Members' Green Deal Briefing - Regensw
Members’ Green Deal Briefing
Agenda 16.00: Welcome from Merlin Hyman, chief executive, Regen 16.15: How the Green Deal will work and where the finance will come from: Paul Davies, partner, PwC 16.30: How the market for Green Deal services will develop and the business opportunities created, Bill Hull, partner, TLT 16.45: The local authority approach to Green Deal and Bristol energy services company: Mareike Schmidt, strategic energy programme manager, Bristol City Council 17.00: Questions and discussion 17.30: Networking over drinks and canapés
Membership Highlights • Update on Regen projects • Forthcoming events – – – –
• • • • • •
Renewable Energy Marketplace Members’ events Renewable Solutions Renewable Futures and awards
Annual survey data collection and good news stories Company Directory and Project Maps Update contacts Membership Discount Scheme Members’ logo Membership Feedback
How the market for Green Deal Services will develop and the business opportunities created Bill Hull, Partner, TLT LLP
TLT LLP
How the Green Deal market will develop • The Government vision • The Risks/Challenges
• The Reality • What to do next
TLT LLP
The Government vision • Carbon reduction target • GD Homes target
• 65,000 new jobs • Government subsidy • Energy Company Obligation (£1.3 billion per annum) • Introductory offer (£200 million) • FIT Review & changes to the Building Regulations 2010 • Flexibility of business participation
TLT LLP
Changes to the Housing Retrofit Sector
Economic Activity
2011
2012
2013
CESP CERT Green Deal & ECO
Warm zones Warm front
RHI Domestic Tariffs
RHI Premium Payments
FiTs TLT LLP
Davey puts energy saving at heart of strategy " I'm hugely enthusiastic about energy efficiency. It's the cheapest way of cutting carbon – and cutting bills for consumers. It has to be right at the heart of what we do." Ed Davey, 8 February 2012
TLT LLP
The Risks/Challenges • Finance • Green Deal finance company/Green Investment Bank
• Local authority led pilots • Bureaucracy/complexity in participation • Consumer demand, engagement and consent
TLT LLP
Green Deal Oversight and Accreditation
TLT LLP
DECC Oversight Contractor Manages GD Code Manages Assessor & installer Register Manages Product Approval Manages and issues GD Mark
OFT
GREEN DEAL CODE OF PRACTICE
Consumer Credit Act
Accrediting Standards
GD Assessment Certification Bodies
BSI PAS installer standard
GD Installation Certification Bodies
Approved Products
Accredited Advisors
Professional Indemnity Insurance
Assessment TLT LLP
GD Assessment
Manage process, provision of customer services and guarantor
Accredited Advisors
+
Product Warranties (and service contracts?)
Measures
+
Guarantees of workmanship
Installation
=
Guarantee Green Deal during lifetime of repayments
Repayments
ENERGY COMPANY
UKAS
Accrediting Standards Assessor standards
CUSTOMER
GD Provider Licence
UKAS
The Reality and next steps • The Reality • What to do next
• • • • •
TLT LLP
Decide what role you want to play Analysis of the relevant regulations/accreditations Engage with customers and partners Identify a range of available pilots and participate Watch this space…
Thank you
TLT LLP
Local Authority Approach to Delivering the Green Deal
16th February, 2012 Mareike Schmidt Strategic Energy Programme Manager
Looking Ahead: Bristol in 2020 Bristol's City-Wide Emissions vs Reduction Targets 3000
2500
kt CO2
2000
}
1500
240,000 homes £1.5bn investment potential
1000
500
0 2005
2010 Organisations
2015 Homes
Transport
40% reduction target
2020
Overview of Investment Programme • 140m investment programme focusing on energy efficiency, renewable energy and micro-district heating • Plans for a municipal energy services company that would deliver this programme from a holistic point of view and raise additional finance • Economies of scale can be achieved by bundling energy efficiency and renewable energy projects • Current plans include insulating 6,000
European Local ENergy Assistance • ELENA technical assistance grant of £2.5m will provide us with additional staff resources and funding for preparing the programme • Can be spent on domestic & public sector measures • Requirement is to deliver at least 25 times the grant
• This means that we have to deliver at least £62.5m by the end of the 3-year ELENA period • Implementation means having signed the
Investment Potential of ELENA
Delivery Route 1: Provider • Requires coordination of delivery and securing finance • Requires LA to offer a complete package • Can help address local priorities • Has more of a direct connection with local supply chains
Ex: Birmingham City Council
Delivery Route 2: Partner • Partnership or consortium allow sharing of resources and risk • LA maintains some control on delivery • Requires careful planning to ensure compatible project partners with no conflicts of interest (eg: ensuring an element of local employment) • Reputational Risk?
Ex: Greater Manchester Authorities
Delivery Route 3: Enabler • Allows independence from Green Deal providers
• Enabling could occur at the consumer level, by engaging residents, or via enabling businesses • Less influence over Green Deal delivery • Could result in proportionally less energy efficiency improvements, depending on the resource input
Bristol Approach: Delivery Route 4? Provider / Active Partner?
Local Fair Trustworthy
Green Deals to meet the demand High Quality
Engaging Enabler
How can we help others invest? • Communities • Public Sector • Our own and private householders
• West of England?
Next Steps • Negotiate contract with EIB • Appoint staff • Engage our partners via a variety of communication routes/workshops • Review proposals and work programme on an ongoing basis • Prepare Bristol Green Deal Pilot • Start ELENA Programme!
Contact for businesses/ consultancies • Register with our e-procurement system • Jo Evans, [email protected], 0117 3525176
Agenda 16.00: Welcome from Merlin Hyman, chief executive, Regen 16.15: How the Green Deal will work and where the finance will come from: Paul Davies, partner, PwC 16.30: How the market for Green Deal services will develop and the business opportunities created, Bill Hull, partner, TLT 16.45: The local authority approach to Green Deal and Bristol energy services company: Mareike Schmidt, strategic energy programme manager, Bristol City Council 17.00: Questions and discussion 17.30: Networking over drinks and canapés
Membership Highlights • Update on Regen projects • Forthcoming events – – – –
• • • • • •
Renewable Energy Marketplace Members’ events Renewable Solutions Renewable Futures and awards
Annual survey data collection and good news stories Company Directory and Project Maps Update contacts Membership Discount Scheme Members’ logo Membership Feedback
How the market for Green Deal Services will develop and the business opportunities created Bill Hull, Partner, TLT LLP
TLT LLP
How the Green Deal market will develop • The Government vision • The Risks/Challenges
• The Reality • What to do next
TLT LLP
The Government vision • Carbon reduction target • GD Homes target
• 65,000 new jobs • Government subsidy • Energy Company Obligation (£1.3 billion per annum) • Introductory offer (£200 million) • FIT Review & changes to the Building Regulations 2010 • Flexibility of business participation
TLT LLP
Changes to the Housing Retrofit Sector
Economic Activity
2011
2012
2013
CESP CERT Green Deal & ECO
Warm zones Warm front
RHI Domestic Tariffs
RHI Premium Payments
FiTs TLT LLP
Davey puts energy saving at heart of strategy " I'm hugely enthusiastic about energy efficiency. It's the cheapest way of cutting carbon – and cutting bills for consumers. It has to be right at the heart of what we do." Ed Davey, 8 February 2012
TLT LLP
The Risks/Challenges • Finance • Green Deal finance company/Green Investment Bank
• Local authority led pilots • Bureaucracy/complexity in participation • Consumer demand, engagement and consent
TLT LLP
Green Deal Oversight and Accreditation
TLT LLP
DECC Oversight Contractor Manages GD Code Manages Assessor & installer Register Manages Product Approval Manages and issues GD Mark
OFT
GREEN DEAL CODE OF PRACTICE
Consumer Credit Act
Accrediting Standards
GD Assessment Certification Bodies
BSI PAS installer standard
GD Installation Certification Bodies
Approved Products
Accredited Advisors
Professional Indemnity Insurance
Assessment TLT LLP
GD Assessment
Manage process, provision of customer services and guarantor
Accredited Advisors
+
Product Warranties (and service contracts?)
Measures
+
Guarantees of workmanship
Installation
=
Guarantee Green Deal during lifetime of repayments
Repayments
ENERGY COMPANY
UKAS
Accrediting Standards Assessor standards
CUSTOMER
GD Provider Licence
UKAS
The Reality and next steps • The Reality • What to do next
• • • • •
TLT LLP
Decide what role you want to play Analysis of the relevant regulations/accreditations Engage with customers and partners Identify a range of available pilots and participate Watch this space…
Thank you
TLT LLP
Local Authority Approach to Delivering the Green Deal
16th February, 2012 Mareike Schmidt Strategic Energy Programme Manager
Looking Ahead: Bristol in 2020 Bristol's City-Wide Emissions vs Reduction Targets 3000
2500
kt CO2
2000
}
1500
240,000 homes £1.5bn investment potential
1000
500
0 2005
2010 Organisations
2015 Homes
Transport
40% reduction target
2020
Overview of Investment Programme • 140m investment programme focusing on energy efficiency, renewable energy and micro-district heating • Plans for a municipal energy services company that would deliver this programme from a holistic point of view and raise additional finance • Economies of scale can be achieved by bundling energy efficiency and renewable energy projects • Current plans include insulating 6,000
European Local ENergy Assistance • ELENA technical assistance grant of £2.5m will provide us with additional staff resources and funding for preparing the programme • Can be spent on domestic & public sector measures • Requirement is to deliver at least 25 times the grant
• This means that we have to deliver at least £62.5m by the end of the 3-year ELENA period • Implementation means having signed the
Investment Potential of ELENA
Delivery Route 1: Provider • Requires coordination of delivery and securing finance • Requires LA to offer a complete package • Can help address local priorities • Has more of a direct connection with local supply chains
Ex: Birmingham City Council
Delivery Route 2: Partner • Partnership or consortium allow sharing of resources and risk • LA maintains some control on delivery • Requires careful planning to ensure compatible project partners with no conflicts of interest (eg: ensuring an element of local employment) • Reputational Risk?
Ex: Greater Manchester Authorities
Delivery Route 3: Enabler • Allows independence from Green Deal providers
• Enabling could occur at the consumer level, by engaging residents, or via enabling businesses • Less influence over Green Deal delivery • Could result in proportionally less energy efficiency improvements, depending on the resource input
Bristol Approach: Delivery Route 4? Provider / Active Partner?
Local Fair Trustworthy
Green Deals to meet the demand High Quality
Engaging Enabler
How can we help others invest? • Communities • Public Sector • Our own and private householders
• West of England?
Next Steps • Negotiate contract with EIB • Appoint staff • Engage our partners via a variety of communication routes/workshops • Review proposals and work programme on an ongoing basis • Prepare Bristol Green Deal Pilot • Start ELENA Programme!
Contact for businesses/ consultancies • Register with our e-procurement system • Jo Evans, [email protected], 0117 3525176
