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HHIC has been working tirelessly in regards to the Green Deal, Renewable Heat Incentive, the Renewable Heat Premium Payments and the Eco design and Energy Labelling Directives.Starting with the work we are doing with the Green Deal which is the government’s main policy to improve the energy efficiency of the UK building stock, the industry has many objectives that need to be met

The Green Deal scheme provides finance to carry out energy efficiency measures and is not a loan in the conventional sense but is attached to the property. This then results in a ‘charge’ which remains with the property even when it is sold. The intention is that the charge will be repaid through the household energy bill. The key requirement called the ‘Golden Rule,’ means that having carried out energy efficiency improvements with Green Deal finance then the new energy bill (reduced cost of energy due to improvements plus the charge on finance) will be less that it was before the energy efficiency improvements were made.”

The government aims to improve the building fabric and reduce energy usage by improving insulation. Although the heating industry fully supports the need to improve building fabric and insulate – it would also like to see other heating measures included in the Green Deal. Such measures could include upgrading controls, replacing an old efficient boiler with a condensing model or even installing a low carbon or renewable heating system.
HHIC is working on behalf of the heating industry and believe that each home should have a full house assessment. Consumers should be provided with options and recommendations for carrying out a range of cost-effective energy efficiency improvements.

The Green Deal should be able to provide finance for packages of measures. There are few opportunities to encourage householders to undertake energy efficiency and so it is important that they are made aware of all the opportunities. The government now seem to recognise the value of the whole house approach which can be more cost-effective to have a number of measures implemented and financed at the same time. The need for a replacement heating system could also provide the trigger in having more energy efficiency measures carried out at the same time, providing that the Green Deal finance was available to offset the cost of the heating system.

In able to meet the heating industry’s objectives all those involved have taken part in a major political lobbying campaign to raise awareness of the benefits of new heating systems and the potential for inclusion in the Green Deal. This resulted in much support from MPs with both written and oral questions in the house and acceptance from Ministers that heating measures would be considered. HHIC was invited to join forums such as the Capacity & Innovation Forum and Eligibility of Measures Task Group and the Green Deal Maximising Energy Efficiency in Buildings Forum which DECC has established to provide input on the design and development of the policy. The team are working hard to ensure that heating measures are included when the work begins on the secondary legislation and how heating measures can meet the Golden Rule.

From July up to 25,000 household heating installations will be supported by a Renewable Heat Incentive (RHI) Premium Payment. This will help people cover the purchase price of green heating systems such as solar hot water panels or large wood pellet boilers. Those taking up the premium will then able to apply for an RHI tariff when the Green Deal begins. The tariff will provide fixed annual payments to people who install renewable heating systems. The RHI Premium Payment will be worth around £15m and will be spread across a range of renewable technologies and to all regions of Great Britain.

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Written by Roger Webb   
Thursday, 29 September 2011 10:33
Last Updated on Thursday, 29 September 2011 10:39

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