Select Committee on Environmental Audit Written Evidence


Memorandum submitted by Friends of the Earth

  Friends of the Earth England, Wales and Northern Ireland welcomes the opportunity to provide evidence to the Committee on the Government's delivery of sustainable housing. Friends of the Earth is an NGO with 102,000 supporters and local campaigning groups in 200 communities. We are also a member of Friends of the Earth International, which has member groups in 70 different countries. Friends of the Earth has worked on planning and housing for over 25 years, and we are convinced that the land use planning system is a key mechanism for delivering sustainable development.

SUMMARY

  Friends of the Earth made clear in its submission to the committee's previous inquiry "Housing; building a sustainable future" (EAC 2004) that current Government policy on regional development and housing provision is a major obstacle in achieving sustainable development in the UK and conflicts with the Government's own stated aims contained within the UK Sustainable Development Strategy. [19]Overall we see nothing in current or emerging Government policy to change this view. We are particularly concerned about four areas of Government policy:

    I.   The continued drive to implement the damaging recommendations of the Barker Report (March 2004) exemplified by ODPM's five-year action plan, "Sustainable Communities: homes for all" (ODPM 2005) and the more detailed consultation "Planning for housing provision" (ODPM 2005). The effect of these proposals is to undermine the delivery of sustainable development with wide-ranging implications for social housing provision and environmental limits.

    II.   The overall failure to effect a step change in building performance reflected in the disappointing changes to the standards for building regulations.

    III.  The continued reliance of voluntary agreements such as the proposed code for sustainable buildings which will not deliver the necessary prescription or certainty to effect lasting change in building standards.

    IV.  The profound failure of government to grasp the opportunity that the spatial planning system offers to tackle climate change particularly in relation to encouraging carbon Zero development principles for housing and ensuring that environmental limits and resource conservation are at the heart of strategic planning.

1.  THE IMPACT OF "PRICE DRIVEN" HOUSING POLICY

  1.1  The Government has laid out its general policy position on housing provision in the ODPM five year action plan "Sustainable Communities: Homes for all". This document accepts uncritically the findings of the Barker report and provides a general commitment to its implementation (Ref ODPM 2005). In addition ODPM has set out a more detailed policy approach to the increased supply of housing in the consultation paper Planning for Housing Provision. This paper makes clear that "plans should use market information, in particular prices, in determining the level and distribution of housing provision" (Box 2.2). Friends of the Earth believe this a radical and regressive policy development which places crude market indicators at the heart of decision making. Annex 1 contains our response to the consultation paper and provides further detail on why the specific proposals at regional and local level would undermine the objectives of sustainable development [not printed].

  1.2  Sustainable Development, as PPS 1 makes clear, is the fundamental objective of the planning system and must underpin housing policy and be reflected fully in the forthcoming draft PPS3. In line with the new Sustainable Development Strategy (SDS DEFRA 2005), this means that economic, social and environmental objectives should be integrated. SDS 2005 is very clear that "integration" is essential, and that integration is different to "trading-off" or "balancing" of the different objectives. This recognition should be made more explicit in PPS3 by, at the least, replacing "reconcile" with "integrate" whenever Sustainability Appraisal is mentioned.

  1.3  In contrast, existing policy, exemplified by the Sustainable Communities Plani, the Barker Report and the recent Consultation paper Planning for Housing Provision is essentially a reflection of a market-driven conception of how to meet housing needs in England. This model assumes that increasing supply is the prime means for tackling affordability, and that releasing more land in areas of high prices is the prime means for increasing this supply, in effect making house prices the key arbiter of the amount and location of new homes. While this objective appears to offer a simple "fix" to the current undoubted shortages in social housing provision, it ignores a whole series of fundamental policy issues.

  1.4  First, the social objective for sustainable development is around securing housing need for everyone. House prices are a very poor proxy indicator for this. Even slightly more sophisticated price indicators—ratios of, for example, lowest quartile income to lowest quartile house prices—are poor indicators, because, for example:

    —  Affecting this ratio does not in any way guarantee that people in housing need will be able to buy these houses—low price houses are open to all to buy—speculators as well as people in housing need.

    —  This ratio only deals with the owner-occupation tenure.

  1.5  Second, the means of tackling whatever price indicator is chosen has already been deemed to be increasing housing numbers. However if the policy objective is some target around price, then the mechanism of increasing housing numbers is almost certainly not the most efficient nor only means of meeting it. First, the mechanism is not likely to be effective in its own right:

    —  There is no guarantee that the houses built will be affordable, or in the "lowest quartile".

    —  Supply-demand is not simple for housing—building more houses in an area can make the overall house price go up.

  1.6    Perhaps more importantly though, there are many more policy mechanisms which could and should be used to meet housing objectives, not just building more houses. These include:

    —  Setting a higher percentage of affordable homes in any development.

    —  Lowering the size-threshold below which developers must build affordable homes.

    —  Tackling the incentives which are fuelling the growth of second homes (eg council tax rebates and the proposed SIPPS revisions).

    —  Relocating jobs from higher to lower demand for housing areas.

  1.7  Finally, in addition to not delivering on the Government's housing objectives, these measures would also lead to the focusing of growth in high demand areas in ways which erode public participation in decision-making, and breach environmental limits.

  1.8  To deliver on all three elements of sustainable development—economic, social and environmental—requires that these aims are integrated at the beginning, rather than having a policy focus on one element and treating the other two as "bolt-ons" which are to a greater or lesser extent traded-off against the supposed "main" objective. The primary focus here on increasing supply neglects major side-effects on inequalities (further growth in the strongest economic regions) and the environment (more housing where there are greatest environmental pressures) and is a prime example of failing to integrate at the start of the policy making process.

IGNORING ENVIRONMENTAL COSTS

  1.9  We are aware that ODPM have commissioned ENTEC to provide a view of the environmental impacts of implementing the Barker Report and that this work is yet to be published. In addition DEFRA published an analysis of the impacts of three expansion scenarios including those recommended by Barker in April 2004 (Study into the environmental impacts of increasing the supply of housing in the UK. DEFRA, April 2004). This report concluded that there were a range of serious environmental implications of such growth. These included:

    —  Increased climate change emissions.

    —  Potential water supply shortages.

    —  Impacts on Biodiversity.

    —  Increased flood risk.

  The issues of flood risk are illustrative of the wider failure of Government to consider environmental limits before committing itself to particular growth areas. The ABI has conducted research which illustrates that one third of all new housing in the growth areas is to be built on flood plains and that 10,000 houses will be in areas of significant flooding probability (Making communities sustainable—managing flood risks in the government's growth areas, Summary report, ABI, February 2005). Government policy demonstrates an illogical and unreasonable approach to a highest level of strategic planning and inevitably leads to failures to directly consider infrastructure needs and environmental limits of particular localities.

  The launch of PPS 3 (housing) is likely to compound all of these problems by adopting the Barker reports approach to housing provision. This will lead to "point" development outside the four growth zones where local authorities will attempt to focus additional growth in high demand areas. This is a profound mistake and undermines the government's own logic of trying to focus growth where it might be best served by infrastructure. Such additional growth beyond that envisaged in the Communities plan is bound to compound the impacts on environmental limits. Friends of the Earth and many other organisation have been calling for a national spatial framework in which strategic choices can made about growth based on the principles of sustainable development. Such a framework would be able to address the need to redirect growth to those areas in need of regeneration in order to achieve a more efficient and sustainable pattern of growth across the nation.

  1.10  Given the range and breadth of concern that has been raised about potential environmental impacts of government housing policy it is surprising that both ODPM's five-year plan and the consultation paper on housing provision failed to adequately address these issues. "Planning for housing provision" pays lip-service to the importance of the environment but provides no indication whatsoever of how environmental limits can be respected alongside the aggressive promotion of a market-led vision of housing provision.

  1.11  ODPM's five year plan does stress the need to consider the environment (Chapter 8) but it is deficient in two important ways:

    —  It offers a "voluntary" and "best practice" vision of ensuring that environmental standards, including design and layout, are incorporated into new development. The profound weakness of this approach is dealt with in more detail in section 3.

    —  The five-year plan has at its core a dangerous policy gap between the objective for sustainable development and the objectives of "sustainable communities". There are significant differences in emphasis between the UK sustainable development strategy and the list of objectives for Sustainable Communities contained at Annex 1 of the ODPM five-year plan. For example, there is no explicit reference in the principles of sustainable communities to environmental limits or biodiversity. In addition while the sustainable development strategy stresses the need to integrate the principles of sustainable development rather than "balance" or "trade them off"' the five-year plan suggests that such principles should be "balanced and integrated". This amalgamation of contradictory approaches is more than just a semantic issue. Delivery of sustainable development requires a common understanding of objectives, shared language and a clear policy narrative and hierarchy. Government must make a choice between a coherent vision based upon sustainable development or an overall housing policy which continues to prejudice market forces over all other considerations. In our view sustainable communities must integrate the notion of sustainable development set out in PPS 1 and the UK sustainable development strategy.

  1.12  The failure to plan strategically based on the principles of sustainable development has inevitably led Government to adopt policies which will lead to serious breaches of environmental limits. The most obvious example of this is the fact that new buildings will go on contributing to additional climate change emissions rather than playing a part in reducing them. In the short term Government policy will also lead to significant resource issues particularly over water supply.

2.  THE FAILURE OF BUILDING REGULATIONS

  2.1  The Government is committed to a 25% increase in energy efficiency of housing to be delivered through changes to Part L of the building regulations which come into force in April 2006. While Friends of the Earth welcomes this action it does not, in our view, take the full opportunity to deliver the vital step change in building performance which is required to see effective action on climate change. Because policy action is more problematic in dealing with the retrofit of our existing building stock it is vital that we secure effective action on new-build. The objectives of policy must be ambitious and should at least secure standards which will deliver carbon Zero development. In the longer term the housing stock should be considered as a net exporter of energy, maximising the possibilities of embedded micro generation along with effective efficiency measures. Some of the necessary policy actions must be dealt with by the wider land-use planning system discussed in section 4. However, government should go further to ensure that building regulations:

    —  Require the highest possible standards of energy efficiency for new domestic and commercial buildings.

    —  Should apply such standards to new-build and buildings undergoing significant renovation or extension.

3.  THE FAILURE OF VOLUNTARY APPROACH TO BUILDING STANDARDS

  3.1  Friends of the Earth is extremely concerned by the Government policy on housing design and layout. Current policy fails to provide sufficient regulation and incentives to affect the radical changes we need to make in housing design. A clear illustration of how the Government regards the implementation of sustainable housing standards can be gained from the Governments Code for Sustainable Building (CSB). This contains a range of proposals on energy efficiency, flood resilience and water conservation. But the code will be voluntary—it will only have the status of best practice. (See report of the Sustainable Building Task Group, May 2004.) This exemplifies the clear gulf between the available technology and design proposals (exemplified in the detailed work of WWF "One million sustainable homes: Moving best practice from the fringes to the mainstream of UK housing", WWF, January 2004) and the government's unwillingness to identify effective delivery mechanisms. A voluntary approach to policy change is particularly flawed in relation to building standards because:


    —  It fails to deliver certainty for the house building industry. House builders are unlikely to meet new standards if they believe their competitors are unwilling to do so. The property development sector is not a homogenous entity with single representative bodies and is therefore much harder to influence through "best practice". Investor confidence requires a level playing field best delivered by regulation.

    —  Voluntary measures may have value in changing the attitudes of industry and consumers in the very long term. However, the imperative to deal with issues such as climate change and water conservation is now. This partly because of the pressing nature of these problems and partly the opportunity that planning reforms offers to make effective policy.

  3.2  The solution to this problem is:

    —  Provide a greater degree of prescription in building regulations to ensure that new build and conversions enshrine proven resource conservation technology including small-scale renewable technology and meet the Eco homes excellent standard.

    —  Provide much greater prescription in a new PPS 3 on housing in relation to master planning and the layout and service provision of new housing.

    —  Provide greater integration between the Environment Agency and planning authorities in relation to future flood risk and sea-level rise in order to provide strategic guidance based on best available modelling from the Met office.

    —  Specify in PPS 11 a CO2 reduction target for the delivery of new housing to be enshrined in Regional Spatial Strategy.

    —  Increased investment for the retrofit of existing houses with energy conservation technology.

    —  Underpin the new drive for sustainable housing by enshrining the above objectives in a new Public Service Agreement (PSA) target for ODPM.

  3.3  There is no doubt that such development will add cost to the delivery of new housing units. However, such upfront capital cost will result in long-term savings particularly in energy costs for users. Such savings will disproportionately benefit those on low and fixed incomes who spend a higher proportion of their income on energy. There will also be lower costs to the economy as a whole, from reduced climate change impacts. In the wider context, the contribution of sustainable housing to reducing the negative impacts of climate change is likely to be significant (these costs have been assessed in the recent Defra report: Study into the environmental impacts of increasing the supply of housing in the UK. DEFRA, April 2004).

4.  THE FAILURE OF SPATIAL PLANNING TO DEAL WITH CLIMATE CHANGE

  4.1  There is a growing view amongst a wide range of organisations[20] that the government has not grasped the potential of the use of the land use planning system to make a significant contribution to dealing with climate change. Planning has the potential to draw together many of the issues discussed above in relation to housing standards and integrate them with the wider issues of transport, energy generation mixed-use developments to deliver an overall vision of sustainable development.

  4.2 Current government planning policy on climate change is fragmented and fails to provide a clear linkage between national rhetoric and local and regional policy action. The result of this position is the patchy and largely ineffective delivery of climate change reduction policy on the ground. A small number of local authorities such as the London Borough of Merton have introduced a successful policy to embed renewable micro generation but research by Friends of Earth has demonstrated that such policies remain the exception and are themselves very modestly drawn. Annex 2 contains a detailed briefing for regional decision makers and sets out the barriers to implementation on climate change [not printed]. In particular it addresses how target setting and carbon Zero development principles could transform our response to climate change by ensuring new housing development reduces rather than exacerbates carbon emissions.

  There is a clear and overwhelming case for ODPM to publish a national statement on planning and climate change which would provide an effective "route map" of policy guidance and affect a "culture change" amongst decision-makers. Such a document could draw together the provisions of building regulations and the code for sustainable building and demonstrate how these dovetail with the land-use planning system. In particular it could make clear how aspects of the Code for Sustainable buildings could be incorporated into development plan policy transforming aspirational standards into statutory planning policy. It could also provide reassurance that policy to require embedded micro generation in new development was accepted and would end the ludicrous situation where some government offices have objected to the inclusion of such policies in the new local Development Framework. For example as the recent Government Office of London objection to the London Borough of Waltham Forest policy (WPM21) to require "10% of total predicted energy consumption to be from renewable energy sources, through on site generation for all commercial/industrial developments over 1,000sq ms and housing developments of 10 or more units."

  4.3  The opportunity to deliver a step change in housing standards by incorporating innovative policy into the statutory planning framework has to be seized now. The Planning and Compulsory Purchase Act 2004 requires the review of all local Development Framework in England between now and the end of 2006. There is also a parallel review of regional planning policy which is already well underway. No government has ever attempted such a complete review of the regional and local planning framework in England in such a tight time frame. Effective action must be delivered now if these new plans are to provide a proper policy framework to deliver truly sustainable communities.

PPS 3 HOUSING AND CLIMATE CHANGE

  4.4  We are aware that government is about to publish a draft PPS 3 on housing and this document provides a very significant opportunity to shape the planning system response to the environmental standards of the new housing. The current PPG 3 fails to reflect the vital imperative for the planning system to deal comprehensively with the causes of climate change. New and existing residential development is a very significant contributor to climate change emissions. Para 52 of the existing PPG 3 fails to provide either the sense of imperative or detailed guidance to deliver a step change in the energy and resource efficiency of new housing.

  4.5  PPS 1 Makes clear that "Regional Planning bodies and local planning authorities should ensure that development plans contribute to global sustainability by addressing the causes and potential impacts of climate change." (Para 13 ii)

PROMOTING CARBON ZERO DEVELOPMENT PRINCIPLES

  4.6  In order to assist in the achievement of national and international carbon reduction targets, PPS 3 should promote a range of policy measures to ensure new development is carbon neutral over the life-cycle of the development. Measures should be considered to promote the retrofit of the existing building stock whenever possible. Policy should focus on energy and resource efficiency and on promoting renewable energy capacity.

ENERGY AND RESOURCE EFFICIENCY

  4.7  The PPS 3 should make clear that Development Plans should be required to promote the development of resource efficient homes through the inclusion of policies which specify acceptable levels of resource efficiency for all new developments. By 2006 the Energy Performance of Buildings Directive (EPDB) requires the setting of minimum requirements of energy performance of new-build and buildings undergoing major renovation (SD page 87). While aspects of this agenda will be dealt with under Part L of the New building regulations, PPS 3 has a major role in setting strategic policy and driving up standards which can support the Government's Code for Sustainable Buildings, by ensuring energy and resource efficiency of vital considerations in deciding the principle of new development and of the re-use of existing buildings.

  4.8 The ODPM Select Committee Report (Planning for Sustainable Housing and Communities: Sustainable Communities in the South East Eighth Report, ODPM, 2003) endorsed the Building Research Establishment measure of resource efficiency known as the "Eco Home" standard. Friends of the Earth strongly recommends that PPS 3 should support the achievement of Eco Homes "excellent" standard for all new homes.

  4.9  In order to deliver effective change the new PPS 3 should endorse the BRE Eco-Homes excellent standard as a minimum standard. However Eco Homes Excellent does not reflect current best practice in sustainable construction. It does not require the adoption of all aspects of environmentally sound construction that would even further reduce the impact of new housing. PPS 3 should adopt the Z2 ("zero carbon, zero waste") approach developed at Beddington Zero Energy Development and now being planned in showcase developments in the Thames Gateway. The Environmental Audit Committee's recent report recognised that:

    "Simply taking the Building Research Establishment's standard forward in the proposed Code (for Sustainable Buildings) could result in a missed opportunity to achieve a step change that is required in construction practices to reduce the environmental impacts of all buildings, including houses."

  4.10  As a result the new PPS 3 should include the following objective:

    "All new housing development must achieve as a minimum the Eco Homes excellent standard for energy use and resource efficiency and wherever possible the Z2 (`zero carbon, zero waste') approach. RSS and Local Development Framework policy should be required to drive up standards of energy and resource use efficiency with the objective of carbon and waste neutrality by the end of the plan period."

CONCLUSION

  The Government's current proposals for implementation of the Barker Report would result in deregulating control over built development and so remove vital mechanisms through which we might achieve a more balanced and sustainable development of the nation. In addition, while the technology exists to radically reduce the resource consumption of new homes, the government has chosen to adopt a gradualist, voluntary approach to implementing such standards. This is a profound policy failure and loses the opportunity for a step change in the quality and long-term sustainability of our communities.

  To achieve sustainable development regional and housing policy must seek to integrate the four pillars of the UK Sustainable Development Strategy and not continually prejudice economic growth as the prime objective. In addition we urgently require a national framework for strategic planning which can give spatial expression to the UK Sustainable Development Strategy. PPS 1 has empowered the strategy as material to all planning decisions but provides little or no indication of how this is meant to be achieved. Such a project requires much greater inter-departmental co-operation than has been evident in either the Communities Plan or the Government's initial response to the Barker report.

REFERENCES

Review of Housing Supply "Delivering stability: securing our future housing needs" Final Report, Kate Barker, March 2004

A Better Quality of Life: A Strategy for Sustainable Development for the United Kingdom, May 1999

Sustainable Communities Plan "Sustainable Communities: Building for the future" February 2003

Friends of the Earth's submission to the Environmental Audit Committee on the Budget, 24 March 2004

Driving Productivity and Growth in the UK Economy, McKinsey, Global Institute, October 1998

Fourth Report of the ODPM: Housing, Planning, Local government and Regions Committee, 2003

Study into the environmental impacts of increasing the supply of housing in the UK. DEFRA, April 2004

PPS 1 "Creating Sustainable Communities", May 2004

Sustainable Building Task Group Report, May 2004

One million sustainable homes: Moving best practice from the fringes to the mainstream of UK housing, WWF, January 2004

"Making communities sustainable—Managing flood risks in the Government's growth areas" summary report, February 2005

November 2005



Association of British Insurers (ABI); Bill Dunster Architects; British Wind Energy Association; CURE University of Manchester; Friends of the Earth; Green Alliance; IT Power Ltd.; Local Government Association; London Borough of Merton; London Borough of Croydon; London borough of Woking; The British Photovoltaic Association (PV-UK); Royal Town Planning Institute (RTPI); Planning magazine; Royal Society for the Protection of Birds (RSPB); Renewable Power Association; Royal Institute of Chartered Surveyors (RICS); Solar Trade Association; Town and Country Planning Association; Woodland Trust; WWF.


19   A Better Quality of Life: A Strategy for Sustainable Development for the United Kingdom, May 1999. Back

20   Current supporters of the climate change campaign include: Back


 
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