News article 15/01/2013

(Issued 15 January 2013) 
 

New energy standard proposals just published by the Scottish Government, which will contribute only 0.07%¹ to overall climate change targets whilst adding as much as £10,000² to the cost of what are already highly energy efficient new homes, pose a huge risk to jobs and desperately needed housing.

The clear warning from home building industry body Homes for Scotland (HFS) came as it emerged that an alternative solution it had developed offering the potential to help meet ambitious carbon reduction targets significantly more effectively and cost-efficiently than measures the Scottish Government is proposing is not being considered as part of the public consultation³.

The organisation (which represents companies providing 95% of new homes built for sale as well as a significant proportion of affordable housing), has consistently advised the Scottish Government over the last few years about the impact of proposals in the wake of the economic downturn which has seen housing production across both public and private sectors slump by more than 40%.⁴

Accounting for only 0.63% of Scotland’s total annual housing stock⁵, current standards mean that new build homes have already reduced their carbon emissions by 70% since 1990 levels⁶.

In order to target resources more effectively, the industry therefore developed an alternative approach to facilitate the upgrading of the country’s much less efficient existing homes at no cost to the taxpayer. However, this “Retrofit Reward” option, which the HFS describes as offering “a bigger bang per buck” does not appear in the energy standards review.

Voicing his frustration at the omission and apparent failure of the Scottish Government to heed the industry’s concerns on the wider economic and long-term social implications of the proposals, HFS Chief Executive Philip Hogg said:

“Whilst the consultation suggests a 45% carbon reduction rather than the original 60% set back in 2007, this is a token dispensation resulting in proposals that threaten to cripple our industry and further deepen Scotland’s housing crisis at a time when 160,000⁷ people are on waiting lists.

“Whether you consider the provision of warm, sustainable homes, employment, skills and training, tackling fuel poverty, long-term social benefits or economic contribution, home building supports a wide range of policy areas. All are of fundamental importance to Scotland’s social, environmental and economic well-being yet all face being adversely affected should these proposals be implemented as housing output, including affordable housing, will only fall further.

“And for what outcome? A new build housing contribution of only 0.07% to the Scottish Government’s overall climate change target. Such negligible benefit simply does not justify the cost or wider risk. Indeed, the Scottish Government’s own analysis² shows that the benefit does not justify the cost and yet the proposals are still proceeding.

“Further, the whole consultation appears contradictory and ideologically driven. Whilst on the one hand, the reconvening of the expert Sullivan Panel, which set the original targets back in 2007, acknowledges the dramatically different economic circumstances we are all now operating in, an implementation timeline of January 2014 leaves little opportunity for its findings to be fully taken into account. We therefore reiterate our call that no changes be made until this has been done.”

Ends

Notes:

1. Extrapolated from the Scottish Government’s “Low Carbon Scotland: Meeting the Emissions Reductions Targets 2010-2022” (June 2011)
http://www.scotland.gov.uk/Resource/Doc/346760/0115345.pdf

2. Scottish Government: “Report on assessment of the impact of potential improvements to energy standards for new domestic buildings within building regulations” (June 2012)
http://www.scotland.gov.uk/Resource/0041/00412409.pdf

3. Scottish Government: “Lower carbon buildings - a review of energy standards and guidance within Scottish building regulations” (14 January 2013)
http://www.scotland.gov.uk/Publications/2013/01/4018

4. Source: Scottish Government Housing Completion Statistics

5. Extrapolated from Housing Statistics for Scotland - Key Information and Summary Tables
http://www.scotland.gov.uk/Topics/Statistics/Browse/Housing-Regeneration/HSfS/KeyInfoTables

6. Homes that don’t cost the earth – a consultation on Scotland’s Sustainable Housing Strategy:
http://www.scotland.gov.uk/Publications/2012/06/8390/7

7. Source: Shelter Scotland website