‘Too late’ for UK to meet renewable heat targets, warns Energy Saving Trust

It could already be “too late” for the UK to meet its renewable heat target by 2020, the Energy Saving Trust has warned.

Speaking at a conference in London the Trust’s chief executive Philip Sellwood said that, although the energy efficiency of homes is improving, “significant policy gaps” mean it could already be too late for the UK to meet its target of 12 per cent of heat demand from renewable sources by 2020.

“We are obviously pleased that despite the considerable cuts to the feed in tariff, renewable heat incentive, and other initiatives, they have survived,” he said. “But it could already be too late for the UK to meet its target of 12 per cent of heat demand from renewable sources by 2020.”

Policy gaps

He pointed to reports by the Department of Energy and Climate Change and the Climate Change Committee, which both suggest there are “significant and growing policy gaps” which mean the UK may not achieve its fourth carbon budget for the mid-2020s.

The government has set carbon budgets, or caps in emissions, at five-yearly periods since 2008 to ensure that the UK reaches its carbon reduction target of at least 80 per cent by 2050 – as set out in the Climate Change Act.

The first four carbon budgets, leading to 2027, have been set in law. The UK is currently in the second carbon budget period (2013-17). Meeting the fourth carbon budget (2023-27) will require that emissions be reduced by 50 per cent on 1990 levels by 2025. The fifth carbon budget is due to be announced in June and will come into force after 2027.

By providing benchmarks towards the 2050 target, the carbon budgets ensure regular progress is being made and provide a level of predictability for UK firms and households to plan and invest for a low-carbon economy.

Energy efficiency

Sellwood also said that the Trust had concerns around financial drivers and incentives for consumers to employ energy efficiency.

“Since the demise of the Green Deal, there is no plan yet for any financial support or incentives scheme for the able, or nearly able to pay other than what remains of Eco – which has already been identified it will be 100 per cent directed at the fuel poor,” he said.

The group has recommended that consumers have access to the data their smart meters collect to allow external organisations to provide energy saving or demand services, and suggested new financing mechanisms are created to replace the Green Deal.

“Council tax, stamp duty incentives for energy efficiency…they’re all great ideas, but frankly I’m really bored. It’s time for us to either take them seriously, or bin them as an idea,” he said.

“I think we’ve seen with the disaggregation of renewable policy, that each individual change didn’t seem to be a ‘gamechanger’. It’s a bit like Jenga at the moment – everyone is pulling a brick out of the wall, but no one wants to be the last person to pull the brick because the whole edifice comes crashing down.

“We can’t see policies introduced that affect economics and behaviour in one sector if it is in isolation from what other people are already doing. The policies have to link up.”