The absence of a programme to decarbonise the UKs private housing stock, opened up by the government’s abandonment of the Green Homes Grant (GHG) scheme, threatens to undermine the energy efficiency sector’s contribution to cutting emissions, Kwasi Kwarteng has been warned.
On the day after the government committed to a stiffer 2035 target for cutting emissions, the chair of the House of Commons environment audit committee has sent a stiff letter to the secretary of state for business and energy about the axing of the troubled voucher scheme.
In his letter, Phillip Dunne writes that the government’s move creates a “worrying gap” in support for owner occupiers or private landlords wishing to retrofit their properties, severely curtailing the activities of SME firms that specialise in energy efficiency and heat decarbonisation projects for private housing.
“Without a well-functioning, multiannual programme of measures to encourage owner occupiers and private landlords into retrofitting their properties, it is difficult to see how these sectors can make the energy efficiency contributions necessary to realise the government’s net zero ambitions.”
The letter also warns that the government’s decision to continue funding the local authority delivery element of the GHG scheme, widely recognised to have performed better than the voucher plank of the programme, is likely to result in a “postcode lottery” because some councils will be better placed to bid for funds.
Dunne also refutes the government’s claim that the delivery of the scheme, which kicked off in September, had been hit by the onset of fresh waves of the coronavirus pandemic during the autumn and winter.
He writes that during its inquiry into the GHG, which included a survey of more than 500 householders, the environment audit committee had found no evidence that Covid restrictions had had an impact on demand for, or delivery of, the programme.
Dunne writes that it is highly regrettable that issues with the scheme’s delivery negated the potential economic benefits of the voucher scheme, which was partially intended as a stimulus to promote recovery from the economic downturn, triggered by the pandemic.
In his letter, Dunne urges the government to ensure that a replacement scheme for the GHG is delivered by the comprehensive spending review, which the Treasury is due to publish later this year.
He said: “We have been clear all along: the Green Homes Grant was a good initiative but was poorly implemented.
“This government has shown its willingness to be an environmental world leader, but I fear its green credentials risk being undermined by poor policy decisions. Actions speak louder than words, and simply abandoning a critically important decarbonisation scheme when cracks appeared sets a poor example in the year we aim to show climate leadership.
“Cutting emissions starts at home. The homes we live in contribute a huge amount of the UK’s greenhouse gas emissions, so undertaking effective retrofits and stemming those emissions is key to reaching net zero by 2050. Businesses need to get behind low-carbon housing and have the confidence to upskill employees. Householders need to get behind low-carbon housing and understand how energy efficiency can be enhanced and heating costs cut. Above all, the government must get behind low-carbon housing and comprehend the complexity of decarbonising our housing stock, committing to initiatives essential to make net zero Britain a reality.”