Green Deal – carrot and stick?

It might seem an odd thing to blog about, but changes to regulations is a key part of government’s effort to influence how we manage and improve our energy use.

The Energy Act 2011 enacted a series of legislative changes that come into force at different times over the next few years. These affect different owner groups and companies at different stages. The Green Deal is becoming well known as the ‘branding’ for a range of government incentives within this legislation to encourage us amongst other things to; better insulate our homes, conserve energy and install solar panels. DECC (Department of Energy and Climate Change) is responsible on behalf of government for administering the Green Deal and driving forward policy. They summarise the reason for the Green Deal, in words taken from DECC’s website as:

“At a local level, the Green Deal will enable many households and businesses to improve the energy efficiency of their properties so less energy is consumed and less money is wasted. The key focus of the new energy company obligation – or “ECO” will be on those householders who cannot achieve significant energy savings without an additional or different measure of support.  For example, this includes vulnerable and low-income households and those living in harder to treat properties, such as solid walled properties. A quarter of the UK’s carbon emissions come from the energy used in homes and a similar amount comes from our businesses, industry and workplaces.”
The Green Deal establishes consumer protection for the proper selling of ECO services, financing of installations and repayment through the consumer energy bill. A subject for another blog....

But what is perhaps less obvious is that in parallel to Green Deal incentives, a number of important regulations are being tightened over time that affect our future energy plans and activity.

One regulatory area is Building Regulations that cover building standards for construction. Their performance requirements are continually tightened over time to encourage use of improved technology and methods.Their scope is being widened to increasingly affect smaller refurbishment changes as well as larger new build. Compliance is backed up through stronger enforcement by Local Authorities.

A 2012 proposal linked to the Green Deal called ‘consequential improvements’ is now in doubt following consultation earlier this year. If implemented, it would require existing homeowners making improvements such as extensions to spend at least 10% of the refurbishment project value on Green Deal measures. Regardless of whether this measure comes into force now, the longer term trend for these regulations is clear.

One key document “Approved Document L: Conservation of Fuel and Power” illustrates the point. During the early 1990’s there was a single document that covered new construction. This document prescribed U-Values for main building elements such as walls and windows (Wall and window U-value elements were respectively 0.6 and 5.6 W/m2K).

Today there is recognition of the importance of existing building refurbishment and for consideration of a wider range of factors affecting energy performance. Part L is split now into four documents; covering new and existing constructions, residential and non-residential. The rules are more complex; not only requiring more efficient elements in refurbishment (e.g. Wall is 0.28W/m2K; Window Energy Rating of at least Band C (1.6 W/m2K)) but in requiring whole building area-weighted and SAP2009 calculation methods that introduce more factors such as air tightness and solar shading. New Build assessment uses Target Emission Rating (TER) to assess CO₂ emissions in use. These changes are supported by a greater emphasis upon design calculation and demonstration during commissioning that the design calculations are met.

I draw three conclusions from these observations.

Firstly that over the long term, regulations play a significant part in government plans for managing beneficial change in energy performance of existing building stock;

Secondly there is a need at an individual, residential level to understand the impact of the regulations through a better understanding of design requirements and how to achieve them in the most cost-effective and simple manner possible;

Thirdly to be able to measure actual performance before, during and after changes in a simple cost effective way; both to demonstrate compliance and also as a check that the expected energy savings are actually being achieved over the medium term.
 

Please give me your feedback and views .......

Please contact me with your thoughts and experiences, especially if any of the issues that I raise above spark a reaction with you. These are my views and my purpose is to raise issues that affect you as consumer; to place you in control of your energy use and planning.