3 Measuring progress in tackling fuel
poverty
14. The government has been providing grants towards
domestic energy efficiency measures for around thirteen years
through Warm Front and its predecessor, the Home Energy Efficiency
Scheme. Since the launch of the UK Fuel Poverty Strategy in 2001,
the Warm Front Scheme has been part of a range of measures aimed
at eliminating fuel poverty in vulnerable groups by 2010, and
eliminating it completely by 2016. The number of people in fuel
poverty fell from 3.3 million in 1998 to an estimated 1.7 million
households in 2001. But the majority of this reduction was due
to lower fuel prices and increased incomes, rather than to the
impact of the Warm Front Scheme, which was introduced in June
2000. If fuel prices increase the number of people in fuel poverty
is likely to increase too.[16]
15. Warm Front's contribution towards the aim of
reducing fuel poverty has been monitored through a Public Service
Agreement (PSA) target "to reduce fuel poverty among vulnerable
households by improving the energy efficiency of 600,000 homes
between 2001 and 2004". Measurement towards the PSA target
has been calculated by counting the number of households in a
year receiving grants whether assistance comprised, say, provision
of two energy efficient light bulbs or a new central heating system
or insulation measures. The current target does not therefore
reflect the impact which Warm Front has made on fuel poverty,
fuel bills or the energy efficiency of homes assisted. The Department
agreed that the current PSA target was inappropriate and planned
to discuss a revised target with the Treasury. The target should
address fuel poverty more directly, and also incentivise Scheme
Managers to achieve success.[17]
16. The Department claimed that it was on track to
meet the target of eliminating fuel poverty as far as practicable
in vulnerable households by 2010 although it was more cautious
about the prospect of eliminating fuel poverty as far as practicable
by 2016. Nonetheless there remain significant challenges to meeting
either target, such as reaching homes in rural areas or those
that are hard to treat. Achievement of the targets also depends
on the success of the Decent Homes Standard, which sets standards
of housing provision in the social housing sector.[18]
16 C&AG's Report, para 1.4 Back
17
Qq 122-125 Back
18
Qq 8-10 Back
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