What does the Green Deal
mean for you?
21st Nov 2012
Russell Smith
www.parityprojects.com
Winners of Building Magazine's 2007
Award for Sustainable Refurbishment
www.parityprojects.com
Headlines
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Deeply assessed over 700 private homes
Stock assessed 250,000 private homes
Stock assessed 325,000 RSL homes across the UK
Led on independent assessments of B&Q PAYS pilot
Lead on DECC ‘Low Carbon Communities’ loan scheme in
Hampshire
Led EST training trial on Solid Wall Insulation for Installers
In team for ‘Camden Retrofit’ and Hyde’s ‘Court Farm Rd’ (2008)
18 TSB Retrofit for the Future houses
Trained over 400 individuals and 100 SMEs
Affinity Sutton – 153 house monitoring programme
Green Deal Task Groups, GCB
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What is the Green Deal?
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Green Deal:
Meeting the Golden Rule
Reduce overall outgoing
= Golden Rule applies
Repayment
Energy Bill
Reduction
Owner 1 before
work
Owner 1 after
work
5
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How will it work?
The DECC “customer journey”…
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Dealing with Large Upfront Costs
What will the Green Deal pay for?
Lifestyle ‘safety net’
Assessment Costs
Loan
repayment
Administration Costs
7% APR
Energy Bill
Reduction
Owner 1 before
work
Owner 1 after
work
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Energy Company Obligation
• The only form of subsidy for the Green Deal currently
proposed.
• Due to replace CERT and CESP in 2012, also funded
via energy bills.
• Focus on fuel poverty (‘Affordable Warmth) and hardto-treat homes
(esp. solid wall).
• Size of overall pot and relative focus on HtT vs. FP as
yet unknown
• Access to funding for all via a “brokerage” system
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GD Providers
• Could be retailers (B&Q, M&S, Tesco), energy
companies, contractors, local authorities, social
landlords
• Will play the central role in the GD, with
responsibilities including:
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Marketing the Green Deal
Delivering works (via internal/outsourced contractors)
Customer service
Organising finance (and CCA)
Liaising with energy companies
Etc…
• Exact nature of the role still unclear and may be
flexible.
• Code of conduct to be adhered to.
• Financial and administrative burdens likely to be
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quite significant.
What can be achieved?
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Victorian, Built 1870
‘Conventional’ Semi-Detached
Solid Walled
No south facing roofs
No insulation
6 different window types
High Ground Levels
Damp
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Renovation Required
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Structural repairs
Re-wiring
Windows
Damp-proofing
Extension
Other Measures
Heating
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Electrical
• Appliances
Insulation – x10
Windows
Underfloor Heating
Biomass / Condensing
Solar Thermal
• Bulbs
Water
• Rainwater Harvesting
• Appliances
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Key Outcomes
• Eco measures are 15% of total refurbishment cost
(£85,000 total, £12,750 ‘eco’)
• Economic pay-back is 7-8 years on average.
• Energy reduction of 72% per m2
• 55% reduction from draughtproofing and insulation
• Costs heavily associated with logistics and ease of install
• BUT – We’ve got to do the lot!
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The Basics
Cooking, 3%
Consumer Electronics,
Wet Appliances, 2%
Lighting, 3%
Miscellaneous, 2%
3%
Cold Appliances, 3%
Hot Water, 24%
Space Heating, 60%
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The Building
Physics
The Lifestyle of
Users
Weather
Cooking, 3%
Consumer Electronics,
Wet Appliances, 2%
Lighting, 3%
Miscellaneous, 2%
3%
Cold Appliances, 3%
Hot Water, 24%
Space Heating, 60%
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Parity - principles
Every home is unique
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Minimising Spend
Motivating Concurrent Working
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Scaling Up –
Identifying the
Best Approach
Ability to
Fund
Changes
Building
Physics
Energy
Efficiency
Strategy
Competency
Ability to
Implement
Changes
Lifestyle
and Habits
of
Residents
Logisitics
WholeStreets
Houseby-House
Why do we always start at the beginning?
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Motivated
Client
Who
Influences
Change?
Major
Interventions
Enforcers
Building
Tradespeople
Successful
Eco
Renovation
Merchants
• Development
• Extensions
• Insurance Work
Building
Control
DCLG
Materials
and
Systems
Designers
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Independent
Energy Audit
Biased
Specification
Finance
New Layout Design
Planning
Training /
Competency
General
Contractor
Process
Management
Doing
Specialist
Installer
Measuring
Work Quality
Self Certification
House Performance
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The barriers to progress?
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Lack of awareness of options
Independent advice
Lack of qualified people
Trust in the supply chain
Upfront Cash
Long Payback Measures
Not yet ‘normal’
Confusing standards
No value added to property
Householder apathy
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Dealing with Large Upfront Costs
What will the Green Deal pay for?
Lifestyle ‘safety net’
Assessment Costs
Loan
repayment
Administration Costs
7% APR
Energy Bill
Reduction
Owner 1 before
work
Owner 1 after
work
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www.parityprojects.com
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Green Deal Conduit for Smaller
Companies – Coop Model
Customers
Loan Provider
Green Deal Provider
GD SME Conduit
Assessors
www.greendealconduit.org.uk
Installers
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Green Deal Conduit – Coop Model
Customers
Loan Provider
Green Deal Provider
GD SME Conduit
Assessors
www.greendealconduit.org.uk
Installers
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Understanding Sustainable Refurbishment – Lvl 2
Unit 1 - Understand the need for energy efficient buildings
• Understand the environmental drivers for energy efficient
buildings.
• Understand drivers for property owners
Unit 2 - Understand the energy relationship between building fabric,
building systems and occupancy
• Understand what influences the overall energy performance of
a building
• Understand the impact of energy efficiency changes on a
building’s performance.
Unit 3 - Understand roles trades and professions in improving energy
performance of a building
• Understand how to provide work activities to the required
standard.
• Understand the appropriate sequencing of relevant trades and
professions when improving energy performance of a building.
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Lack of Awareness
• Homeowners
• Reports
• Bottom-up support from industry
• Industry
• Joined up teams
• Training
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Summary: Key Issues
• The Green Deal is not ‘the plan’ is it a cog
that needs many other cogs
• Addressing people – Householders and
Industry together
• SMEs are critical to the success of the
Green Deal
• Property value needs to be affected to
make the maths work
Parity Projects
0208 874 6433
@parityprojects
info@parityprojects.com
www.parityprojects.com
Contacts
W: www.greendealconduit.org.uk
E: info@greendealconduit.org.uk
T: 0208 874 6433
Parity Projects
0208 874 6433
@parityprojects
info@parityprojects.com
www.parityprojects.com