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N
 ATIONAL
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HESS response 090422 - final.docx
Page 1 of 22Version saved on 22 April 2009 at 09:39
 
N
ATIONAL
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ERVICES
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ESPONSETO
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EATAND
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NERGY
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TRATEGY
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ONSULTATION
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BOUT
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L
TD
NationalEnergyServices(NES)ownsandoperatesboththeNHERAccreditationSchemeandtheSAVACertificationScheme.TheNHERistheUK’sfirstandlargestenergyratingscheme,establishedin1990.Weprovidesoftware,training,accreditation,researchandconsultancyfororganisationsandindividualsinvolvedwithimprovingtheenergyefficiencyofbuildings,particularlydwellings.TheNHERAccreditationSchemecurrentlyhasover3,000membersaccreditedtoissuevarioustypesofEnergyPerformanceCertificates(EPC)andDisplayEnergyCertificates(DEC).SAVAprovidessoftware,trainingandaccreditationforHomeInspectorsandallaspectsofHomeConditionReportsandhasoperatedsince2000.SAVAwasthefirstapprovedCertificationSchemeforHomeInspectorsandcurrentlyhasover400members.
Q1:
Do you agree with the level of ambition and the indicative pathway set out in thischapter? If not, why, and what alternative would you suggest?
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Wesupportthelevelofambition.
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Wedonotagreewiththepathwayasoutlinedaswedonotbelieveitwillachievethesegoals.
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Webelievethatestablishingmandatoryminimumenergyefficiencystandardsforbuildingsbeingsoldorrentedoutisessentialtoachievingthegoalsandwouldbemoresociallyequitable.
Wesupporttheambitionofan80%reductionincarbonemissionsby2050andtheconsequentialnecessitytoreduceemissionsfrombuildingstoasclosetozeroaspossible.Wealsosupporttheinterimambitiontohaveinstalledloftandcavitywallinsulationinallhomeswhereitispossibletodosoby2015.However,wearenotconvincedthattheindicativepathwaydescribedwilldelivertheseambitions.Ourconcernsrelateprimarilytotheover‐dependenceonadviceandfinancialsupportfundedbytheenergyindustrytodriveaction,withoutpricesignalsoranyelementofcompulsionforbuildingownerstotakeresponsibilityfortheiremissions.Ideally,carbonpricingwouldbeusedtoincreasecarbon‐basedenergycostsandthereforestimulateefficientinvestmentstrategiesforemissioncontrol.However,giventhatenergycostsremainarelativelysmallproportionofmostoccupants’overallcosts,thepriceofcarbonwouldneedtobehigh,imposingunacceptableburdensonthefuelpoorandmanysmallbusinesses.
 
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HESS response 090422 - final.docx
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Intheabsenceofcarbonpricing,webelievethattherequiredlevelofinvestmentinemissionsreductioncanonlybeachievedthroughacombinationofbothincentiveandobligation.Specifically,webelievethatlegislativemeasuresarerequiredtoplaceresponsibilityontheownersofthebuildingswhoseassetsareresponsiblefortheemissions.Thiswillensurethattheyinvestintheirbuildinginordertoachievetheappropriatestandards,whichcanbesettobecompatiblewiththeoverallcarbonbudget.Delayingtheintroductionofsuchlegislativemeasureswill,webelieve,simplyresultinthenecessitytointroducemoreonerousregulationinthefuture.Wethereforerecommendtheimmediateintroductionofregulationstorequiretheinstallationoflow‐costmeasuresrecommendedintheEnergyPerformanceCertificate(EPC)atthetimeofchangeofownershiporwhenapropertyisbeinglet.Thiswoulddeliverasignificantboosttotherateofimprovementoftheenergyefficiencyofthebuildingstockandhelptoensurethatthe2015ambitionisachieved.TheEPCisidealforthispurpose,beingalegaldocument,preparedbyfullyqualifiedandregulatedenergyassessorsandutilisingtheapprovedNationalCalculationMethodologytobothassesstheenergyefficiencyofthebuildingandtoproviderecommendedimprovementmeasures.Furthermore,allEPCinEngland,WalesandNorthernIrelandandfordomesticbuildingsinScotlandareregisteredonnationallymanageddatabases,therebyprovidingarobustdatasettomonitorimprovementsintheenergyefficiencyofthebuildingstockandtoauditcompliancewithstandards.Thisprovidesanidealframeworkwithinwhichstandardscanbefurtherraisedinthefuture,asneededtoachievetheoveralltarget.Atamoredetailedlevel,weareconcernedwiththeover‐emphasisonthe“whole‐house”approach.Whilstsuchanapproachmayprovidesomeimprovementinoperationalefficiencyfortheinstaller,thereisnoevidencepresentedthatthisbenefitissubstantial.Bycontrast,itisveryclearthatsuchanapproachislikelytoresultinfinancialsupportbeingpoorlydirected,goingtowardstheinstallationofhighcostmeasuresinsomepropertiesandawayfromtheinstallationofmorecost‐effectivemeasuresinotherproperties.The“whole‐houseapproach”alsopresumesthatbuildingscanbe“sortedoutonceandthenignored”,completelyignoringthepotentialfornewtechnologiesandimprovementsinthecost‐effectivenessofexistingtechnologies.Wefeelthatfinancialsupportshouldbefundamentallydirectedaccordingtolocalcost‐effectivenesscriteria,notaccordingtoanoperationalmodelwhichhasnotbeendemonstratedtodeliversignificantbenefitsinoverallcost‐effectiveness.
Q2:
Do you agree with the Government
ʼ
s policy approach set out in paragraphs 1.31onwards to achieving our ambitions on heat and energy saving?
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No.
Theapproachoutlinedisoverlydependentontheprovisionofadditionalinformationleadingtosignificantchangesinbehaviour,withoutanyspecificevidencetosuggestthatthisisrealistic.Nosolutionsareofferedforeventhemost
 
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HESS response 090422 - final.docx
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basicofbarriersidentifiedsuchashavingtoremoveitemsfromloftsorhouseholdsnotlikingsolidwallinsulation.Thepolicyisalsopre‐occupiedwitha“whole‐houseapproach”.AsdiscussedinourresponsetoQuestion1,noevidenceisofferedtodemonstratethattheoperationalbenefitsofsuchanapproachoutweighthedisbenefits.Inparticular,weareconcernedthatsuchanapproachwillinevitablyresultinfinancialsupportbeingpoorlydirectedbecausecost‐effectivenessisnottheprimarycriterion.WedosupportthepolicyrecognisingthesignificantrolethatcanbeplayedbyGovernmentandthepublicsectorgenerally.However,noproposalsaremadethatwillboostactivity,thereforeitappearsunrealistictoexpectthatthesectorwillprogressattherateneededtomeetthe2015,2030and2050targets.
Q3:
How can the Government encourage people and communities to changebehaviour to save energy? What is the appropriate balance between changingattitudes, and providing advice and information?
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Thepolicyapproachesoutlinedareoverlydependentonfinancialincentivesandtheprovisionofadviceandinformation,fundedthroughasociallyregressiveobligationontheenergycompanies.
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Definingminimumlegallyacceptablestandardsisthemosteffectivemeansofachievingemissionreductionsandwill,overtime,changeattitudesandbehaviourbychangingexpectations.
Thequestionimpliesthat“changingattitudes”and“providingadviceandinformation”arealternativesandthatthereisachoicebetweenthem.Inpractice,theprovisionofinformationandadviceiscriticaltochangingattitudesandbehaviour;however,thiscanbeanextremelyslowprocess.Furthermore,seekingtochangebehaviourbyencouragingpeopletoacceptareductioninservice(e.g.reducingcomfortbyloweringtheheatingortakingtimetoswitchappliancesoff)isunlikelytogainwidesupport.Regulatoryintervention,supportedbyeffectivecommunication,hasbeendemonstratedtobeeffectiveindeliveringbothchangingattitudesandbehaviours.Forexample,theintroductionofaplasticbagtaxinIrelandsupportedbycommunicationsabouttheenvironmentalimpactofdisposableplasticbags,resultedinaveryquickchangeinbehaviour.Theintroductionoflegislationrequiringtheuseofseatbeltsandsupportedwithinformationaboutthereductionintheriskofseriousinjuryforseatbeltusers,hassimilarlybeeneffectiveinchangingmostpeople’sbehaviour.ThecriticalobjectivebehindtheintroductionoftheEPCwastomakepotentialbuyersandtenantsawareoftheenergyefficiencyofthebuilding.However,itiscurrentlywidelyacknowledgedthatmanypotentialpurchasersortenantsdonotcurrentlygettoseetheEPC.RegulationtorequirethatthelowcostmeasuresrecommendedintheEPC,supportedbystrengthenedrequirementstoprovideand/ordisplaytheEPC,couldbeeffectiveinraisingawarenessandchangingexpectationsandbehaviour.
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