Clearview Midlands March 2014 - Issue 148 | Page 78
energyefficiency
‘Under delivering’ Green Deal
makes energy efficiency a national
infrastructure priority
The UK Green Building Council (UK-GBC) is calling for energy
efficiency to be placed top of Britain’s infrastructure policy.
The move comes one year after the government launched its flagship
energy policy the Green Deal.
But UK-GBC claims that the scheme has failed to live up the rhetoric
delivered by the Department of Energy and Climate Change, with
only 458 Green Deal plans ‘live’ by December 2013. In addition, the
government pushed through cuts to its sister scheme the Energy Company
Obligation (ECO) as part of its review of ‘green levies’.
The result has been a massive decline in energy efficiency measures
installed across the UK. Paul King, chief executive of the UK-GBC,
explained why energy efficiency is so important.
“Improving the energy efficiency of our cold and draughty homes is the
only way permanently to cut households’ spiralling energy bills and will
be a major driver of economic growth. Government must make energy
efficiency a top national infrastructure priority, as important as decisions on
HS2 or aviation expansion,” he said.
“While the Green Deal is the cornerstone of the UK’s retrofit policy, it
has so far massively under delivered. Government has to step in to create
incentives that encourage homes into taking action and be prepared to
prioritise capital spending on energy efficiency. Underwriting the Green
Deal – as Government has done with Help to Buy – would provide a huge
shot in the arm for the retrofit industry.”
UK-GBC recommends making Green Deal finance more attractive to
boost uptake of the scheme. In a report published on 21 January entitled,
‘Green Deal Finance: Examining the Green Deal interest rate as a barrier
to take-up,’ the UK-GBC states that, although not the overriding issue that
deters consumers from signing up to the scheme, lower interest rates than
the current 8-10% could boost take-up.
In addition, the report recommends a relaxing of the ‘Golden Rule’ which
would allow households to choose to repay loans faster, reducing the overall
amount repaid. The paper also believes that opening up alternative sources
for finance could help further stimulate the energy efficiency market under
the Green Deal scheme. For example, social investors or community
funding could help offer finance at lower interest rates using EIS tax relief.
This could reduce their cost of capital to 4-5%.
One In Four British Small Businesses Says
Sustainability Is A Top Priority For 2014
A quarter (25 per cent) of Britain’s Small
and Medium Sized Enterprises (SMEs)
say sustainability is one of their top three
priorities for 2014, reflecting a renewed
confidence and a desire to focus on
developing their businesses’ in the New Year,
according to new research from Lloyds Bank
Commercial Banking.
But the findings show that many businesses
are still focused on traditional ‘green’ activities,
including energy saving and recycling rather
than the broader range of sustainable business
practices relating, for example, to supply
chains and sourcing. It also highlights the
fact that there are still businesses who do not
believe there are any benefits to be gained
from implementing such practices.
Stephen Pegge, External Relations Director,
Lloyds Banking Group, said: “Businesses
clearly see the benefits of sustainability, and
they are carrying out their environmental
responsibilities through recycling and being
energy efficient.
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MAR 2014
“But for SMEs, sustainability also means
interacting with charities, social enterprises
and the community in which they operate;
working responsibly within their supply
chain and engaging with the next generation,
through, for example, apprenticeship
schemes.
“Some sectors are really leading the way and
other industries across the UK economy can
follow their example and help underpin the
growth we are now seeing with practices that
will give us all a sustainable future.”
Looking forward, a third (33 per cent)
expect to increase their investment in
sustainable business practices over the next five
years, while two fifths businesses (42 per cent)
expect their investment to remain flat. Only a
small minority (two per cent) think they will