Presentation given by Federation of Master Builders Head of training Hayley Fry to Be2camp seminar on The Green Deal, in London on 17 November 2011.

1. The voice of construction SMEs
The Green Deal for Small Firms
Thursday 17 November 2011
Hayley Fry
Head of Training
Federation of Master Builders

2. The voice of construction SMEs
The Green Deal for Small Firms
• The Green Revolution
• The FLASH experience
• FMB’s Social Networks

3. The voice of construction SMEs
The Green Revolution
• UK legal commitment to cut carbon emissions by 80%
• 85% of existing homes will still be standing in 2050
• 26 million homes need to be retrofitted + 2 million non
domestic buildings
• Scale is unprecedented both in terms of challenges and
opportunities
• Potential to create new jobs and stimulate economy

4. The voice of construction SMEs
Retrofit Market
FMB research commissioned from
Oxford University
New market for construction SMEs -
£3.5 billion to £6.5 billion per annum
But.........
• Absence of strong consumer demand
• Absence of a clear delivery plan
• Absence of knowledge and skills

5. The voice of construction SMEs
The Green Deal – Customer Journey
• ADVICE – All households/smaller
businesses entitled to an energy
assessment from a qualified
assessor. An enhanced EPC
• FINANCE – a finance mechanism
that will enable the cost of installed
energy efficiency measures to be
paid back via the customer’s energy
bill

6. The voice of construction SMEs
The Green Deal – Customer Journey
• INSTALLATION – only accredited
installers allowed to install
measures. Designed to give
consumer confidence
• REPAYMENTS – a charge will be
added to the energy meter at the
property. Repayment obligation will
stay with the property and will
transfer to any new occupier

7. The voice of construction SMEs
The Green Deal - Legislative Timetable
• Energy Bill receives Royal
Assent - autumn 2011
• Formal consultation on
secondary legislation - autumn
2011
• Secondary legislation laid before
Parliament - early 2012
• Detailed industry guidance -
spring 2012
• Green Deal launched in October
2012

8. The voice of construction SMEs
Green Deal Concerns
• Householders won’t find it
sufficiently attractive
• Australian experience – need for
accredited builders
• High street retailers/energy
companies dominating the market
• Only Green Deal Providers will
have direct link with the client

9. The voice of construction SMEs
Green Deal relationships.............
Key relationships
PROVIDER
INSTALLER
CUSTOMER
ASSESSOR

10. The voice of construction SMEs
Installation: Business ModelsEPC+MeasureAssessment
Customer
SME Installer
(locally sub-
contracted to a
GD provider)
One-Stop
GD
Provider
Productassessment/quoteand
scheduleofworks
Installation
Information
to:
Energy Comp
Finco
Installer
Oversight
Body
Information
to:
One-stop GD
Provider
SME Installer
(acts
independently
selling service,
obtaining
finance through
third party)

11. The voice of construction SMEs
Buildings Cycle

12. The voice of construction SMEs
Involving Small Firms: Skills
• Existing skills approach is ‘trade based ‘and not ‘outcome
based’
• Numerous skill and industry organisations
• No comprehensive, coherent system of qualifications
• No train the trainers system in place
• Lack of available investment funds
• No accreditation of builders !!

13. The voice of construction SMEs
FMB Rising to the Challenge
Working Across the Construction Sector
• Meetings with other Trade Associations
Energy Bill
• Lobbying MPs to set clearer targets and consider the issue of
demand
FMB Working with Government:
• Capacity and Innovation Forum
• access to the market for SMEs
• Accreditation and Skills Forum
• Code of Practice for installers
• PAS 2030

14. The voice of construction SMEs
FMB Options for the Future
• Springboard to drive professionalism and standards
• A qualification for general builders – a first!
• Competent Persons Scheme application
• Talks with GD Providers
• Training for experienced workers – additional knowledge
• Ongoing CPD requirements

15. The voice of construction SMEs
So to conclude ...................
• Green Deal offers opportunities and threats to
construction SMEs
• Incentives will be needed to create demand for Green Deal
• Training required in the whole construction sector
• Threat of more regulation – consequential building works
• FMB needs to reposition itself and take the lead in driving
up standards

16. The voice of construction SMEs
The FLASH experience
• FMB = Small builders ‘FLASH’ network
• Partnership with Institute for Sustainability
• Business case for low carbon
• 100+ small firms registered in London
• Forthcoming Events:
• 7 December: Introduction to Retrofit (focus on traditional buildings)
• 13 December: Essentials of Renewable Energy
• 20 December: FITs

17. The voice of construction SMEs
The FLASH experience!

18. The voice of construction SMEs
The Social Media Challenge: FMB’s response
• Democratic Governance Structure requires member engagement
• Traditional communication methods
• FMB Social Networking site;
• Groups
• Twitter
• @Hayley1961
• @fmbuilders

19. The voice of construction SMEs
The FLASH experience!

20. The voice of construction SMEs

21. The voice of construction SMEs
Thank you ...................
For more information contact:
Hayley Fry
Head of Training
Federation of Master Builders
14-15 Great James Street
London WC1N 3DP
E: hayleyfry@fmb.org.uk
T: 020 7092 3875
W: www.fmb.org.uk