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Chapter 6 Improving our homes
6.1 The Executive is committed to promoting energy efficiency in all buildings. But we know that our housing stock must be a particular focus. We are committed to improving energy efficiency in new build and existing housing in both the social and private sectors. Action on energy efficiency across the housing system will assist in fulfilling our objective of ensuring safe, warm housing is available throughout Scotland and will contribute to our objective of tackling climate change by reducing carbon dioxide emissions. This Strategy and the forthcoming Action Plan will fulfil the Executive's requirements under section 179 of the Housing (Scotland) Act 2006, in which Ministers are expected to prepare and publish a strategy for improving the energy efficiency of living accommodation (and later to review it and report on its implementation).
6.2 The Executive supports the ambition set out by the Chancellor in his Pre-Budget Report for all new homes to be zero-carbon by 2017. To help achieve these goals, it will continue to develop a package of sustainability measures for new buildings through planning, design and building regulations described in the previous section. The Executive is also aiming to significantly improve the energy standards of existing homes.
6.3 The 2002 Spending Review set challenging targets to improve domestic energy efficiency by 20% by 2006. Progress against achieving this target is being measured through the Scottish House Condition Survey. Significant progress has already been made - the latest statistics which presents 2003/04 data reported that the energy efficiency of Scottish housing has improved considerably from 2002 levels - 40% of dwellings were rated 'good' on the National Home Energy Rating ( NHER) scale in 2003/04 compared to 31% in 2002.
6.4 The Executive will report fully on its achievements in meeting this target in 2008-09 when all of the data to 2006 is available. However, we can't afford to wait for this data before taking further action - we must act now to build on and further improve energy efficiency across all types of housing. The Executive will therefore set further, more challenging targets linked to the next Spending Review in 2007, ensuring that resources are earmarked to support increased targets.
Info Box - Scottish House Condition Survey |
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The Scottish House Condition Survey ( SHCS) is the largest single housing research project in Scotland, and the only national survey to look at the physical condition of Scotland's homes as well as the experiences of householders. It covers all types of housing, whether owned or rented, flats and houses, in urban, rural and island locations across the whole country and is commissioned by Communities Scotland. The purpose of the SHCS is to obtain good quality information about the nature of housing and communities in Scotland from which good quality public policy can be developed and resources can be wisely invested. SHCS first reported in 1996 and was initially conducted every five years. The survey has now moved to a format of continuous fieldwork with key estimates available annually. These annual reports contain updated key information on the estimates of the number of households in fuel poverty, energy efficiency estimates and the progress rates for meeting the Scottish Housing Quality Standard, a standard by which all social housing must comply by 2015. This first annual report was based on data collected in 2003/2004 and was published in March 2006. It found that the energy efficiency of the Scottish housing stock is improving. Fewer dwellings have a 'poor' National Home Energy Rating ( NHER) and the proportion of dwellings rated 'good' has risen by 9 percentage points from 31% to 40% since the 2002 survey. The report also found that the 6% of households who do live in dwellings with a 'poor' NHER are much more likely to be in fuel poverty. In fact, 43% of households in Scotland living in dwellings with a 'poor' NHER rating in 2003/04 were in fuel poverty, compared to 18% of households living in dwellings with a 'moderate' rating, and 8% living in dwellings with a 'good' rating. |
6.5 The Executive will work with social landlords to ensure that the target for all social sector housing to meet the Scottish Housing Quality Standard ( SHQS) by 2015, is achieved. So far as energy efficiency is concerned, the SHQS includes a specific commitment that all social houses will have effective insulation and efficient central heating systems by 2015. The SHQS also provides for additional energy efficiency measures (on top of efficient central heating and effective insulation) that can be implemented as necessary for achieving a minimum National Home Energy Rating ( NHER) rating of 5 subject to technical feasibility and without incurring disproportionate costs. The NHER measures the energy efficiency of homes and gives an energy rating on a scale from 0 (poor) to 10 (excellent). It takes into account the total energy costs per square metre of floor area required to achieve a standard heating regime, the type of heating system, standard of insulation and the type and age of dwelling. It includes space and water heating, lighting, domestic appliances and standard charges. NHER also models climatic variations like wind speed and orientation, and the geographical location of a house. As part of the work being done for improving domestic energy efficiency in social housing, the Executive will issue a report which measures progress on energy efficiency aspects of the social housing stock by 2009. This will measure how far the social housing stock has come in terms of energy efficiency some 5 years after the introduction of the SHQS.
6.6 In 2007, the Executive will review progress being made by local authorities towards meeting their targets under the Home Energy Conservation Act ( HECA). Under HECA, every local authority with housing responsibilities has to devise a strategy and develop a target to achieve significant improvements in the energy efficiency of their respective housing stocks. All local authorities published their initial HECA strategies in 1997 and the targets for improving energy efficiency range from 8% to 36% against the 1997 baseline. Local authorities are required to submit biennial progress reports covering improvements in energy efficiency, reductions in carbon dioxide emissions and costs of improvement measures.
6.7 The latest HECA statistics suggest that steady progress is being made (the latest HECA Progress Report (2003-05) is due to be published in Spring 2007). Since the start of HECA in 1997:
- Overall energy efficiency has improved by 17.2%;
- Carbon dioxide emissions have reduced by nearly 850,000 tonnes of carbon; and
- Households were £152 (on average) better off as a result of the energy efficiency improvements.
6.8 The Executive makes a considerable investment in housing and regeneration through Communities Scotland - this amounted to £800M in 2006/07. Communities Scotland have recently consulted on its Sustainable Development policy which includes a package of action that the Agency will take in relation to housing and regeneration. Further details will be published later in 2007 - proposals include:
- An ambitious mandatory target of EcoHomes 'very good' by 2008, extending this to EcoHomes 'excellent' by 2010 for registered social landlords in Scotland. EcoHomes is an independent and authoritative environmental assessment method for new homes developed by the Building Research Establishment in conjunction with the construction industry and Government. It supports housing developers (including registered social landlords) to deliver better quality housing with lower running costs for occupants and lower negative environmental impacts. EcoHomes has seven sections to the standard - including energy, transport, water and materials - which are tradable elements. Communities Scotland is considering introducing a non-tradable energy section.
- To establish, where possible, carbon savings across the building programme. Communities Scotland recognises the value of measuring progress in terms of carbon saved and will develop a methodology to establish it's contribution towards climate change targets.
6.9 Communities Scotland 'Sustainable Housing Design Guide' has been revised, updated and expanded to give guidance to housing associations on how to adopt a low carbon, sustainable development approach for new and refurbished housing.
Case Study - Communities Scotland - Sustainable Housing Design Guide |
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Housing can make a significant contribution to sustainable development, simply because decent homes are essential to the health of individuals and to the well-being of the wider communities they live in. Where a home is, what it is made of, how it uses resources like energy and water, and how it is connected to the rest of the world (public transport, walking or cycling), all have major environmental implications. Incorporating the principles of sustainability into housing development, maintenance and refurbishment, will make a significant contribution to achieving true sustainable development. The Sustainable Housing Design Guide for Scotland ( www.communitiesscotland.gov.uk/shdg) offers comprehensive and user-friendly guidance on how to incorporate sustainable development principles into maintaining, rehabilitating and developing social housing. The guidance is there to improve both new and existing homes, and to make them more efficient. One such project was a mixed-use new build developed jointly by Perth Housing Association and Servite Housing Association. The buildings are four storey tenements incorporating flats, offices and a sheltered housing development. The scale and diversity of power demands offered an ideal opportunity to install a combined heat and power ( CHP) system. The CHP plant is a 'lean burn' engine which generates electricity using gas instead of petrol. The heat produced by the system is recovered to heat water and this hot water is pumped around the buildings to heat wet radiators in each room. The CHP produces up to 40% of the electricity required, the remaining power and back up in case of failure coming from mains gas and electricity. The use of CHP has increased the efficiency of electrical production from 30% (standard power stations) to 85% and has reduced carbon dioxide emissions by 50%. The payback on installing the CHP system in terms of reduced energy bills is 3-5 years with maintenance costs being met by ongoing savings. |
6.10 To help all householders seeking to reduce their impact on the environment, the Scottish Building Standards Agency has developed an on-line guide 'Home improvements - a sustainability guide'. It provides advice to householders who are considering a range of energy saving and waste recycling improvements that they can make to their homes.
Case Study - Sustainability Guide for Home Improvements |
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Making existing buildings more sustainable isn't always easy, therefore the Scottish Building Standards Agency have produced a Sustainability Guide specifically designed for householders about to embark on any home improvements. The guide sets basic goals that we should all be able to achieve such as switching to low energy lighting, draught proofing and carrying out insulation works. It explains the main principles of sustainable home improvements such as buying low environmental impact products and repairing, renovating and recycling existing resources. It gives guidance on following planning guidance and building regulations. It provides a number of examples of the work that could be done in different types of home, from a traditional tenement flat to 1950s semi. For those wanting to go that bit further, it also has ideas for projects such as improving heating systems and micro-renewables which give extra comfort, energy efficiency and future financial savings. The complete guide can be accessed via www.sbsa.gov.uk/homeimprovements. |
6.11 The Executive continues to work with the UK Government and the energy supply companies to deliver better energy efficiency to householders. The Energy Efficiency Commitment ( EEC) places an obligation on the supply companies to achieve targets for assisting households across Great Britain to be more energy efficient. Measures supported to date include cavity wall and loft insulation, energy efficient boilers, appliances and light bulbs. The Executive is working closely with the UK Government to ensure that EEC has demanding goals, is better targeted and that it works more effectively with Scottish Executive fuel poverty and energy efficiency initiatives.
6.12 Insulation is the predominant measure supported through the EEC and it is considered the most cost-effective and energy efficient improvement that can be carried out in the home. However, Scotland has a high proportion of housing that is not suitable for cavity wall insulation including tenements, multi-tenured flats, solid-walled and timber-framed dwellings, and housing in exposed areas that are subject to wind-driven rain. There are also further problems with shared areas and joint responsibilities for roofs, etc. This can mean that householders in Scotland have difficulties sourcing appropriate advice for their properties, securing agreement from owners over shared areas and accessing financial support that would help them make their homes more energy efficient.
6.13 The Executive is therefore investigating the barriers to take-up, especially for existing homes, and will take further action to help householders in Scotland to improve the energy efficiency of their home. It is important that any additional support complements the EEC and the Executive is currently investigating a range of options. These could include, better targeted advice, loans, equity release initiatives and 'green' mortgages, and more comprehensive home energy audit services. The Executive will publish further details during 2007. Coupled to the energy performance certificates, such measures could provide a powerful driver for improving the energy efficiency standards of homes.
Lifting the vulnerable out of Fuel Poverty
6.14 The Executive will continue its commitment to end fuel poverty by 2016. If efficient heating systems and effective insulation are installed in the homes of those in fuel poverty, it should both increase the energy efficiency of the stock and, other things equal, reduce the incidence of fuel poverty over time in line with this commitment. The Warm Deal and Central Heating Programmes aim to lift households out of fuel poverty by improving the energy efficiency of the home. For example, the Warm Deal and Central Heating Programmes specifically aim to lift households out of fuel povertyThe Executive defines fuel poverty as those households that spend 10% or more of their income on fuel. It can arise from a combination of factors including low household income, rising costs of fuel and poor energy efficiency of homes. The Executive is able to influence the third of these factors. The colder Scottish climate makes tackling fuel poverty more challenging, as does the rural nature of our landscape, with Scotland having around 10% less access to the gas grid than the rest of the UK, and other fuels, such as oil and electricity, can prove more costly than gas.
6.15 These programmes make a real difference to people's lives - the Executive recently commissioned research that shows:
- They do lift people out of fuel poverty - research on the first 3 years of the programmes show that 7 out of 10 people were lifted out of fuel poverty as a result of participating; and
- They do reduce fuel bills - the Central Heating Programme achieved a reduction in annual fuel bills of approx. £561.
6.16 Fuel poverty has more than halved between 1996 and 2002, from 35% to 13% of households (738,000 to 286,000). To date over £300 million has been spent on the programmes in Scotland, providing free central heating systems to over 78,000 homes and insulating over 315,000 - over 13% of Scotland's housing stock. Together they are estimated to produce an annual reduction in carbon dioxide emissions of over 13,000 tonnes of carbon.
6.17 The Executive believes that its fuel poverty programmes provide the best targeted support in the UK. Central heating is available to anyone over the age of 60 who has no central heating or a system beyond reasonable repair, and from January 2007 to anyone over 60 on pension credit guarantee whose system is inefficient. The Warm Deal is available to people on benefits and those over 60 and from January 2007, to families with a disabled child. The Executive has committed a further £108 million for both programmes to 2008.
Case Study - Can microgeneration help the fuel poor? |
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Recent substantial rises in fuel prices are impacting the fuel poor. The Executive is keen to look at innovative solutions to fuel poverty and believe renewables could provide a more cost predictable alternative to mainstream power. A pilot scheme is currently underway in around 170 social housing schemes across Scotland from Orkney, Aberdeenshire to South Ayrshire and the Scottish Borders. The pilot will explore installation costs as well as running and maintenance costs and will canvas householders before and after the pilot to find out how user friendly the systems are and whether some systems are more suited to certain geographic areas, property or household types. Technologies involved will include heat pumps, automated biomass heaters, micro wind and solar water heaters. Data will be collected on hourly room temperatures in 2 locations in each home, energy bills before and after installation, NHER figures with modelled scenarios, and information on installation costs and on maintenance costs. |
6.18 The Executive is currently assessing the impact that microgeneration technologies have on fuel poverty through a £1 million pilot project. The project will last for a period of 2 years, and will test a number of different technologies in different house types across Scotland to determine their benefits as a potentially cheaper and more cost predictable alternative to existing fuels. Preliminary results are expected to emerge during summer 2007 with a final report in summer 2008. Both of these will help the Executive to determine the potential for including microgeneration more widely in its fuel poverty programmes.
Conclusion |
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As set out in this chapter we will: - Set energy efficiency targets for housing.
- Review the Home Energy Conservation Act targets.
- Consult on proposals to set targets for EcoHomes excellent by 2010.
- Consider options for financial and other incentives to encourage householders to improve the energy efficiency of their homes.
- Continue our commitment to end fuel poverty by 2016.
- Test the impact microgeneration technologies have on tackling fuel poverty.
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