The Green Deal Cashback Scheme is open, with £100s of cash available to householders in England and Wales to make energy saving home improvements.
By: Green Deal and ECO Team
DECC recently announced several changes to the existing Green Deal Cashback Scheme (operating in England and Wales) which rewards consumers for taking action to improve the energy efficiency of their homes through the Green Deal. These changes were the result of feedback we’ve had from industry and consumers on how the scheme could be made more attractive to increase energy efficiency in households.
A quick recap of the changes :
- The scheme will be open for new applications until 30 June 2014. Vouchers will have a validity period of three months, or six months for Solid Wall Insulation ( SWI). However, all work must be completed and vouchers redeemed by 30 September 2014.
- The rates have changed for some items: Eg, SWI changes from £650 up to £4000. These new rates will apply to applications made or redeemed on or after 13 December and the Cashback Administrator will contact people affected by this.
- We have increased the customer’s contribution cap from half to two thirds, bringing more households within reach of the maximum cashback rates for each measure.
- For customers who do not want to take out a Green Deal Plan to make energy efficiency improvements we are removing the requirements for Guarantees and Insurance Backing for all measures except for cavity and solid wall insulation.
- Customers will not be able to claim cashback for packages of measures that include a contribution from Green Deal Communities schemes, and from April 1, customers will not be able claim cashback for packages of improvements that include an ECO contribution.
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The ECA today reports:
The Electric Event 2014 is the must-visit event of the year for anyone associated with the electrical industry. Taking place from 28-30 May at the International Conference Centre (ICC) in Birmingham, the ECA’s groundbreaking experience brings together the annual ECA Electrical Industry Conference – a high-level annual business conference featuring a fantastic line-up of keynote speakers – alongside a Meet the Suppliers exhibition packed with key industry players, a range of highly-focused Technology Live technical workshops covering important industry developments, plus a glittering gala dinner and ECA Annual Awards ceremony.
The Electric Event returns to the Midlands following a highly successful inaugural show last year that drew visitors from across the UK and beyond.
The unique format of the event means that there is something for everyone, whatever size of business and whatever area of the electrical sector you’re working in. And, with so many key industry people attending, it also provides an unmissable networking opportunity.
The Electric Event is all about business and fresh thinking – delivering fresh insights on opportunities to grow your business, providing the latest updates on technological and legislative changes, and keying into the essentials for understanding and managing change and strengthening your business. At a time when the economy is finally starting to emerge from the deepest recession in living memory, it is crucial that your business is prepared – and equipped – for both the opportunities and risks that the recovery presents.
The Electric Event has been developed by the ECA in consultation with key industry partners to ensure that it provides an essential experience for visitors from both the electrical contracting sector and wider building services industry. Whether full conference delegates or day visitors to the exhibition and workshop strands of the show, fresh ideas to get you thinking are guaranteed.
Day One – Wednesday 28 May
ECA Electrical Industry Conference 2014
The ECA Electrical Industry Conference will see keynote speakers from both within the electrical industry and beyond sharing their expertise and insights, delivering informative presentations and thought-provoking opinions from a variety of perspectives. They will provide delegates with detailed analysis of the marketplace, identifying both key areas of potential growth and business opportunities for switched-on electrical contractors, while communicating essential information of which everyone in the sector should be aware.
This year, the conference begins on the evening of the first day with a social networking event for delegates and partners, including a reception at the Birmingham Museum and Art Gallery, followed by an informal evening at the Birmingham Council House, with live entertainment included.
Day Two – Thursday 29 May
Technology Live workshops and Meet the Suppliers exhibition
The Technology Live workshops and the Meet the Suppliers exhibition are open to delegates attending day two only as well as full conference delegates.
Technology Live is an ideal opportunity for electrical contractors, consultants, designers and specifiers to hear directly from leading industry manufacturers about their latest products and innovations.
This year, there are four workshop streams available, with a timetable that offers delegates maximum flexibility in choosing what to attend. These are:
■ Lighting and lighting controls
■ Power distribution, controls and automation
■ Energy solutions, renewables and microgeneration
■ Fire, security, emergency lighting and data controls
The Meet the Suppliers exhibition will run throughout the day, offering visitors the opportunity to talk with key members of the supply chain and get hands-on demonstrations of the latest equipment and services. With dozens of exhibitors showing their gear, it’s an ideal forum for electrical contractors and suppliers.
Day Three – Friday 30 May
ECA Electrical Industry Conference 2014
Gala Dinner and ECA Annual Awards 2014 presentation
The third day of The Electric Event begins with an opening address from ECA group chief executive officer Steve Bratt, followed by the traditional inauguration ceremony for the new ECA President for 2014-2015, Andy Basham.
The day proceeds with a series of keynote speakers from the electrical industry and beyond, covering key topics in detail and providing stimulating insights into areas of opportunity for new business. Among those addressing delegates will be Dr Noble Francis, economics director of the Construction Products Association, who will be outlining ‘The opportunities and risks associated with recovery’.
The presentation from Professor Rudi Klein, chief executive of the Specialist Engineering Contractors’ (SEC) Group, will look at ‘Identifying and dealing with payment/contractual risks’.
From a broader perspective, Paul Kavanagh, CEO of Imtech UK will be delivering a presentation relevant to every business in the building services sector: ‘An integrator’s view on surviving the recovery– considerations for BES contractors’. Paul Reeve, ECA director of business services, will deliver another important presentation exploring how contractors should navigate the upturn, entitled ‘Managing the recovery; key considerations for contractors’.
The guest speaker for the first day is TV presenter Clare Balding OBE, who promises a thoughtful and inspirational end to the business side of the conference.
ECA Annual Awards 2014 presentation and Gala Dinner
On the Friday evening the ECA Electrical Industry Conference comes to a close with the presentation of the ECA Annual Awards 2014 at a glittering black-tie Gala Dinner.
These awards acknowledge and reward the very best in the electrical contracting industry and recognise the excellence, innovation and best practice of ECA registered members in the electrical and electronic business services engineering sector.
The seven awards for the inaugural presentation this year include:
■ ECA Large Contractor of the Year Award
(sponsored by Schneider Electric);
■ ECA Medium Sized Contractor of the Year Award
(sponsored by Hager);
■ ECA Small Sized Contractor of the Year Award
(sponsored by Edmundson Electrical);
■ Best Client/Contractor Partnership Award
(sponsored by ECIC);
■ Innovation in Contracting Award
(sponsored by Newey & Eyre);
■ Best Electrical Safety Initiative
(sponsored by the Electrical Safety Council); and
■ ECA Commitment to Training and Development Award
(sponsor TBC).
The winners will be selected by an independent judging panel of leading industry figures, representing different areas of expertise and interest. See right for details of how to submit entries for the awards.
The evening will be hosted by master after-dinner speaker Gyles Brandreth, TV personality, former MP and journalist, who is guaranteed to raise eyebrows and laughter with anecdotes from his long, varied and interesting career.
As well as an enjoyable social event, the ECA Annual Awards and Gala Dinner make great business sense, too. Those attending will have the opportunity to network with fellow ECA members, other electrical and electronic systems installers, main contractors, representatives from government departments, manufacturers, wholesalers and industry professionals.
So make sure you’re switched on, and book now for the electrical industry event of the year.
ECA Today reports:
The commercial Renewable Heat Incentive (RHI) was launched with much fanfare at the end of 2011, but take-up remains lower than expected. With the much- delayed domestic scheme soon to be rolled out, could the RHI yet prove to be a lucrative opportunity for contractors? ANDREW BRISTER reports
Nearly half of all the energy consumed in the UK is used to produce heat. The government knows, if it is to meet its target to generate 15 per cent of its 2020 energy consumption from renewable sources, it needs to do something about heat – and quickly.
Only about two per cent of current heat demand is met by renewable sources. The coalition estimates that 12 per cent of heat needs to come from renewable energy by 2020 if overall targets are to be achieved – a near six-fold increase from today’s levels. The Renewable Heat Incentive (RHI) is the principal mechanism for driving this tough transition.
The first such scheme in the world, the RHI was launched at the end of 2011 and aims to bridge the gap between the cost of fossil-fuel heat sources and renewable-heat alternatives, through financial support for owners of installations. A tariff, payable in pence per kilowatt-hour (p/kWh) of heat generated, is available for eligible technologies, including biomass boilers, ground-source heat pumps and solar thermal.
Take-up
Figures from the Department of Energy and Climate Change (DECC) show that take-up has been lower than expected. Some building owners have been put off by their experiences with the government’s Feed-in Tariff (FITs) scheme for renewable electricity (tariffs were slashed after the scheme became too popular), while the tailing-off of the market for solar photovoltaics (PV) resulted in many installation contractors giving up on the renewables sector. The RHI has also garnered a reputation for a lengthy and bureaucratic approvals process, and onerous metering requirements.
As of 31 December 2013, the non-domestic scheme has registered 4,100 applications, representing 827MW of installed capacity, with 2,900 accredited installations. Only 634,810MWh of heat have been generated by accredited installations that have received payment, against a target contribution of 72TWh from heat by 2020.
Some technologies hardly figure in the data: biomass-boiler installations account for 99 per cent of RHI applications by heat generated (93 per cent by number of installations) and the coalition is seeking to stimulate take-up of technologies such as ground- source heat pumps by increasing the tariffs – by as much as three times the present rates – while largely holding biomass tariffs at current levels.
Domestic RHI
Moves to increase the scope of the RHI to include technologies such as air-source heat pumps, biomass direct-air heating, biogas combustion, biomass and bioliquid combined heat and power, and deep geothermal have been welcomed by industry practitioners. The changes are expected to start in spring 2014, alongside the much-delayed introduction of the domestic RHI scheme.
The roll-out of the domestic scheme is certainly good news for contractors. The tariff levels have been set at 7.3p/kWh for air-source heat pumps, 12.2p/kWh for biomass boilers, 18.8p/kWh for ground-source heat pumps and 19.2p/kWh for solar thermal.
The government is predicting a big take-up. ‘We anticipate 3.9TWh of renewable heat will be supported through the domestic scheme by 2020/21, equating to around 745,000 installations cumulatively over that period,’ says a DECC spokesperson. ‘We expect to see steady growth in installations over the next few years.’
Anyone who has installed a renewable-heat technology since 15 July 2009 will be able to join the scheme. DECC will offer an extra payment of £230 per year when consumers take out metering and monitoring support packages for heat pumps, and £200 for biomass boilers. Applicants will need to complete a Green Deal assessment before submitting their application and must ensure they meet minimum loft (250mm) and cavity-wall insulation requirements. All installations and installers must be certified to Microgeneration Certification Scheme (MCS) standards.
In the run-up to the domestic roll-out, DECC’s Renewable Heat Premium Payment (RHPP) scheme has provided one-off payments to subsidise the capital costs of equipment. Householders who receive money under RHPP will have this amount deducted from any future RHI payments to avoid a double subsidy.
Incentive
‘The domestic RHI is a great initiative that will be good for homeowners, helping them to make the case for renewable technologies,’ says Thomas Mortimer, general manager at ECA member Wessex Renewable Energy. ‘We are pleased that air-source heat pumps are now being included – and at a tariff that will push people to make the choice over oil- fired or LPG boilers.’
Wessex is already getting enquiries. However, homeowners are holding fire until the scheme kicks off. ‘We expect a busy period around that time,’ predicts Mortimer, ‘and consumer confidence will grow as they hear about it from their neighbours.’
Burton-based ECA firm Parker Energy is also expecting good take-up from the domestic scheme. ‘The tariffs for air-source and ground-source heat pumps look attractive,’ says the company’s renewables director, Rafe Bateson. ‘If you are using oil or LPG, then biomass or air-source heat pumps are a brilliant solution. Against gas, it’s not so great. The issue will be finance – homeowners will want to earn money out of it.’
Opportunities
At current prices, paybacks can be expected in about five to six years – which should entice homeowners. The ECA is encouraging members to gear up for the expected interest and make sure they are trained for air-source heat pump installation. ‘Electrical contractors just need to think of the technology as an electrical piece of kit, with two pipes coming out of it that happen to contain water,’ says Bill Wright, head of energy solutions at the ECA. ‘Because water is involved, the plumbers have tended to hang on to it, but the electrical sector needs to think afresh and see this as an opportunity.’ Wright does not think the electrical sector will find MCS certification onerous.
Clare Campbell, product marketing manager for Dimplex renewables, also urges electrical contractors to get involved: ‘The rates set by DECC look good and have created a real incentive for consumers to invest in renewable heat. I am certain it will stimulate the market and electrical contractors are well placed to take advantage of this uplift if they are willing to undergo the necessary training.
‘One particular product set to soar is air-source heat pumps. The latest high-quality, highly efficient models from reputable manufacturers offer improved efficiency, easier installation and quicker paybacks – not to mention the added benefit of RHI payments. It creates a compelling product for electrical contractors to offer alongside more traditional electric-heating options – particularly for retrofit projects in larger, older, off-gas private homes.’
For any contractor looking to capitalise, the most important thing is to make sure they have the correct certification and are up to date with the latest standards. ‘MCS approval is a minimum requirement of any renewables installation in order to access RHI, and the MIS3005 installer standard has been designed to ensure the quality and consistency of heat-pump installations in the UK,’ says Campbell.
If the government’s predictions are to be believed, the domestic RHI roll-out offers contractors tempting new markets as the industry starts to emerge from recession. What are you waiting for?
ECA Today reports:
Experts from the ECA, BSRIA, Ofgem, Department of Energy and Climate Change (DECC) and the National Grid will be grappling with the problem of how to secure the UK’s future electricity supply during an open event on Thursday 27 March.
The seminar discussion – jointly hosted by the ECA and BSRIA – will consider how to resolve the threat of reduced capacity at peak times, resulting from power-station closures and a lack of viable alternatives. The panel will seek to identify solutions that reduce business disruption, while supporting building owner-operators, facilities managers, contractors and service providers to deliver the maximum provision during challenging times.
Expert speakers include the ECA’s head of Energy Solutions, Bill Wright, and senior representatives from BSRIA and National Grid. Roundtable discussions will be followed by a Q&A session.
‘There is currently an alarming lack of awareness of the risk to business, and very few contingency plans in place to cope with possible loss of process and equipment failure,’ says Bill Wright. ‘ We will be looking at the strategies needed to keep businesses open in the event of local energy supply issues, including back-up power systems and the installation of renewable energy sources. We encourage building services professionals and electrical contractors to join us at the event and be part of the solution.’
The event, which is being held at Central Hall, Westminster, is free for ECA and BSRIA members. ECA members who are interested in attending should email events@bsria.co.uk. Places are limited and will be allocated on a first-come-first-served basis.
Non-members can book a place at https://www.bsria.co.uk/information-membership/events/details
The ECA Today reports:
The danger of large-scale power cuts is looming. BILL WRIGHT, head of Energy Solutions at the ECA, shines a spotlight on the real issues about potential energy shortages and explains how electrical contractors can help to deliver the solution.
London, Corporate HQ, 3.35pm, 6 February 2015: area recovering from recent storm, trees down in Kensington Gardens, some flooding by the Thames. Weather: bright but cold, with no wind. An area of high pressure is covering most of the UK and is forecast to stay for the next two days. There will be icy conditions on the roads overnight…
At Corporate HQ, the lights have been dimming and flickering all day, but that’s fairly normal at this time of the year. Ofgem has put out warnings of low generation margins, but no one takes much notice these days – there have been so many warnings.
The building lights go out and it is getting dark outside. No streetlights, only some dim emergency lights in the office. Computers switch off, heating off, everything stops. Staff sit at desks waiting for power to be restored – it always comes back on, doesn’t it? – but not this time. After 15 minutes, ambulances can be heard nearby, and the only lights are from a few torches and car headlights. Useful, those batteries…
Still dark and getting colder. Someone switches on a radio and hears an announcement that all of central west London has suffered a major power outage. Could be out for some time; advice is to stay calm, use a torch (where is that torch?) and walk home – if possible – as all traffic lights and street lighting is out. Accidents at junctions and general confusion have already jammed the major roads. Emergency lights start to dim; all told to leave work and go home. Except the Tube and trains are not running properly, and many are not running at all…
Scenarios
Possible or not in 2015? Yes, definitely possible. Take storm damage to overhead lines, low margins of generation, precious little wind power (forget about solar PV at a time of year like that) and one or two power stations tripping out because of faults, and you soon have a scenario that means area-wide power cuts.
Consider recent warnings by Ofgem, the electricity supply regulator, that – due to power station closures – supply margins (the difference between capacity and demand) are too low for comfort during high demand in winter and we can see that the above scenario could easily come about.
Why is this possible? There has been no major investment in large power stations since privatisation in 1990, and some large coal-fired stations that are the backbone of our generation capacity are now at the end of their useful lives. The EU Emissions Directive has stated that old polluting power stations must be shut down before 2016, and closures have taken place. Rather than being mothballed, they have been demolished, sometimes because land is regarded as more valuable. Our nuclear power stations, once world leading, are scheduled for closure as they reach the end of their useful lives, and the proposed new nuclear power station for Hinckley Point is not due for completion until 2023. That is not going to be of much use if we get power shortfall problems in 2015.
Our increased reliance on ‘renewable’ sources, such as wind power, has given us ‘greener’ non-polluting power, but we are, of course, at the mercy of the elements. If an area of high pressure covers the UK and there is little or no wind that will be the equivalent of switching off three or four large power stations.
The government has recognised the problem, but is hardly moving to resolve it. The Energy Bill has brought into being conditions that will encourage investment in new power generating capacity and subsidise nuclear and renewable sources, but this will not help until the new plant is financed and constructed.
Blackouts
The UK distribution system has also suffered from significant under-investment and it is estimated that something in the order of £110bn is required to renew our ageing generating and distribution capacity. Where is this going to come from? The investment could be raised through taxes or private investment, which means that the price paid for the power will have to rise further to pay back investors. Ultimately, though, that means the consumer pays. When one looks forward, there seems only one way for the price of electricity to go – and that is up.
But even expensive energy is going to look good when you compare it to no energy. The blackout scenario above is obviously a worst-case one, and things may not be as bad as shown in the 2013 Channel 4 ‘info-drama’ on prolonged power outages. We might get so-called ‘brownouts’ – reduced voltages – first. But it really will pay to be prepared for local, relatively short, power outages.
Consider how helpless you feel when your IT fails for even an hour; how would you or your business cope with power cuts of a few hours’ duration? Could you carry on? Will important data be lost? And what about your staff? Will you actually be in danger? Will you lose customers? It is prudent to consider these questions now, while we have a good power margin and power cuts seem unlikely.
Now, let’s look at homes. Do not think that just because you have fitted renewable energy sources, such as solar PV, that you will have power. The invertor relies on incoming mains for synchronisation and stops if there is no grid energy. No power means no heating, as the gas boiler and pumps also stop working. No lights, no PCs or television, no charging phones or tablets. If you have a gas hob, you can do some cooking and heating in the dark. This happened to thousands of people over the recent Christmas period, when power was lost for several days. Do you have candles and blankets ready and portable heaters? We are so used to reliable power supplies that most people have probably not got candles, batteries or portable stoves. Ask anyone who lost power over Christmas 2013 and they either stayed at home and wore their entire wardrobe, or went to relations or friends who had power.
Solutions
Electrical contractors can provide a range of possible solutions – and pragmatic advice – to both business and domestic consumers. They are in an excellent position to understand the cause and effect of power outages, and can assist in installing alternative supplies, such as portable generators and batteries.
Think about businesses. How will they cope? Obviously, the larger companies with bigger premises, such as retailers and occupiers of offices in purpose-made buildings, will already have provision for emergency lighting and uninterruptible power supplies for computers, to enable a safe shutdown. However, even they may not have made sufficient provision for standby power for heating and lighting to enable the business to carry on uninterrupted. How long could they continue without standby power? Have they pinpointed critical areas that need supplies to keep the business operational? As an electrical contractor, you are in an excellent position to help identify critical circuits and their loads, and advise on alternative power supplies.
During the recent power outages, many suppliers rapidly sold out of generators – but how do you use them in homes? Essential supplies could be powered from extension leads put into the generator, but this could be a source of overload danger or carbon monoxide poisoning if the generator is kept indoors. If clients think in advance, it would pay to fit a changeover switch to enable a generator to be plugged into the house circuits safely and effectively. Should householders think about some form of emergency lighting to enable safe access to stairs and exits? As the time of potential power cuts approaches (remember, winter 2015 onwards) it would be a good selling point to install changeover and emergency systems within homes.
Companies may decide to close after a certain time without power. They could now install a limited back-up supply, or a standby generator, or a connection point for an external generator in the event of a prolonged loss of power. Those who act now will be in a good position to ride out any future disruption to supplies. Take a lesson from hospitals, where critical circuits are identified at design stage and standby systems installed accordingly. Hospitals cannot stop if power fails.
Action
This worst-case blackout scenario may not happen; we could have mild weather over the next few winters, plenty of wind and sunshine with no risk of power failure. But is that a chance we should be taking?
Sir John Armitt, the former Network Rail boss, who chaired the Olympic Delivery Authority, has said publicly that he thinks power cuts could jolt the government out of its complacency and get a construction programme moving.
Those who take action in domestic and nondomestic premises will be in a good position to sit through power outages with minimal disruption. Companies who can carry on regardless will find themselves with a big advantage over those who can’t.
The ECA, in association with Building Services Research and Information Association (BSRIA), is holding a joint conference with speakers from the National Grid, Ofgem and the Department of Energy and Climate Change (DECC) to discuss this problem and identify solutions. Admission is free to all members of the ECA. It is being held on 27 March 2014 in Central Hall, Parliament Square, London. It will be of interest to all those who are involved in the safety and continuity of supplies to buildings. If you do wish to attend, email your details to energysolutions@eca.co.uk as soon as possible to reserve your place. Places are limited so apply now.
The BBC are now highlighting the potential for energy shortages in the coming winters. Watch BBC1 tonight (Monday 10th March) at 7.30pm.
There are still a few places left at the joint ECA / BSRIA conference on this subject on the 27th March at Central Hall, Westminster, London. Admission is free to ECA members.
Contact Bill Wright on energysolutions@eca.co.uk if you wish to attend.
http://www.bbc.co.uk/programmes/b03y65xx
Bill Wright
Posted by: Bill Wright, ECA, Head of Energy Solutions
Category: General