Recommendations & Conclusions
15 items
2
Conclusion
Fourth Report - Energy Efficiency of Ex…
Acknowledged
There is a wide variation in the costs for bringing all homes in the UK up to an EPC grade C. We have heard of costs averaging £18,000 to retrofit a property, before addition of a heat pump. Given that there are around 19 million properties in the UK in …
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There is a wide variation in the costs for bringing all homes in the UK up to an EPC grade C. We have heard of costs averaging £18,000 to retrofit a property, before addition of a heat pump. Given that there are around 19 million properties in the UK in need of some energy efficiency upgrade, we consider that the overall cost to meet net zero from domestic buildings could be far more costly than the Government’s estimate of between £35 billion and £65 billion.
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Government response AI summary
The government clarifies that its £35-£65 billion estimate focuses on achieving EPC C where practical, and does not cover full decarbonisation of homes and non-domestic buildings, which would indeed cost significantly more. They reference external estimates from the CCC suggesting much higher costs for full …
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3
Recommendation
Fourth Report - Energy Efficiency of Ex…
Acknowledged
We recommend that the Government review the feasibility of its aspiration to achieve a minimum of EPC band C by 2035, given current progress on improving energy efficiency. As well as setting out how it plans to meet existing targets, it should set out a strategy to increase ambition in …
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We recommend that the Government review the feasibility of its aspiration to achieve a minimum of EPC band C by 2035, given current progress on improving energy efficiency. As well as setting out how it plans to meet existing targets, it should set out a strategy to increase ambition in line with its commitment to net zero through its Heat and Buildings Strategy.
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Government response AI summary
The government acknowledged the recommendation by reiterating its commitment to the existing EPC band C by 2035 ambition, stating it believes it offers good value. It also noted the Heat and Buildings Strategy would set out policies for the 2020s, but did not commit to …
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4
Recommendation
Fourth Report - Energy Efficiency of Ex…
Acknowledged
We recommend that BEIS review its cost projections on energy efficiency and includes the cost of low carbon heating. The Department should consult the building and retrofit sector to ensure that its top-down modelling reflects real-world costs. It should also set out the proportion of efficiency improvements it expects to …
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We recommend that BEIS review its cost projections on energy efficiency and includes the cost of low carbon heating. The Department should consult the building and retrofit sector to ensure that its top-down modelling reflects real-world costs. It should also set out the proportion of efficiency improvements it expects to be paid for from the public purse, and how many homes it considers out of scope for energy efficiency improvements under its definition of “cost effective, practical and affordable”. There is a danger that these homes will be left behind, and this could impact on wellbeing and create permanent blight. The Government should explain in response to this report what its strategy is for those homes that will not achieve its energy efficiency aspirations. (Paragraph 32) Current Government policy on domestic energy efficiency
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Government response AI summary
The government states its cost projections are continually reviewed and informed by consultation, and no homes are considered out of scope under its definitions. It will publish a Heat and Buildings Strategy in due course to address actions for reducing emissions from buildings, including safeguards …
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5
Conclusion
Fourth Report - Energy Efficiency of Ex…
Acknowledged
While the energy efficiency of two million homes has been successfully upgraded under the ECO, the number of measures installed has reduced significantly in recent years and the Government’s fuel poverty targets are not expected to be met. The inability to use ECO with other sources of funding is hampering …
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While the energy efficiency of two million homes has been successfully upgraded under the ECO, the number of measures installed has reduced significantly in recent years and the Government’s fuel poverty targets are not expected to be met. The inability to use ECO with other sources of funding is hampering the deeper retrofits that are needed in social housing. Since ECO is funded by all energy bill payers, the poorest pay proportionally the most for the benefits from the scheme: this makes it a regressive policy.
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Government response AI summary
The government acknowledges concerns about ECO's impact, stating ECO3 focuses on low-income households, and a £4bn scheme aims to meet fuel poverty targets. It intends to design ECO to complement other funding sources, explains why blending for the same measures is limited, and highlights the …
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8
Conclusion
Fourth Report - Energy Efficiency of Ex…
Acknowledged
We welcome the clarification provided in the Energy White Paper that Home Upgrade Grants will focus on the worst-quality off-gas grid homes with low income households in England. We consider that this focus is the right one. Using the indicative costs for improving energy efficiency and heat pump installation and …
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We welcome the clarification provided in the Energy White Paper that Home Upgrade Grants will focus on the worst-quality off-gas grid homes with low income households in England. We consider that this focus is the right one. Using the indicative costs for improving energy efficiency and heat pump installation and the Government’s pledged £2.5bn, we estimate around 100,000 homes may benefit from the scheme. This is welcome, but represents a fraction of the 1.5 million households off the gas grid who will need further support to upgrade their homes, irrespective of tenure in view of the high costs involved.
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Government response AI summary
The government reiterates the Home Upgrade Grant's focus on worst-performing low-income off-gas grid homes, confirms £150m has been committed, and outlines other complementary schemes like ECO, SHDF, and the Clean Heat Grant that provide broader support for upgrading homes.
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10
Conclusion
Fourth Report - Energy Efficiency of Ex…
Acknowledged
We welcome the Government’s introduction of a scheme for owner occupiers to fund energy efficiency improvements. Such a scheme is essential in order to achieve the ambition to reach energy efficient homes by 2030, given this is by far the largest pool of housing stock across the UK. But the …
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We welcome the Government’s introduction of a scheme for owner occupiers to fund energy efficiency improvements. Such a scheme is essential in order to achieve the ambition to reach energy efficient homes by 2030, given this is by far the largest pool of housing stock across the UK. But the Green Homes Grant has been rushed in conception and poorly implemented. In its haste to create a scheme to deliver economic stimulus, the Government failed to consult industry adequately on its delivery, set a timescale which was overly short term and has presided over scheme administration which appears nothing short of disastrous. If the ambition for the scheme to retrofit 600,000 homes envisaged completion of the work by the end of the current financial year, then the Government has been wildly optimistic in its scheme planning and industry engagement. The impact of its botched implementation has had devastating consequences on many of the builders and installers that can do the work, who have been left in limbo as a result of the orders cancelled and time taken to approve applications.
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Government response AI summary
The government acknowledges the Green Homes Grant Voucher scheme did not deliver as hoped, leading to its closure to new applications, and accepts it faced delivery challenges, while defending the initial swift rollout for economic stimulus and industry engagement.
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15
Conclusion
Fourth Report - Energy Efficiency of Ex…
Acknowledged
We welcome the Green Homes Grant Local Authority Delivery scheme, and, in particular, the fact that it can be used to deliver improvements across all tenures. We consider that it has real potential to help build local authority capacity and energy efficiency supply chains by supporting area based approaches.
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We welcome the Green Homes Grant Local Authority Delivery scheme, and, in particular, the fact that it can be used to deliver improvements across all tenures. We consider that it has real potential to help build local authority capacity and energy efficiency supply chains by supporting area based approaches.
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Government response AI summary
The government acknowledges the committee's positive assessment of the Green Homes Grant Local Authority Delivery scheme and local authorities' role, confirming it is closely monitoring project delivery.
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17
Conclusion
Fourth Report - Energy Efficiency of Ex…
Acknowledged
We welcome the Social Housing Decarbonisation fund and support its aims to retrofit social housing at scale. However, to date only a fraction of the funding has been made available for demonstrator projects that may well not deliver the efficiencies that larger schemes could achieve.
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We welcome the Social Housing Decarbonisation fund and support its aims to retrofit social housing at scale. However, to date only a fraction of the funding has been made available for demonstrator projects that may well not deliver the efficiencies that larger schemes could achieve.
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Government response AI summary
The government details the Social Housing Decarbonisation Fund (SHDF) Demonstrator project, confirming £62m funding was awarded to 19 projects to improve over 2300 social homes, and explains that insights from this will inform the design of the longer-term SHDF.
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26
Conclusion
Fourth Report - Energy Efficiency of Ex…
Acknowledged
Green finance options are essential to encourage owner occupiers to take action on energy efficiency. We welcome the ambition of some leading lenders to make green mortgages available, and the Government consultation on how mortgage lenders can help householders to improve the energy performance of their homes.
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Green finance options are essential to encourage owner occupiers to take action on energy efficiency. We welcome the ambition of some leading lenders to make green mortgages available, and the Government consultation on how mortgage lenders can help householders to improve the energy performance of their homes.
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Government response AI summary
The government agrees green finance is critical for improving home energy performance, confirms their consultation on improving home energy performance through lenders closed in February 2021, and states they will review responses to develop further proposals.
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28
Conclusion
Fourth Report - Energy Efficiency of Ex…
Acknowledged
Despite the need to make progress in improving energy efficiency of 19 million homes to achieve net zero Britain objectives, no mention was made in the Budget statement on 3rd March by the Chancellor of energy efficiency, nor any steps taken to improve delivery of the Green Homes Grant, his …
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Despite the need to make progress in improving energy efficiency of 19 million homes to achieve net zero Britain objectives, no mention was made in the Budget statement on 3rd March by the Chancellor of energy efficiency, nor any steps taken to improve delivery of the Green Homes Grant, his flagship measure announced by him in July 2020, which has so far signally failed to deliver its targets.
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Government response AI summary
The government acknowledged the conclusion, explaining that it was inappropriate to comment on the Green Homes Grant scheme in the Budget due to ongoing performance issues, and subsequently announced the closure of the voucher scheme on March 27th.
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31
Recommendation
Fourth Report - Energy Efficiency of Ex…
Acknowledged
The Government should work with the financial services sector to devise and implement a communications strategy to raise awareness about, and to encourage the uptake of, appropriate types of financing measures already on the market being offered, such as green mortgages. (Paragraph 134) Energy Efficiency of Existing Homes 61
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The Government should work with the financial services sector to devise and implement a communications strategy to raise awareness about, and to encourage the uptake of, appropriate types of financing measures already on the market being offered, such as green mortgages. (Paragraph 134) Energy Efficiency of Existing Homes 61
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Government response AI summary
The government agrees consumer awareness is vital and has engaged with stakeholders and consulted on improving access to information, stating they will consider responses for ongoing policy development.
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32
Recommendation
Fourth Report - Energy Efficiency of Ex…
Acknowledged
Energy Performance Certificates have a range of flaws, with their inability to reflect real-world energy performance being the biggest challenge. Desk-based assessments with out-of-date software are doing nothing to improve the market value of decarbonised homes and do not accurately reflect the progress the country is making in improving the …
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Energy Performance Certificates have a range of flaws, with their inability to reflect real-world energy performance being the biggest challenge. Desk-based assessments with out-of-date software are doing nothing to improve the market value of decarbonised homes and do not accurately reflect the progress the country is making in improving the energy efficiency of housing stock. Given their role underpinning Government policy and targets, EPCs should nevertheless be retained but thoroughly overhauled to ensure that they represent an accurate assessment of the improved energy performance of buildings.
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Government response AI summary
The government agrees on the importance of ensuring Energy Performance Certificates (EPCs) align with policy objectives and legally binding targets, but the response is incomplete regarding specific overhaul actions.
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33
Recommendation
Fourth Report - Energy Efficiency of Ex…
Acknowledged
We recommend the EPC methodology is fundamentally overhauled to support low carbon heating measures by indicating, in its headline rating not only the fuel cost of heating a property but also its energy and carbon metrics. The measures in the Government’s EPC action plan are not enough to achieve what …
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We recommend the EPC methodology is fundamentally overhauled to support low carbon heating measures by indicating, in its headline rating not only the fuel cost of heating a property but also its energy and carbon metrics. The measures in the Government’s EPC action plan are not enough to achieve what is needed to support the decarbonisation of homes: we recommend that Ministers look at this again with far greater urgency. Well in advance of 2025, while the energy market is rapidly decarbonising, we would like to see the introduction of EPCs more reflective of real-world performance, and the publication of regular updates on the developing methodology behind EPC assessments. Those carrying out EPC assessments should be suitably qualified and trained in energy modelling and assessment.
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Government response AI summary
The government agreed with the committee on the importance of aligning Energy Performance Certificates (EPCs) with policy objectives and legally binding targets, but the provided response is truncated and does not detail specific actions to overhaul the methodology.
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37
Recommendation
Fourth Report - Energy Efficiency of Ex…
Acknowledged
We recommend the Government’s present basic energy advice service available in England is upgraded to a specialist bespoke advice service similar to the Home Energy Scotland network. This should include measures to identify the most appropriate financing programme for each consumer.
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We recommend the Government’s present basic energy advice service available in England is upgraded to a specialist bespoke advice service similar to the Home Energy Scotland network. This should include measures to identify the most appropriate financing programme for each consumer.
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Government response AI summary
The government acknowledged the growing use of its Simple Energy Advice service, stating that any future development will be based on an iterative process of user testing, but did not commit to upgrading it to a specialist bespoke service similar to Home Energy Scotland.
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38
Conclusion
Fourth Report - Energy Efficiency of Ex…
Acknowledged
Sustainable building materials are not being utilised to anywhere like their full potential in the UK. The use of natural fibre insulation could have significant benefits for the UK’s older housing stock.
Government response AI summary
The government recognises the importance of reducing embodied carbon and increasing the use of low-carbon materials in construction. They refer to the Industrial Decarbonisation Strategy, which outlines how industry can decarbonise and includes consideration of new policy approaches to support the market for low-carbon industrial …
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