Select Committee on Communities and Local Government Committee Written Evidence


Memorandum submitted by PLUS Housing Group

  This submission attempts to address in succinct form (as requested) the key questions being addressed by the Inquiry into Existing Housing Stock and Climate Change. We would be happy to provide more detail on any issue as required by the Committee.

1.   The significance of existing housing compared to new build and the different levels of performance each display

  The table below indicates the differences in three property types—mid terrace, semi-detached and new build, of applying energy performance improvements, such as double glazing and improved insulation, to each type. These performance figures are based on actual properties of comparable size within each category. For the flat category a comparison with a new build example is also given.


DwellingConfig StatusSAP CO2 tonnes paAve Running £ pa
Geraint StMid Terrace Improved634.22 £500
Mid TerraceUnimproved 417.34£824
Warham RoadSemi Detached Improved744.25 £533
Semi DetachedUnimproved 466.96£734
FlatNew Build 1022.24£337
PinehurstFlatImproved 882.33£361
FlatUnimproved 673.53£439




2.   The respective roles of residents, homeowners, landlords, local government, central government and the energy industry in promoting and delivering greater energy efficiency

  PLUS Housing Group has a comprehensive Affordable Warmth Strategy that aims to reduce fuel poverty across our portfolio as far as possible. This strategy is directly linked to our Asset Management Strategy and is influential in the development of our annual investment programmes. However, there are many pressures on our ability to deliver across various agendas (including the Decent Homes Standard) and we consider that there is currently little real incentive for Housing Associations to prioritise investment into energy related works.

  The Government has placed great emphasis on increasing energy performance standards for new build through the introduction of the Code for Sustainable Homes and the requirement that all NAHP funded programmes should reach Code Level 3 from 2008. However, welcome as this is, in order for private developers and the energy industry to rise to this challenge effectively, the Code Level 3 should be mandatory for all developments via both Building Regulations and through planning requirements—not just for grant supported affordable housing.

3.   Energy Performance Certificates (EPC)

  PLUS Housing Group is one of the selected Housing Associations in the UK to have been awarded the maximum available grant funding to participate in CLG's pilot project for the introduction of EPC's across the rented sector housing stock in October 2008. We are currently preparing nearly 800 individual EPC's across our stock.

  We welcome the introduction of EPCs and are well placed to generate the certificates in-house and to use their findings to influence letting and investment decisions. Alongside our annual stock condition and energy surveys, we are confident that the EPCs will assist in the targeting of energy related investment to those properties and neighbourhoods in greatest need.

4.   The provision of information for households and prospective house buyers, including energy performance certificates

  Again, we welcome the transparency of the incoming EPC regime, allowing incoming tenants to assess the energy performance characteristics of the property that is being offered. It is our opinion that this can only help to isolate the poorer performing properties and increase the urgency for improvement works to take place. We firmly believe that a significant proportion of residents who are informed about the energy performance of their properties and their own appliances (televisions, kettles etc) will actively seek to reduce their own fuel bills wherever possible.

5.   Government efforts to reduce carbon emissions from existing housing stock whether in private or public ownership and other rented programmes including Decent Homes

  The Decent Homes Standard is a basic minimum standard that seeks to ensure that heating systems and insulation levels within a property are effective and efficient. However, it is not prescriptive in that all properties must necessarily be fully centrally heated, double glazed or exceed minimum levels of roof or cavity wall insulation. In itself, the Decent Homes Standard will does not directly tackle issues to reduce carbon emissions, increase SAP ratings or lower fuel bills. However, we do use the Decent Homes Standard as "part of the jigsaw" when determining investment programmes to ensure that we integrate work packages, based on financial, technical and social considerations together. In summary, reduction of carbon emissions can be a by-product of Decent Homes, if the Housing Association chooses to prioritise and integrate those works with specific energy related programmes.

  We would recommend that Government considers replacing the Decent Homes Standard with a Green Standard for all existing housing stock which uses EPCs as a measure of effectiveness and offers incentives for higher performance. We would also recommend that housing investment is targeted towards investment in the quality of the existing housing stock (as well as producing new homes) with particular emphasis on measures to reduce carbon emissions and increase the use of renewables. The government could support this programme via grants.

6.   The technologies available to reduce emissions and the Government's role in facilitating relevant further technological development

  Carbon emission reducing technologies for existing buildings appears to be far less available than for new build. We would welcome greater emphasis on research for such technologies; the vast proportion of public sector housing is existing stock rather than new build. Due to restrictive planning issues, it is simply not practical to apply new build technological solutions to existing stock in many instances.

  Pilot funding should be made available for energy providers and Housing Associations to examine and monitor the introduction of new products and technologies into the existing housing stock.

7.   The costs associated with reducing carbon emissions from existing housing, who should meet those costs and particularly, in respect of low income households, interaction between carbon emission reductions and the Government's ambitions to reduce poverty

  As discussed above, there is current little incentive for Housing Associations to actively spend a considerable proportion of available investment primarily on carbon emission reducing works. Whilst we support the Government's ambitions in this respect and aim to deliver our own fuel poverty ambitions through our asset management and affordable warmth strategies, the conflicting financial and technical demands on annual investment budgets means that such works can be classified as lower priority. We consider that adding some form of financial assistance or incentivisation for the public sector would assist greatly in ensuring such works are prioritised.





 
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