Policy News

Policy News

NEWS POLICY All the latest news from around the building industry Gore savages UK government over carbon reduction and energy policy U-turns said he was tempted to use the word betrayed, before going on to question whether the Prime Minister had been coerced into making decisions he disagreed with under pressure from Conservative party colleagues. Ben Goldsmith, chair of the Conservative Environment Network, told the conference he was devastated by the recent changes. I hope they have got a plan, he added. They have scrapped some of the most exciting things that have been set up in the past four or five years. He poured scorn on the suggestion that the decisions were based on a shortage of funds, pointing to the agreement to build the Hinkley Point nuclear reactor as TRAVIS P BALL / GETTY IMAGES Politicians under attack for scrapping green initiatives Former Vice-President of the United States Al Gore has criticised the UK governments dramatic change of direction on carbon reduction and energy efficiency. Speaking at a Green Alliance event in London, Gore said he was puzzled by Britains recent policy U-turns, including: the scrapping of zero carbon building targets; the cancellation of the Green Deal; and plans to cut Feed-In Tariffs (see story below). He urged the government to show leadership in the build-up to Decembers international climate change talks in Paris, and provide actions rather than words. He Al Gore puzzled by Britains policy U-turns an example of financial hypocrisy. He also said fossil-fuel subsidies were 10 times greater than those provided to renewables every year. CBI director-general, John Cridland, said the business community wanted to be part of the solution, but UK companies must be given confidence that ministers really mean to tackle Apprenticeship levy may kill off construction training board The proposed training levy to pay for apprenticeships from April 2017 could undermine current arrangements in the construction industry, according to BSRIA. In a statement, the research and testing body expressed concern that the new levy which is designed to finance three million apprenticeships by 2020 would kill off the Construction Industry Training Board (CITB). It would also leave employers in the dark as to how apprenticeship training would be financed and if they will be forced to pay twice. A consultation asking views of employers on the proposed levy is under way and makes it clear the government is considering scrapping the existing system, the BSRIA statement added. Quality apprenticeships are essential for our industry to help strengthen the economy, deliver the skills that employers need and give millions more hardworking people financial security and a brighter future, said BSRIA chief executive, Julia Evans. We hope our members dont have to pay such levies twice over, and that the future of the CITB is safe especially as the training it provides is dedicated to the construction industry. Evans said these were worrying times because of the potential impact on small and medium-size enterprises (SMEs). Nick Mead, CIBSE President and engineering director at Imtech, said: Our future skills set relies on apprentices, and the training of young people. We must ensure that the provision for offering apprenticeships is not jeopardised by this levy. CIBSE will be responding to the consultation, and making clear that we feel the future of our workforce relies on the continued availability of suitable apprentice schemes. climate change. The green economy is an emerging market in its own right, brimming with opportunity, he said. Yet, with the roll-back of renewables policies and the mixed messages on energy efficiency, the government risks sending a worrying signal to businesses. Former Treasury chief economist Lord Stern piled on the pressure in an interview he gave for television. The author of the seminal 2006 report on the economics of climate change said it was potty to put a carbon tax on renewables, which was the effect of the Chancellors decision to remove their exemption from the Climate Change Levy. Tories aim for 1 million homes by 2020 The Conservative government has declared it wants one million new homes built in the UK by 2020, to tackle the countrys housing crisis. Housing minister Brandon Lewis announced the target, which is slightly higher than the 974,000 homes that the National Housing Federation estimated needed to be built between 2011 and 2014; figures from 326 councils show that only 457,490 actually were. The federation claims about 245,000 new homes are needed each year in England. Its director of policy and external affairs, Gill Payne, said: In some areas, there is a drastic shortage, causing prices to soar, and putting homes out of reach of many people. We havent built enough homes in this country for decades. Several factors have been blamed for this, including: slow planning procedures, a shortage of skilled labour, and a big drop in the number of councils building new homes. Housing charity Shelters chief executive, Campbell Robb, said of the governments announcement: We are past the time for another grand statement of ambition. We need to see investment. Feed-In Tariffs facing axe in 2016 unit of electricity for any extra energy they deliver to the grid. FIT payments on domestic solar panels could fall by 192 a year for the typical household while payments for some other technologies could fall by more than 80% if the proposed cuts to tariff levels are confirmed after the consultation. DECC said the costs of some renewable technologies had fallen by more than 50%, prompting a surge in installations that had created costs exceeding our expectations. The Solar Trade Association is calling the plans alarming and more likely to cause another rush in installations that would push up costs to taxpayers. However, the manufacturers body, EEF, said the government was right to be getting to grips with the cost of the scheme. Hywel Davies, CIBSE technical director, expressed concern at the speed of the proposed cuts. ELENA ELISSEEVA / SHUTTERSTOCK Subsidies for renewables could end by January The Feed-In Tariff (FIT) scheme, which offers financial subsidies to small-scale renewables, could be closed to new applicants next January. The level of payments received by those already in the scheme could also be slashed by more than 80%. The Department of Energy& Climate Change (DECC) is carrying out a consultation into ways of controlling the costs of the scheme, which could pave the way for its closure in 2019. According to the consultation documents, if costs cannot be limited to 100m by 2018/19, the only alternative would be to end generation tariffs for new applicants as soon as legislatively possible, which we expect to be January 2016. Currently, households receive a set generation tariff for the electricity they generate and use, plus an export tariff of 4.77p per New Tariff bands Current rate (Oct-Dec New proposed rate 2015) p/kWh from Jan 2016 p/kWh 0-10kW 11.30-12.47 1.63 10-50kW 11.30 3.69 50-250kW 9.21-9.63 2.64 250kW-1MW 5.94 2.28 1MW-5MW 5.94 1.03 Stand-alone 4.28 1.03 He said: Rapid withdrawal of the feed in tariff could be very damaging to many of the small businesses installing PV systems. It also jeopardises the taxpayer funding already invested in the sector. IMAGE BY ASSOCIATION FOR DECENTRALISED ENERGY ON FLICKR DECC cancels key part of Feed-In Tariffs Accreditation for CIBSE Certification The Department of Energy & Climate Change (DECC) has defied vociferous opposition and removed a key part of the Feed-In Tariff (FIT) renewable energy subsidy scheme. After a four-week consultation that generated nearly 2,400 responses the vast majority against the proposal DECC confirmed the closure of the system of preaccrediting applications before they receive planning permission. This means developers cannot calculate the likely payments their installation will receive before starting work. A DECC statement said this would provide better control over spending and ensure bill-payers get the best possible deal as we continue to move to a low carbon economy. Energy and Climate Change Secretary, Amber Rudd (pictured), said her priorities were clear: We need to keep bills as low as possible for hardworking families and businesses, while reducing our emissions in the most cost-effective way. As costs continue to fall, it becomes easier for parts of the renewables industry to survive without subsidies, which is why were taking action to protect consumers, while also protecting existing investment. The Solar Trade Association attacked the The United Kingdom Accreditation Service (UKAS) has granted CIBSE Certification accreditation to certify energy management systems against ISO 50001. This means the company can now certify organisations aiming to use ISO 50001 to meet the requirements of the Energy Savings Opportunity Scheme (ESOS). Released in 2011, ISO 50001 brings together several countries local codes to provide a single standard for implementing energy management systems. The ability to certify energy management systems is a major development in CIBSEs mission to improve energy performance in the built environment. Andrew Geens, head of CIBSE Certification, said: An increasing number of companies are coming to recognise ISO 50001 as a method of making cost savings as strained budgets require them to do more with less. Amber Rudd government for ignoring the results of its own consultation and public opinion. Just 16 out of 2,372 respondents supported the proposal to do away with pre-accreditation, yet the government has gone ahead and done it anyway, said head of external affairs, Leonie Greene. This removal of pre-accreditation and the devastating cuts to tariffs are going against the tide of public opinion, with 80% of people supporting solar power more than any other technology.