I was delighted to join Winifred Robinson on Radio 4’s ‘Yours and Yours’ on Monday 15th August, to speak on behalf of the National Insulation Association and talk about insulation.

The cost of energy prices has never been spoken about as much, and with rises of energy costs expected to further rise in October, and potentially into 2023, there is warranted concern amongst the population. Insulation is relevant to this debate, as it is one way to significantly reduce the energy demand of a property. This brings benefit to the homeowner, who needs less energy to heat the building, but also contributes to net zero and decarbonisation targets.

The NIA consists of industry experts, installers, system designers and product manufacturers. It promotes high quality insulation in terms of products and service, so that consumers get what they expect and deserve. One of the ways we do this is through our close relationship with the Department of Business, Energy and Industrial Strategy and actively responding to government consultations. To find out more about the NIA, please visit our website here.

I spoke to Winifred about the benefits of insulation, the various types, and how consumers go about making sure they are installing the right measure for their property, at the right level of quality so that they achieve the desired outcome. Step one would be for a consumer to find an accredited installer. The NIA has a postcode locator, where installers nearby can be located, many of which are accredited. The second step to add extra surety, would be to accrue a retrofit coordinator. This is an accredited professional who will undertake an audit of your property and advise of the correct measure that should be installed, as well as making sure the materials and service is accredited to the PAS 2035 standard. This essentially means that the necessary standards are being followed so that the homeowner experiences the desired outcome. To find a retrofit coordinator, please visit the Retrofit Academy website here.

Insulation is only set to become a more important form of energy efficiency measure for homeowners, and the NIA will support government to ensure that it is a viable means to deliver benefit to home owners and occupiers.

Click below to listen back to the episode on BBC Sounds.

Phase 3b of the Public Sector Decarbonisation Scheme (PSDS) is due to open to applications in September 2022 and up to £635 million is available. This is to be spent across financial years 2023/24 (£402 million of funding) to 2024/25 (£233 million of funding).

PSDS 3D Guidance

What is it? 

The PSDS provides grant funding for heat decarbonisation and energy efficiency measures for organisations within the public sector. It should be noted that heat decarbonisation remains the primary focus of the scheme.

How does it differ to Phase 3a? 

There have been refinements, namely: a proportion of funding is available for projects delivered over multiple years or more; a focus on cost effective heat decarbonisation; and emphasis on achieving savings in carbon emissions. There are also new additions to the guidance.

What are the new additions? 

• Sector soft caps – these are to ensure the fair allocation of funding across the public sector. This is based on carbon emission distributions across sub-sectors (find more information in Phase 3b PSDS Technical Annex here. See Page 3 in the PSDS Phase 3b Guidance for how the sector soft caps will work.
• Multi-year applications. PSDS Phase 3b funding is available across financial years 2023/24 and 2024/25.
• Planning year. PSDS Phase 3b funding can be applied for projects requiring expenditure in 2024/25, by using 2023/24 as a year to plan. This is to improve certainty in funding commitments.
• Applicant contribution. Applicant funding should be equivalent to the like-for-like costs of replacing their fossil fuel heating systems. This cost must be 12% of total project costs as a minimum and evidenced. If the cost is below this percentage, the applicant must make up the funding to 12%. If the cost percentage is above, the applicant must still contribute the full like-for-like replacement costs. For example, if 20% of total project costs is like-for-like, the applicant must fund the full 20%.
• ‘Whole building’ approach. This applies only to the buildings and parts which are being heated by the proposed low-carbon heating system, and the building expected to host the system. Buildings not served by the proposed low-carbon heating system are not eligible for measures under PSDS Phase 3b.
• Energy efficiency cap. The maximum grant proportion is 58% of total grant costs per application for energy efficiency measures.

Where does insulation fit in? The primary focus remains heat decarbonisation, however it promotes a whole building approach, and a fabric first approach is supported particularly where the low-carbon heating system is serving.

It also says that if the building’s heat or electricity demand can be reduced by energy efficiency measures and other enabling works, they can be included in an application for funding.

The guidance does support that heat demand within the building should be reduced, where cost-effective and practical, before installing new low-carbon heating measures.

To read the guidance, please click here. 

Key Dates

• September 2022: Application Portal opens. This will close when the budget has been met through the applications.
• January 2023: Outcomes of funding, including the announcement of successful projects.
• 31 March 2024: Projects awarded funding for a single year must be completed.
• 31 March 2025: Projects awarded funding for multiple years must be completed.

Thank you for your feedback!

Thank you to those who provided their feedback on the consultation response for the Welsh Housing Quality Standard 2023. This has now been submitted. Your feedback is much appreciated and helps to shape and influence industry.

Join our policy mailing list!

NIA members looking to play a part in the drafting of consultation responses are invited to subscribe to our policy mailing list.

Subscribe by emailing Fiona.chestnutt@gemserv.com to be added to the policy mailing list.

As promised, the Department for Business, Energy and Industrial Strategy (BEIS) has released guidance for the Social Housing Decarbonisation Fund Wave 2.

The £800m two year scheme aims to install energy performance measures in social homes in England. It was developed as part of the 2021 Spending Review Settlement and will look to tackle fuel poverty, reduce carbon emissions, improve comfort in the home whilst also developing the retrofit sector and supporting the green economy.

What does the guidance say?

The guidance provides an overview of the key headlines of Social Housing Decarbonisation, outlines the differences between Phase one and Phase two, talks about the funding available, and also gives additional considerations and an indicative timescale.

The next key date to be aware of is early August, when BEIS intends to release Application forms, further FAQs, Grant Funding Agreements, Grant Offer Letters and Data Sharing Agreements. The competition is then set to launch at the end of August, closing 8 weeks after it launches.

To read the guidance, please click here.

What are the performance and delivery considerations?

• Homes must reach EPC rating C (with exceptions for F/G rated homes that cannot reach this level
• Installers must be TrustMark accredited
• PAS2035 must be used to ensure quality and safety

Feedback to the NIA’s response on Welsh Housing Quality Standard 2023

Thank you to those who have provided their feedback on the draft consultation response for the Welsh Housing Quality Standard 2023. The deadline for those who have yet to respond is 27th July 2022. Your feedback helps to shape and influence industry, and your input is much appreciated.

If you haven’t received this but would like to, please email Fiona.chestnutt@gemserv.com to be added to the policy mailing list. Any questions please let me know.

Updated Approved Document F1 – Ventilation 

Building Regulation Approved Document F (AD F) has been updated for England and Wales. It concerns ventilation to maintain indoor air quality and is specific to ‘Existing Dwellings’ only. It came into effect in England on 15^th June 2022, and will later come into effect in Wales on 23^rd November 2022.

The equivalent areas for background ventilation in specific locations  in an ‘Existing Dwellings’ has increased. These are as follows:

Notes

• Approved Document F: Volume 1 applies to dwellings
• Approved Document F: Volume 2 applies to buildings other than dwellings

Ofgem draft ECO4 guidance

Ofgem has published draft guidance; Draft Energy Company Obligation (ECO4) Guidance: New Measures and Products (NMAP) V0.1 | Ofgem for stakeholders who want to know about applying for and delivering new measures and products under ECO4. The document is shared on a comment basis alongside its ECO4 Administration Consultation Part 2.

It seek views on their proposed format and administration of the NMAP routes on ECO4. Please see the Ofgem ECO4 Administration Consultation Part 2 for further information on the type of feedback Ofgem are seeking, and on how to respond to the consultation.

If you have any questions, please contact Andy Morrall, Senior Technical Policy Manager Email: ECO@ofgem.gov.uk

For more information click here.

Ofgem’s Engagement Event

Ofgem are keen to hear from industry about their proposed administration for the Energy Company Obligation (ECO) 4 scheme as set out in their consultation which closes on 18th July 2022.

ECO4 intends to launch in summer 2022, to continue its support of low-income households to make their homes more energy efficient. ECO4 is intended to launch in summer 2022.

The event will provide an overview of Ofgem’s proposals as set out in the consultation. The event will be held on:
12^th July 9:30am – 11:30am

For more information click here.

Energy Security Bill

With so much going on in Parliament this week it has been a challenge to keep up. However, on 6th June, the Energy Security Bill was introduced to Parliament. It aims to deliver a more affordable, cleaner and secure energy system.

The date to consult on the powers is expected later on this year, and we will keep you up-to-date. For more information please see the below factsheet:

Energy Security Bill factsheet: Power to review the energy performance of buildings regulations energy certificates (publishing.service.gov.uk)

NIA members looking to play a part in the drafting of consultation responses are invited to subscribe to our policy mailing list.

Subscribe by emailing fiona.chestnutt@gemserv.com