Boiler Sales The start to 2012 has not provided

the boiler industry with the

optimistic return to normality.

Sales have continued to slide and

maintain the negative trend that

started later in 2011. With no

good news expected in the near

future, and all economic indicators

pointing to a fl at year, projections

are not positive. The Jubilee

holidays will affect quarter 2

sales and are unlikely to pick up

in the short term. So the spotlight

will be very much on the Green

Deal to see if it can stimulate

the market next year.

Solar Thermal Heating Sales Solar Thermal sales have fallen back

to pre 2008 levels before the prospect

of the Renewable Heat Incentive (RHI)

boosted sales later that year. The

Solar PV industry has now taken hold

of the solar market with households

preferring to opt for PV and a generous

Feed-in-Tariff. There are rumours of a

tariff based RHI for 2013 so hopefully

this will boost sales later in the year.

Ecomomic OverviewThe heating market is infl uenced by a

range of factors many of which involve

decisions based on economic factors.

Some of these are outlined below:

Infl ationThe headlines for the December 2011

consumer prices index (CPI) are:

• CPI annual infl ation stands at

3.0 per cent in April 2012, down

from 3.5 per cent in March. The

timing of Easter had a signifi cant

impact on the April data. The

annual rate was notably lower

in December 2009 when it

was 2.9 per cent although the

3.0 per cent was equalled in

February 2010

• Air transport, off-sales of alcohol,

clothing and sea transport were

the most signifi cant drivers

behind the decrease in annual

infl ation between March and April

• The largest upward pressures

to the change in CPI annual

infl ation between March and

April came from the operation of

personal transport equipment,

restaurants & hotels and rents

• RPI annual infl ation stands

at 3.5 per cent in April, down

from 3.6 per cent in March. The

largest downward pressures

to the change in RPI annual

infl ation between March and

April came from alcoholic drinks,

clothing, fares & other travel and

the purchase of motor vehicles.

Partially offsetting these were

upward pressures from housing

and petrol & oil.

Source: Offi ce for

National Statistics

Interest RatesThe Bank of England’s Monetary

Policy Committee voted to maintain

the offi cial Bank Rate paid on

commercial bank reserves at 0.5%.

Source: Bank of England

MARKET UPDATE

Air transport, off-sales of alcohol, clothing and sea transport were the most signifi cant drivers behind the decrease in annual infl ation between March and April

30-31 Market.indd 30 25/7/12 12:03:55


Q1 2012 Q1 2011 % changeQ1 2012 –

Q2 2011

Q1 2011– Q2

2010

%

change

Flat Plate 11253.7 16884.4 -33.3 55162.9 71332.9 -22.6

Vacuum tube 2572.6 3683.9 -30.1 15007.2 17728.4 -15.3

Total 13826.3 20568.3 -32.7 70170.2 89061.4 -21.2

Solar Thermal Heating Sales by m2 Q1 2012 v Q1 2011

Feb 12 Mar 12 Apr 12

CPI change (%) 3.4 3.5 3.0

RPI change (%) 3.7 3.6 3.5

Recent changes in RPI and CPI annual rates were as follows:

Infl ation

2011 2012

Jan £161,211 £162,228

Feb £161,183 £162,712

Mar £164,751 £163,327

Average £162,379 £162,722

House Prices

Gas Electricity Heating oils

Q1 2012 223.2 176.1 211.6

Q1 2011 189.6 159.4 199.4

% comparison +17.7 +10.5 +6.1

Domestic Fuel Prices Indices:

Domestic Fuel PricesThe most recent fi gures available

from the Department for Energy &

Climate Change (DECC) are for Q2

2011 and these are compared with

Q2 2010.

House PricesAverage house prices in the UK

were essentially unchanged in the

fi rst quarter, after allowing for usual

seasonal effects. The annual rate

of change moderated from 1.1%

to 0.2%.

The North saw the strongest

quarterly growth rate, with prices

up 0.6% quarter-on-quarter. This

pushed the annual rate of price

change up from -1.0% to 0.8%.

Apart from the North and the

Outer South East, all of the English

regions saw their annual rate of

house price growth slow during the

fi rst quarter.

Source: Nationwide

Housing and Property TransactionsThe total number of property

transactions was up to to 81,000 in

February 2011, a rise of 14.1%.

Source: Construction

Products Association

30-31 Market.indd 31 24/7/12 11:29:51


DR TINA HOLT - HOMES BEHAVING BADLY

32-27 home behaving badly.indd 32 12/7/12 14:38:14


Homes Behaving Badly

(HOBBS for short) is a

Transition West Bridgford

(TWB) project funded by the UK

government’s recent community-

focused scheme, the Local Energy

Assessment Fund (LEAF). LEAF

gave groups across the UK funding

for projects to help save or generate

energy in their localities.

The HOBBS team (Dr Holt, with

green architect Gil Schalom and eco-

champion Penney Poyzer) launched

the project on 21st January 2012 at

the low energy homes exhibition which

formed the final event in TWB’s ‘Eco

Houses under Construction’ series.

Our aim was to champion the cheap

but effective options as well as to

provide the low-down on more costly,

but potentially dramatic, improvements

that some householders wish to

understand in more detail.

The HOBBS project examined eight

typical housing archetypes in the West

Bridgford area to demonstrate what the

journey from ‘inefficient’ to ‘efficient’

or ‘highly efficient’ might look like. Eco

House Group members were invited

to come forward if they had energy-

use data and were willing to share

details about their homes and energy

saving habits. SAP and NHER energy

modelling (carried out by Gil Schalom)

together with thermal imaging and

air-tightness testing results were

combined with information from the

homeowners themselves to create

each case study.

The HOBBS case studies were all

about providing detailed exemplars

with which householders could

identify. The power of this approach

was evident at the workshops, where

feedback showed that over 90% found

‘seeing what others did’ to be useful

– whether their plans were zero cost or

high cost.

“One of the big surprises was the extent to which all the homeowners who put their houses forward as case studies were already reducing bills just with effective energy saving habits.”

BY DR TINA HOLT

AN OPPORTUNITY TO LEAF THROUGH THE ‘Homes Behaving Badly’




Those at the workshop for

householders in cavity wall homes

were most entertained by ‘Julie,

Queen of Mean’ describing her

proudly maintained Yorkshire habits

and mainly low cost measures in her

1960’s bungalow. Feedback from one

householder at that workshop was

revealing: ‘I thought I had a pretty good

energy effi cient home. Now I know

there’s a lot more I can do.’ Many

people living in cavity wall homes could

further improve energy effi ciency even

if they think they have already covered

the basics.

The workshops on solid wall homes

attracted larger audiences – hardly

surprising in a place like West Bridgford

which has so many older houses.

For modest budgets, we focused on

low cost ideas like draught-proofi ng

and insulation of pipework. We even

looked to the Victorians for inspiration

to combine curtains with blinds or

shutters. For those with bigger budgets

or just curious to know more, we

examined some options for whole-

house low energy refurbishment. The

HOBBS case studies illustrated a range

of approaches, including the effects of

varying degrees of solid wall insulation

on energy use and comfort, and the

impact of different renewable options.

The big message that we wanted to

convey to householders through the

report and the workshops is that every

house and householder is different,

and that one solution does not always

fi t all. We encouraged householders

to become their own energy experts,

for example, by showing them how

to work out roughly what proportion

of their annual energy use is devoted

to space heating and how much to

other uses.



“Another fact highlighted by energy modelling was the difference that ‘standard’ measures, such as an effi cient boiler, could make to some energy bills. Often the least glamorous options reaped the biggest benefi ts.”

One of the big surprises was the

extent to which all the homeowners

who put their houses forward as case

studies were already reducing bills just

with effective energy saving habits.

Actual energy use in each case was

between 29% and 56% lower than the

‘average’ as predicted by SAP/ NHER

modelling of the same house in its

current state. This proved to be highly

motivating, as many people attending

the workshops previously believed

that energy saving habits would make

little impact on energy bills.

Another fact highlighted by energy

modelling was the difference that

‘standard’ measures, such as an

effi cient boiler, could make to some

energy bills. Often the least glamorous

options reaped the biggest benefi ts.

Alongside the big improvements, the

case studies indicated that a host of

smaller but cheaper changes could

help e.g. insulating hot water pipes or

sealing up unused fi replaces (where

appropriate) – even though some

were ‘below the radar’ in terms of

SAP/NHER.

For solid wall homes, personal

experiences and energy modelling

highlighted the fact that ‘standard’

effi ciency improvements could only

improve bills and comfort up to a

point. Beyond that, solid wall insulation

was required, improving comfort

dramatically as well as reducing bills.

Our case studies seemed to indicate

that adding just enough solid wall

insulation to achieve 2012 building

regulation standards represented a

missed opportunity, whereas a ‘do it

once and do it well’ insulation strategy

would save re-work in the future.

Indeed, the ‘Home Truths’ report by

Brenda Boardman suggests that by

2030 we will be adding solid wall

insulation to cavity wall homes, and I

am aware of instances where this has

already been done.

For those looking to make their

solid wall homes more effi cient, energy

modelling and householder experience

seem to suggest that doing one

thing well tends to work better than a

scattergun approach. It also means that

over time, each element of the house

can be improved to a high standard,

with the eventual result of a very low

energy home.

While some of the homes which

formed the HOBBS case studies had

renewable technologies installed,

the ‘Homes Behaving Badly’ project

focused chiefl y on the less glamorous

area of effi ciency savings. This was

by no means a rejection of renewable

technologies – more a way to ensure

that energy wastage in the badly

behaving house is fi rst cut right back so

that smaller boilers can be specifi ed, or

the most appropriate choice of energy

generation technology can be made.

If our small selection of just eight

local homes and their energy aware

occupants were typical of the UK

population, we would be well on the

way to energy security and dramatic

carbon reduction targets in the

domestic housing sector. If the SAP and

NHER energy models do indeed refl ect

the ‘average’ householder’s energy use,

then mass adoption of energy saving

habits could probably cut UK energy

demand by at least 20% overnight.

Mass uptake of the ‘standard’

measures such as draught-proofi ng, loft

and cavity wall insulation, or installing

‘A’-rated boilers would bring about

another step change. On top of that, a

well-executed programme of solid wall

insulation to beyond current building

regulations could help to convert ‘hard-

to-treat’ homes into a new generation

of low energy homes. We are still only




in the foothills of the UK’s energy-

efficiency mountain range.

So, from just 12 weeks of work in

early 2012, what will be LEAF’s legacy?

In the case of ‘Homes Behaving

Badly’, we have a workshop format

that is ready to go. Householders who

attended the first HOBBS workshops

in March 2012 created their own ‘to

do’ lists – as diverse as the homes and

the people in them, and going beyond

the simple efficiency messages that

no longer seem to motivate. We want

householders to get the best deal

from the Green Deal, and the HOBBS

workshops provide them with the

tools to do that.

Then there is the HOBBS report. On

the whole it is written for householders

- to dip into, compare their homes with

a couple of case studies, and become

their own energy experts. In the words

of our proof-reader ‘This is clear,

informative and what we’ve all been

waiting for.’ We hope it will be used by

organisations too. Our colleagues at

Nottingham Energy Partnership have

already used selected HOBBS case

studies which were relevant to one of

their projects in Derbyshire.

Overall, the HOBBS team feel

that the project has provided

positive evidence that their aim of

enabling householders to understand

their own energy use is a realistic

one. It was encouraging to see

that workshop participants were

highly motivated by seeing what

other householders had done, and

impressed by the savings that others

had made from simple energy saving

habits. The decisions of ordinary

householders, whatever their budget,

have the potential to make a major

contribution to reducing UK energy

requirements and carbon emissions.

Dr Holt is a specialist in household energy efficiency, from humble energy saving habits to whole-house low energy refurbishment. She has worked for Global Action Plan on the

‘EcoTeams’ behavioural change programme, and is currently refurbishing her own home - a 1950s house of solid wall construction - to the new Passive House standard for retrofit.In 2010, she set up the Eco House Group – a Transition West Bridgford (TWB) initiative

providing events for householders looking to reduce their energy bills and increase comfort levels. Events to date include open house visits, seminars, the Eco Houses under Construction

project and Homes Behaving Badly and the group has attracted over 260 members.Like other Transition groups around the UK and globally, TWB in Nottinghamshire was set

up to improve community resilience and encourage the transition towards a life less dependent on oil.

The HOBBS report is available

for free and can be downloaded

from: Dr Tina Holt:

www.ecohousenet.co.uk

[email protected]

TWB Eco House Group:

www.wbecohouses.co.uk [email protected]


AUGUST 2012 37 32-27 home behaving badly.indd 37 25/7/12 12:08:09


MATTER IN QUESTION

BY ROGER WEBB, HHIC DIRECTOR

Heating is the backbone of the

GREEN DEALThe much heralded Green Deal scheme is nearly here. Increasingly it is starting to look as though the legal framework will be in place in time to

meet the government’s planned timetable to introduce the scheme in the autumn of 2012. However it seems likely that the start of Green Deal will be a ‘soft’ one, meaning that there will be few schemes in place in the fi rst few

months after it is introduced and there will probably be only be a gradual build up of business during 2013.

38-39 matter in question.indd 38 23/7/12 11:49:22


This soft start approach

makes good sense. This is

an entirely new scheme with

new (and in some cases complex)

processes that need to be properly

tested. If the Green Deal is to be

successful then it needs acceptance

by both those who will deliver it and

even more so by consumers since

it represents a fundamental change

to the way householders arrange

and fi nance energy effi ciency

improvements to their homes

So why is Green Deal so

important? Well, we can have long

debates about what the future energy

supply mix will look like and how

we will be heating our homes and

businesses in the future. But whether

this future is heating by fossil fuels,

electricity, renewables or other

technologies, the one thing we must

do above all else is to reduce demand

for energy and that means making

our building stock much more energy

effi cient. Once we have achieved

this it takes much of the pressure off

the argument about which energy

sources and heating technologies we

should be using in 2050. It will also

make our homes ready for heating

with low carbon and renewable

alternatives to fossil fuels.

Unfortunately the UK householder

has so far proven resistant to the

calls and even support to improve

the energy effi ciency of their homes.

Also with the UK having some of

the least energy effi cient building

stock in Europe makes reducing

our energy demand for heating a

particularly diffi cult challenge.

Green Deal is certainly a new and

imaginative approach to resolving this

problem. The key question now is not

will it work − but how can we make it

work? Clearly it is the responsibility

of the government to put a workable

framework in place and we will see in

due course whether this is the case.

We have been certainly been very

active, working with the government

to try to ensure an effective

framework. But it will then be down to

industry to work with the scheme to

try to make it a success.

To do this we need to stimulate

demand for the scheme from

consumers and if we are to achieve

this then we need to encourage

the supply industry to adopt it and

to encourage installers of energy

effi ciency products to embrace Green

Deal and see it as an effective way

of doing business. It is important

to recognise that the installer has a

huge infl uence over the consumer’s

purchasing decisions. So in the end,

the installer will have a crucial role

in determining the level of uptake of

Green Deals and hence the extent

and speed by which the energy

effi ciency of the UK’s housing stock

will be improved.

For heating the vast majority

of replacement heating systems

are undertaken by 60,000 micro

businesses. One of the big concerns

is that Green Deal, as a large a fairly

complex scheme, is better suited to

delivery by large companies and so

small ones might miss out and lose

business as a result. We have been

emphasising to the Department of

Environment and Climate Change

(DECC) the crucial role of small

companies within the market and the

need for them to be fully engaged

if Green Deal is to succeed. In

response, DECC has established a

joint government and industry panel

to establish a Green Deal business

model which can specifi cally involve

SMEs. This panel will be working over

the summer

and will report its recommendations

to Ministers.

Heating is so important to

the Green Deal – it is indeed its

backbone and will actually be a

trigger for consumers to take up

other measures. But the most

important question is how can we

persuade consumers to arrange

and fi nance energy effi ciency

improvements differently from how

they do now? This will be no easy

task and changing people’s set

behaviour patterns will be extremely

diffi cult. As I discussed earlier in

this article, installer education is

paramount and by getting engineers

on side, could be the key to

unlocking consumers’ predetermined

thought patterns. How? Quite simply,

the installer will become the trusted

information bearer. Most consumers

are clueless when it comes to their

heating systems. The installer that

comes into a house is the expert of

which the consumer has no option

but to trust in making the correct

decision for them.

Currently, the present structure of

the Green Deal will make it unlikely

that the small installer will be part of

this government’s scheme. This has

to change. There must be appropriate

incentives for the Green Deal to be

attractive to local installer companies.

I believe that we must raise

our trust in installers as the success

of the Green Deal could depend

on how they perceive and present

the scheme to an increasingly

sceptical public.

BY ROGER WEBB, HHIC DIRECTOR

38-39 matter in question.indd 39 23/7/12 11:50:54


DR ELAINE LANCASTER

40-44 doing the deal.indd 40 12/7/12 14:42:26


BY DR ELAINE LANCASTER, RESEARCH & DEVELOPMENT DIRECTOR AT IDEAL HEATING

The UK recession has recently been double hit and our economic future is increasingly unsure. However, what it

far more certain in this uncertain age is the fact that energy bills will continue to rise. Households across the UK

urgently need to address ongoing running costs in the home, but our homes and buildings are inefficient. This is

where the Green Deal kicks in.

Doing the Deal

“So, with Green Deal forming part of the strategy

for reducing the carbon impact of our existing

housing stock the potential for the heating installer

is enormous. Good, sound traditional heating

design and installation skills will be at a premium

from now on because any improvements

paid for through the Green Deal must deliver

what they promise.”



DR ELAINE LANCASTER


43 WWW.CENTRALHEATING.CO.UK JAUGUST 2012

From autumn, homeowners

and businesses will be able

to borrow money for energy

saving improvements and pay it

back through their energy bill from

the intended energy savings. With

the addition of the Energy Company

Obligation (ECO) subsidy from the

energy supplier intended to integrate

with the Green Deal, this will also

focus on vulnerable and low-income

householders and hard to treat

properties where additional measures

are required to improve energy

efficiency and help reduce fuel poverty.

The government is putting a serious

commitment behind the scheme, kick

starting it with an initial cash-back

incentive of £200 million pounds.

The measures to improve energy

efficiency are critical for existing homes

if carbon reduction targets are to be

met – as they make up the majority

of the housing stock in the UK and

will continue to do so in the future.

To maximise the uptake of these

provisions, the whole process needs

to be made as hassle-free as possible,

from the quoting and installation to the

outlay costs and aftersales.

A recent survey carried out by the

Department for Environment and

Climate Change (DECC) found that

46% of homeowners and tenants

in the UK are looking to make

their home more energy efficient

in order to reduce their energy

bills. This forms a core element of

the government’s Heat Strategy

and indicates that there is a huge

potential in the retrofit market when

it comes to the installation of the

provisions outlined by the Green

Deal. Along with this, in order to

reach set targets by 2050, the

government has also introduced

a series of other schemes to

encourage renewable technology

take up, this includes the Feed in

Tariff (FiT) and Renewable Heat

Incentive (RHI).

This should all help to boost the

low carbon economy and create

a massive demand for new and

retrofit installations carried out

by heating and plumbing firms. It

will be the biggest opportunity for

energy efficiency improvement in

heating and hot water provision

– which accounts for around 70% of

household energy.

As well as undertaking installation

work, the industry will require the

appropriate skills to be called upon

to carry out the calculations of the

possible savings and advise on

“The measures to improve energy efficiency are critical for existing homes if carbon reduction targets are to be met – as they make up the majority of the housing stock in the UK and will continue to do so in the future.”



DR ELAINE LANCASTER

technical solutions for Green Deal projects.

To improve the building fabric and cut energy

demand from existing homes, improving

insulation, double glazing and draught

proofing are expected to be the focus of the

work – requiring heat loss calculations to

determine energy saving impacts. Heating

system sizing and heating system upgrades

including new condensing boilers and heating

controls can play a significant part in achieving

the energy savings for the customer and

meeting the government energy efficiency and

carbon saving targets.

So, with Green Deal forming part of the

strategy for reducing the carbon impact of our

existing housing stock the potential for the

heating installer is enormous. Good, sound

traditional heating design and installation skills

will be at a premium from now on because any

improvements paid for through the Green Deal

must deliver what they promise. The savings

will be estimated when the finance is made

available. Designers and installers’ calculations

will need to be carried out carefully to ensure

accuracy, so the reality matches the design.

The Golden Rule is that the savings on

the energy bill must outweigh the cost of the

installation, meaning the measures which

make the most significant impact to energy

saving will be the first in line. Good news

for high efficiency boiler installations as the

installation cost is low in comparison to the

overall lifetime savings on the energy bill.

Facilities management firms are also

interested in this market – valued at a

potential £200bn. However, there are simply

not enough skilled people around to deliver

this volume of energy efficiency work. We

will need to step up training and attract

new people and skills into the industry, as

well as looking at how to create ‘template’

solutions that can be replicated and applied to

thousands of projects.

Looking back to the DECC survey, of the

consumers questioned, 59% highlighted a

benefit which is linked to the Green Deal, as

the main reason they make improvements to

their home. When asked what motivates them

to make their home more efficient, although

cost was the main driver, almost 20% of

people highlighted the need for convincing

information from a trusted installer – providing

a real opportunity for experienced installers

with the appropriate skills as they will be

called upon to carry out the calculations of

the possible savings and advise on technical

solutions for Green Deal projects.

Consumers have highlighted that they are

willing and want to improve the efficiency of

their homes, with particular requirements for

a warmer, energy efficient home with reduced

energy bills. High efficiency heating systems

are proven to give energy and utility bill savings

when installed in place of older systems

– showing heating installers they have a key

role to play on the energy efficiency agenda.

“Facilities management firms are also interested in this market – valued at a potential £200bn. However, there are simply not enough skilled people around to deliver this volume of energy efficiency work.”


To be honest, I already

have, at length, with many

people around the heating

industry and the only conclusion I

can draw is that the jury is still out,

because nobody really knows if this

is going to work. What is clear is

that the Green Deal has its critics,

not least those who prefer the idea

of a Big Bang start rather than the

government’s preferred soft launch.

The critics interpret the

soft launch idea as a lack of

commitment from the government.

The Green Deal - enormous opportunity which will reinvigorate the UK’s housing stock and give the heating industry a much needed boost or an enormous white elephant on a road to nowhere? Discuss.

BY NEIL SCHOFIELD, HEAD OF EXTERNAL AND GOVERNMENTAL AFFAIRS AT WORCESTER BOSCH GROUP

BOILERS CAN BE THETRIGGER TO KICK-START

THE GREEN DEAL


NEIL SCHOFIELD

45-47 neil.indd 45 23/7/12 12:28:38

46

NEIL SCHOFIELD

Personally, I don’t have any problem with it.

With something this big and this complex,

requiring a signifi cant change in mind-set

on the part of the consumer, baby steps are

a good idea rather than just jumping in with

both feet.

What is becoming clear though is that

the government has listened. When the

Green Deal was fi rst mooted it was an

insulation-only solution, but to be fair to the

Department of Environment and Change

(DECC), it has started to see the sense in

using the boiler as the “sprat to catch the

mackerel”. In other words, fi t a boiler and

link it to other energy saving measures

including insulation, lighting and glazing.

With this model, the boiler becomes the

lead generator, or trigger, for the Green Deal.

With 5,000 boiler installations every day in

the UK, which equates to 1.5 million every

year, there is ample opportunity to get in front

of homeowners and sell them the benefi t of a

whole house energy effi ciency solution.

This is why the original DECC model,

which tried to reinvent the supply chain,

was so fl awed. We don’t get heating advice

from our utilities supplier or down at Tesco’s

(“four slices of that Yorkshire ham please

and when you’re done can you tell me which

aisle the condensing boilers are on?”).

No, in the UK, the installer is king. We

get our advice from Pete the plumber who

is invited into the home. There is no cold

calling here. Crucially, there are 130,000

Gas Safe Registered installers in the UK.

90,000 of them are active boiler installers

and potential Green Deal salesmen if we can

only get them on-board.

However trusted an advisor he or she

may be, it is essential to remember that

the average installer is a sole trader and

it is important that the Green Deal is not

beyond their reach. There is a danger that

the Green Deal becomes, in the minds of the

UK’s installer base, a scheme run by the big

players such as the major energy companies.

There is also the added concern that


Photo: Chris Yates

45-47 neil.indd 46 25/7/12 12:10:23


many still don’t see the opportunity

before them. Nobody is asking, or even

suggesting, that the UK’s installer base

go out and retrain to become skilled in

home insulation, lighting and double

glazing. What we have to do is join up

the different tradesmen so that together

they can provide a comprehensive

package for the homeowner.

This is where the Green Deal

suppliers come in, acting as a catalyst

for all the different trades to come

together. The installer does not have

to do anything more than offer the

homeowner a deal along the lines

of, “I can get you £500 off this boiler,

but only if you get loft and cavity wall

insulation within the next six months.”

However, we must also build in

safeguards to ensure that no installer

takes a Green Deal lead to a Green

Deal supplier, only to ultimately

lose the job. If that happens, then

installers will just start rubbishing the

Green Deal and we’ll all lose out.

The installer must be encouraged

to act as an ambassador for the

Green Deal which is why the £200

million kick-start fund announced by

Greg Barker MP, Minister of State

for Energy and Climate Change to

pump prime the launch is a fantastic

opportunity to use the boiler as

the trigger for wider home energy

effi ciency improvements.

To answer the question I posed at

the start of this article, I do believe the

Green Deal can make an enormous

contribution to reinvigorating the UK’s

housing stock and give the heating

industry a much-needed boost. It’s

not fl awless, but the government

should be commended for making

such a forceful commitment to

improving the energy effi ciency of

UK homes and I would urge the UK’s

installer base to get involved.

45-47 neil.indd 47 25/7/12 12:10:35

INDUSTRY COUNCILHOTWATERHEATING

01 Cover.indd 2 12/7/12 14:53:05

hhic journal - issue 18

Documents

shadow secretary of

industry specialists

hhic endorsement

minister of state

shadow cabinet

hhic camden house

division of energy