The Committee will receive a presentation on the progress of the following report which was approved by Cabinet on 25 September 2013:
· Approval to access energy efficiency funding through the Green Deal & Energy Company Obligation (ECO) via a Greater London Authority (GLA) framework.
Minutes:
In accordance with the Council’s Continuous Improvement Model, the sub-committee received a presentation on progress with issues agreed in the Cabinet report dated 25 September 2013 that gave approval to access energy efficiency funding through the Green Deal & Energy Company Obligation (ECO) via a Greater London Authority (GLA) framework.
The Sustainability Officer informed Members that following the rise in energy prices, this resulted in less people been able to heat their homes in winter. It was stated that one of the team’s roles was to help residents improve their homes to help reduce energy costs, particularly for the most vulnerable residents.
The sustainable team worked directly with energy companies, government and other private sector partners to attract as much funding to benefit of Havering residents.
The Team secured funding which was given directly to Havering residents to improve the energy efficiency of their homes – wall insulation, loft insulation, new boilers, and repair heating systems. These grants were targeted towards those who cannot afford these measures, but can least afford high energy prices.
Along the way, the Coalition government introduced a new framework to replace the grants, called Green Deal & ECO. Green Deal were loans for measures, and the Energy Company Obligation (ECO) were grants with stronger criteria so they were going to those most in need. This came into effect from April 2012.
The sub-committee noted that based on the government criteria for the new grants, this translated into was 100% funding for boiler replacement or heating system (£2k-£4k; £400 for cavity wall insulation); 1/3 of cost of external wall insulation (£10k).
But following a strong lobby from energy companies, the government changed the rules for funding which meant Energy companies had a lower targets to meet or had already met them and as such reduced the amount of funding that was required.
This meant restricting the criteria for who could be eligible, prioritised low cost measures so that those living in homes which were more expensive could now no longer get grants.
The sub-committee was informed that in the past year:
- Over 500 homes receiving wall and loft insulation (CWI & Loft: 70 Council, 25 private)
- 160 homes receiving heating measures – big push in October 2014, 10,000 letters sent to eligible residents
- Unfortunately all Councils are in the same position (as the scheme changes are national)
- The current regime would run until 2017.
The sub-committee was informed that within the Cabinet Report, the service had the remit to explore and offer different options, securing as much offers for resident of the borough.
The service had been able to negotiate directly with Energy companies, whilst other companies had also approached officers directly funding available. Members gathered that strong relationships with procured partners had benefitted resident of the borough during these times when people are feeling their purses stretched.
The sub-committee noted that other opportunities been investigated had secured £46k for private landlords under the Council’s new lettings agency Liberty Housing for energy efficiency to rented properties which had led to further discussions with two Energy companies to fund upgrades to communal heating systems for the Council’s sheltered accommodation blocks.
Officer stated in response that the Council through Homes & Housing had a duty to provide tenants with quality homes hence the availability of energy funding grants to council homes in order to bring them to the highest standard.
Further benefit to Havering resident had been through the collective energy switching programme.
The Sub-Committee noted the presentation.