home energy conservation act (heca) - hull city … energy conservation act... · hull city council...

Hull City Council Home Energy Conservation Act further report (2013)

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1. Introduction and purpose of the report The Home Energy Conservation Act 1995 (HECA) recognises that local authorities are in a position to significantly improve energy efficiency in residential accommodation in their area. The Department for Energy and Climate Change requires all English local authorities (as a HECA requirement) to report on measures they propose to take to achieve this aim, publish this as a “further report” by 31st March 2013 and, subsequently, publish progress reports every two years. We consider improving energy efficiency to be crucial in Hull not only to reduce the impact of climate change through CO2 emissions but also, crucially, to reduce the impact of fuel poverty and reduce the negative health impacts of cold homes. This report sets out the actions we are taking with our partners to improve energy efficiency in residential

accommodation in Hull. These activities contribute to addressing the issues identified in local and national strategies.

o The Hull Affordable Warmth Strategy - The affordable warmth strategy 2010 - 2016 provides background information on affordable warmth and related issues such as income levels and health conditions. It sets out the four key objectives to eradicate fuel poverty in the city.

o The Hull Climate Change Strategy – this responds to the Climate Change Act which establishes, in law, national targets for reducing greenhouse gas emissions.

o The UK Carbon Plan1 sets targets for reducing carbon emissions. We will publish a progress report every two years.

2. Where are we now?

This section summarises energy use, CO2 emissions, and fuel poverty and health indicators relating to cold related illnesses in Hull.

1 https://www.gov.uk/government/publications/the-carbon-plan-

reducing-greenhouse-gas-emissions--2

Some key facts about homes and energy efficiency in Hull o There are 112,596 households in Hull and 116,589 homes. o Around 70% of homes are in the private sector with 20% of

Hull households renting from private landlords. o Around 30% of homes in Hull form social rented housing and

are provided by Hull City Council and housing associations. (Census 11) .

o An estimated 31% of Hull households have an income of £15,000 or less compared to the mean average income for the city of £25,900 ( Experian data for Hull 2011) .The national gross household income of the middle fifth of households in 2010/11 (ONS) was £29,100.

o 3.9% of households (4431) do not have central heating in Hull compared to 2.7% in England as a whole. (Census 2011)

o The average estimated SAP rating for private homes in Hull is 54 and 68 for council homes – this is a measure of energy efficiency on a scale from 1 – 100 based on SAP 2009 methodology; the higher the rating the more energy efficient the home.

o An estimated 2376 homes in the private rented sector have category one Housing, Health and Safety Hazards that relate to cold.


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Hull's Carbon Emissions by Sector

2010

47%

33%

20%

Industrial and Commercial

Domestic

Transport

Domestic Emissions in Hull 2005-

2010

450

470

490

510

530

550

570

590

610

2005 2006 2007 2008 2009 2010

Years

100

0 t

onn

nes

CO

2

Carbon Emissions

Energy use and CO2 emissions Domestic energy consumption accounted for 33% of CO2

emissions in Hull in 2010 as shown in the pie chart below2

Currently domestic emissions are equivalent to 2 tonnes per resident3 but it has fallen by 0.3 tonnes since the 2005 baseline.

Fuel poverty Households have traditionally been considered to be at risk of fuel poverty if they spend more than 10% of household

2 Source : Local and Regional CO2 Emissions Estimates for 2005-2010

produced by AEA August 12 3 Source : Local and Regional CO2 Emissions Estimates for 2005-2010

produced by AEA August 12

income on keeping their home at a satisfactory temperature. The Government, subject to the results of consultation carried out in autumn 2012, proposes under the new measurement approach that a household is fuel poor if it has low income and has high energy costs relative to all other households. Variations in the cost of fuel, energy efficiency of homes and household income all influence whether a household is likely to be fuel poor. Estimates of numbers of households in fuel poverty vary dependent on changes in the cost of fuel and household income but: o Figures published by the Department of Energy and

Climate Change for 20104 estimate that 19,017 or 17.6% households in Hull were in fuel poverty in 2010 compared to 18.6% of households in Yorkshire and Humber. This is an improvement on the 2009 figure for Hull of 21.4% households being in fuel poverty. Estimates by National Energy Action at a different time within 2009 indicated a higher level of people in fuel poverty in the city as any changes in fuel cost and income affects calculations.

o Based on 17.6 % households being in fuel poverty in 2010 and the revised estimate of household numbers in Hull from the 2011 Census5 an estimated 19,816 households are likely now to be in fuel poverty.

o Around 35,000 households in Hull are likely to have an income of £15,000 or less.6

o 35,390 people were in receipt of working age benefits at December 2012 and 16,390 people in receipt of Pension Credit at February 2012 7

4 https://www.gov.uk/government/statistical-data-sets/fuel-poverty-2010-

sub-regional-data 5 112,596 households in Hull: Census 2011.

6 Based on Household income 2011 estimate based on Experian data and

Census 2011 household figures 7 Sources : Nomis and DWP


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Health Homes which are not energy efficient affect the health of individuals, particularly the young, older people, those with long term illnesses and disabled people. o The Excess Winter Deaths Index (EWD Index) is the

number of excess winter deaths expressed as a ratio of the expected deaths based on the non-winter deaths. The figure for Hull is 22.7 compared to an England average of 18.7.

o Over 14,300 people were admitted to hospital during the period 2007-2010 because of respiratory illnesses. The Joint Strategic Needs Assessment indicates a clear correlation between between hospital admissions as a result of chronic obstructive pulmonary disease and deprivation.

o The cost to Hull hospitals of excess winter admissions to hospital as a result of respiratory illnesses was £1 million in 2010/11. 8

3. What are our local energy efficiency ambitions and

targets? Our ambitions and targets support the national Energy Efficiency Strategy which provides national targets The Government’s target is to reduce the UK’s greenhouse gas emissions by 80% by the year 2050. It will do this by: o Reducing greenhouse gases and other emissions from

transport o Helping households to cut their energy bills ~ this will be

mainly through Green Deal, Smart Meters and ECO

8 Data Bites issue 13: twin peaks: winter respiratory - YHPHO

o Taking international action to mitigate climate change ~ through encouragement, negotiation and international funding mechanisms

o Reducing demand for energy from industry, businesses and the public sector ~ through initiatives such as CRC Energy Efficiency Scheme, Enhanced Capital Allowance and Climate Change Levy.

o Increasing the use of low carbon technologies. o Using evidence and analysis to inform the development of

energy and climate change policies. o Improving the energy efficiency of buildings and using

Planning tools to protect the environment Local targets Our developing City Plan for Hull led by Hull City Council and the City Leadership Board will co-ordinate activity across all partners. It links directly to the delivery of our HECA ambitions to reducing CO2 emissions, improving domestic energy efficiency and reducing fuel poverty. It sets out to: o Put Hull on the map as a leading Energy City by focusing

on renewable energy production and energy conservation o Reduce financial pressure for residents o Safeguard the most vulnerable Our Climate Change Strategy covering the period 2010 to 2020 sets targets to: o Reduce carbon dioxide emissions by 34 per cent by 2020

which means achieving a reduction of 2 per cent per year o Understand the risks presented to the city by future climate

change and produce an adaptation strategy o Use natural resources more sustainably recognising that

our current lifestyle uses 1.7 planets worth of resources


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Hull City Council signed a Climate Local Commitment in January 2013 and will publish a Climate Local Action Plan in summer 2013 to further progress delivery of our Climate Change Strategy. Our Housing and Neighbourhood Renewal Strategy focuses on improving quality of housing in all tenures. It also adopts an approach of focusing on priority areas for regeneration and renewal. Work within these areas includes energy efficiency measures, including the provision of new energy efficient homes, replacing some of the poorest quality stock in the city. Our Affordable Warmth Strategy provides background information on affordable warmth and related issues such as income levels and health conditions. It sets out the four key objectives to eradicate fuel poverty in the city and we will produce annual action plans to deliver them The four key objectives are: o Ensure effective partnership working to alleviate fuel

poverty in Hull. o Increase household income of fuel poor households and

provide financial advice. o Assist fuel poor households to decrease their domestic

fuel costs – provide energy efficiency advice. o Improve the energy efficiency of homes. 4. How will we get there? The Housing and Neighbourhood Renewal Delivery Plan covers the period 2011-2016 and is based on a targeted approach to neighbourhood renewal around the following five themes: o Increasing housing options and meeting housing need o Improving access to housing for all

o Improving the quality of housing and investing in the existing stock

o Improving neighbourhood quality o Neighbourhood renewal and growth Our approach to improving home energy efficiency and reducing the number of fuel poor is being addressed at both a city wide level and a targeted approach in the six priority renewal areas as part of wider regeneration activities. Our priority renewal areas are: o Newington and St Andrew’s in the west of the city o Ings, Preston Road and New Bridge Road in the east of the

city o North Bransholme and Orchard Park in the north of the city Selection of these areas as priorities followed an assessment of need in these neighbourhoods as well as consideration of the impact which investment in them would have on the whole of the city. The renewal programme is being rolled out as resources become available and energy efficiency measures will be focused on Preston Road, North Bransholme and Orchard Park due to location of non traditional homes and qualification for Eco funding. Considerable work has been completed through Community Energy Saving Programme (CESP) within the Newington and St Andrew’s Area.


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5. Action Plan The trends outlined illustrate the challenge to Hull in increasing energy efficiency in our homes. The progress and action plan set out below details how we will begin to address this challenge through improving data, accessing funding and working with partners to provide value for money and facilitate delivery of energy efficiency projects.

Objective Action Responsible Completion date

Progress update Future opportunities

A. Local energy efficiency ambitions and priorities 1. To deliver

Climate Local objectives

Publish delivery plan Hull City Council Summer 2013 Climate Local Commitment made January 2013

2. To continue to improve quality and scope of data purchased and held by Hull to support delivery of energy efficiency programmes (EPCs)

Obtain 750 EPCs to support Green Deal assessments Continue to obtain EPCs for any council property when it becomes vacant Continue to compile and analyse data from DECC and energy efficiency projects

Warm Zone Partnership

2014/15 450 EPCs in priority neighbourhoods completed by Hull Warm Zone. 10,000 EPCs lodged with Landmark (national register of EPCs) for Hull boundary area, EPC analysis will inform intervention development Desk top pilot to assess Green Deal implications by Hull & East Riding of Yorkshire Councils with National Energy Action


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B. Social housing 1. Improve energy

efficiency within the HRA stock

SWIP (Solid Wall Insulation Project) to provide external and internal insulation and associated energy efficiency works to 151 non traditional homes to provide at least a 30 year lifespan Continued roll out of boiler replacement programme to upgrade to A rated with a £3m per annum investment to 2015 and then maintain the recycle replacement programme. Ongoing loft, cavity wall insulation and heating programme to pick up any empty properties where

Housing Investment Team

2015 Ongoing Ongoing

SAP rating for Council housing as whole 68 based on SAP 2009 rating for 2011/12 Pilot programme of 105 properties in 2012/13 All stock double glazed and 97% of low rise stock have central heating We responded to the increased supply of A rated boilers in the past 2-3 years by upgrading just under 10% of the Council housing stock with them 9,600 loft and 5,800 cavity wall insulations delivered between 2008 and 2010

To maximise use of ECO funding to support continuation of SWIP for non traditional stock across the city


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previous tenant refused work

2. Support other social housing providers to increase energy efficiency of their stock

Hull City Council and local housing associations have secured funding to deliver 1364 new build or refurbished social rented homes over the period 2011/12 to 2015/16. This includes over 200 extra care units through a Department of Health Private Finance Initiative, new energy efficient council homes and refurbishment work to around 265 empty private sector homes to then be let as social rented housing Over the next two years partner housing associations will deliver :

Housing Strategy and Renewal and registered providers

Summer 2013 In 2011/12, Hull City Council with Pickering and Ferens Homes completed 37 new homes and Chevin Housing Group 65 new homes which met Sustainable Homes Code Level 4. Reaching Code Level 4 results in a 45% reduction of carbon emissions compared to standard housing construction to current Building Regulations Riverside Housing Group built 15 new homes to Sustainable Homes Code Level 3 and Places for People provided 31 new homes to Code Level 3 in 2011/12


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Riverside Housing Group 28 new homes to Sustainable Homes Code Level 3 Places for People an additional 48 homes to Code Level 3 between 2012/13 and 2013/14 Sanctuary Housing Association to build around 50 new homes to Code level 3 in 2013/14 to 2014/15 Chevin Housing Group will provide 30 new homes to Code Level 3 in 2013/14 and a further 26 in 2014/15

Hull City Council supported Riverside Housing Group in a CESP programme to provide external wall insulation to 150 homes in North Bransholme in partnership with energy provider E.On and SIG Energy Management. This added to the 162 homes to be provided with external wall cladding as part of the stock transfer agreement to Riverside from Hull City Council


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C. Private Housing 1 Access funding

to provide measures for low income households and areas through ECO etc

Submit proposals to future funding schemes to improve & increase affordable warmth Roll out a phased ECO programme focused on Preston Rd , Orchard Park and Bransholme

Warm Zone & HCC Private Housing Team Warm Zone partnership and Green Deal provider

2013/14 to 2015/16 2014 – 2017

Targeted programme to provide external wall energy insulation through Community Energy Savings Programme (CESP) in 2012 at Newington and St Andrew’s–with 97% take up and 195 homes insulated 18 new boilers and 10 boilers repaired utilising funding from the Department of Health Warm Homes, Healthy People funding in 2012/13 Since the last HECA report we have installed 5,462 cavity wall insulations and 10,673 loft insulations to homes in the private and housing association


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sectors. We have helped over 717 people with over £200,000 grant funding for heating and insulation since March 2010.

2. Continue to support effective referral networks between frontline agencies

Deliver Hotspot training to partners

Warm Zone partnership

Ongoing 491 people in 56 agencies received Hotspot training to ensure that co-ordinated affordable warmth, and associated referrals, are received by the appropriate agencies

Explore opportunities for including in public health training

3. Removal of category one hazards due to extreme cold

160 category one hazards due to extreme cold removed per year

HCC Private Housing Team

Ongoing 693 Category one hazards due to extreme cold removed as a result of enforcement and enabling activity by the Council’s Private Housing Team between April 2009 and January 2012


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D. Activities across all tenures 1. Promote energy

efficiency measures through Green Deal and Eco

Procure a Green Deal partner to deliver structural improvement, where appropriate, and solid wall insulation to 3,250 council properties alongside improvement to private sector properties either fully funded through ECO / Green Deal funding or a loan product Year 1 2014/15 Green Deal Up to 100 council and privately owned homes in the Preston Road area Green Deal Year 2 2014-2015 550 council owned homes in Preston Rd and Orchard Park

Hull City Council Green Deal Partner and Hull Warm Zone partnership (green deal assessments, EPCs and customer liaison)

Winter 2013/14 2014 -18

Identify and promote domestic renewable energy opportunities and maximise opportunities from the development of the renewables industry within the Humber and through Green Port Hull


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Green Deal Year 3 2015/16 560 council owned homes in Preston Road, Orchard Park and Bransholme Green Deal Year 4 2016/17 652 council homes in Preston Rd , Orchard Park, Bransholme Green Deal Year 5 2017/18 546 Council homes at Orchard Park and Bransholme

2. Encourage take up of renewable energy options

Increase take up of feed in tariff scheme where these are financially viable

Hull City Council and partners

Through out period

136 domestic PV installations made in Council homes and 729 in the private sector

Explore option to provide summer cooling schemes and reduce impact on health

3 Increase number of zero carbon homes and delivery of minimum

Identify ways to increase viability in Hull and support pilot projects

Hull City Council and partners

Through out period

The two area action plans for the Holderness Road Corridor and the Newington and St Andrews areas contain


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energy efficiency standard for new homes set out in Energy Act once enacted

adopted policies that apply a minimum code of level 3, working towards zero carbon in parts of east and west Hull. Code level 3 is the anticipated current standard based on a city wide viability assessment

4. Increase household income of fuel poor households

Provide training through Hotspot project to partners to ensure vulnerable fuel poor households are identified and referred on for assistance Deliver energy best deal training so that fuel poor households can make informed decisions Collective energy switch scheme to enable residents to access cheapest energy supplier

Warm Zone partnership Hull City Council

Through out period Spring 13

The City Council is working with 12 other local authorities in the delivery of a community energy buying project for residents. We held our first auctions for residents in December


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2012 and we plan to hold at least two further auctions during 2013. We had over 3,000 residents register to switch in December. We will use the experience of residents who have switched and saved in future promotion campaigns. This is an important part of our work to enable residents to obtain the best value for money from their energy tariffs.

5. Roll out of smart installation

Work with energy companies to enable the smooth delivery of smart meters

Energy companies Warm Zone

Smart meters will be rolled out nationally from 2014 to 2019


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E. Low carbon economy 1. Ensure that

approach to Green Deal delivery includes small and medium enterprises (SMEs) and local businesses in supply chain.

Include as key performance indicator in procurement of Green Deal Partner

Housing Strategy and Renewal

Procurement of Green Deal partner 2012 and ongoing activity to include SMEs and local businesses in supply chain


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5. National and local partners We will procure a Green Deal partner who will be the identified energy provider and either directly provide or sub contract to a construction provider. Hull City Council working through its Warm Zone partnership will publicise Green Deal and Eco opportunities to Hull residents. o We believe that the value of our plans could be worth

£2.4 million to local businesses based on the interim memorandum of understanding with npower to provide solid wall insulation and associated works to the priority areas.

o The level of Energy Company Obligation (ECO) required to meet our plans will be determined as part of the procurement process of our Green Deal partner. About Hull Warm Zone

Our Hull Warm Zone Partnership Hull Warm Zone is a not-for-profit partnership between Hull City Council, NHS Hull, npower and Warm Zones cic. Hull Warm Zone offers free, independent and impartial advice to householders and provides access to grants, advice and support to make homes warmer and cheaper to heat. Hull Warm Zone was one of five pilots schemes launched in 2001 by Warm Zones CIC which is a subsidiary of the fuel poverty charity, National Energy Action.

Hull Warm Zone has established working relationships with numerous local agencies such as: Age UK Hull, The

Pension Service, Humberside Fire & Rescue, Hull Home from Hospital Service plus many more. These partnerships rely on a cross referral system (Hotspots) between agencies to help Hull residents access a wider range of help and support.

Hull Warm Zone received a National Home Improvement Council Award for Innovative Insulation two years in a row alongside a Hull City Council Changing Lives Award.

As Programme Manager, Hull Warm Zone was responsible for co-ordinating energy efficiency improvements which were funded by npower through CERT and CESP contracts. The schemes operated between 2008-2012 and were valued at over £10 million

More information about Hull Warm Zone and other Warm Zones elsewhere in the country is found at http://www.warmzones.co.uk/


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Signature

Name Laura Carr

Position City Neighbourhoods and Housing Manager Date o Submission of next progress report : 31st March

2015

For further information, please contact: Strategy and Renewal Team Neighbourhoods and Housing Hull City Services Kingston House Bond Street Hull HU1 3ER 01482 300300 [email protected]


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Glossary

Term Definition Category one hazard

Housing Health & Safety Rating System evaluates potential risk to health and safety in dwellings. Hazards are scored and grouped into Category and 2. Category 1 hazards include excess cold and dampness/mould

CESP The Community Energy Saving Programme (CESP) required gas and electricity suppliers and electricity generators to deliver energy saving measures to domestic consumers in specific low income areas of Great Britain. CESP was designed to promote a 'whole house' approach and to treat as many properties as possible in defined areas. The programme ran to December 2012 and is replaced by ECO and Green Deal

Code for Sustainable Homes

The code for sustainable homes is the

national standard for the sustainable design

and construction of new homes. It aims to

reduce carbon emissions and promote

higher standards of sustainable design

above the current minimum standards set

out by the building regulations

Energy Company Obligation (ECO)

ECO creates a legal obligation on certain

energy suppliers to improve the energy

efficiency of domestic households through

the establishment of three targets:

Carbon Emission Reduction Target:

addresses hard to treat homes and,

measures that cannot be fully funded

through the Green Deal as they do not meet

the ‘golden rule’. Solid wall insulation and

hard-to-treat cavity wall insulation are the

main measures under this target. Other

insulation measures and connections to

district heating systems can also be

included as part of a package that includes

the main measures

Carbon Savings Community Target Focuses

on the provision of insulation measures and

connections to district heating systems to

domestic energy users that live within an

area of low income. This target has a sub-

target, which states that 15% of each

supplier’s Carbon Savings Community

Obligation must be achieved by promoting


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measures to domestic energy users living in

rural areas which do not apply to Hull.

Home Heating Cost Reduction Target Requires energy suppliers to provide measures which improve the ability of low income and vulnerable households to affordably heat their homes via the promotion of heat qualifying actions which are installations of measures that will result in cost savings; or the replacement or repair of a qualifying boiler.

Energy Efficiency

The use of as little energy as possible to

achieve heat and power. Minimising wasted

energy and money using measures, which

reduce the amount of electricity and/or gas,

required to heat and power a home.

Eco homes Eco home is the domestic version of a BREEAM assessment which sets the standard for best practice in sustainable building design, construction and operation and measures of a building's environmental performance. Eco homes have now been incorporated into the Code for Sustainable Homes.

Energy switch Collective purchase of energy by a large number of local residents which enables negotiation of energy suppliers to provide the best price as a result of mass

purchasing. The Council undertakes the negotiation with energy providers and provides advice and assistance to residents.

Fuel poverty Where a combination of poor housing conditions and low income mean that the household cannot afford sufficient warmth for health and comfort. The widely accepted definition of fuel poverty is where a household needs to spend 10% or more of income to meet fuel costs. However, a revised definition that compares cost relative to other households in the area is proposed.

Green Deal Energy-saving improvements to homes and businesses without having to pay all the costs up front through the Green Deal. Energy-saving improvements include insulation e.g. loft or cavity wall insulation, heating, draught-proofing, double glazing, renewable energy technologies e.g. solar panels or wind turbines.

Hot spot scheme

The scheme is a partnership including Hull City Council, Humberside Fire and Rescue, the Pension Service, NHS Hull, Age UK, and Hull Warm Zone. Hotspots arranges for residents to be referred to the Hull Warm Zone scheme through which they can receive grants towards central heating, cavity wall and loft insulation, as well as


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providing a range of related support such as energy efficiency tips and benefits advice.

SAP The Government's standard for home energy rating. SAP ratings provide an indicator of the efficiency of energy use for space and water heating in new and existing dwellings. SAP 2009 methodology is based on an assessment of SAP ratings expressed on a scale of 1 (poor) to 100 (excellent). SAP assessment methodology is subject to change

Smart meters and real time display units

Energy suppliers will fit smart meters to homes by 2019. Smart meters collect information about energy use in the home electronically without the need for the occupier or the energy supplier to take meter readings. They have a device which allows data to be read remotely and displayed on a device inside the home or transmitted securely externally. Smart meters can also receive information remotely from your energy supplier, such as updates on tariff information. An in-home display (IHD) unit will also be provided along with smart meters as part of the programme which provides up-to-date real-time information on how much gas and electricity used. The display will also present historical information on consumption so

that comparisons can be made with current and past use.


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