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Where’s the demand?
Presentation to Energy Policy in 2012
West of England Climate Challenge
19 January 2012

Simon Roberts OBE
Chief Executive
Centre for Sustainable Energy
New tools to deliver energy demand reduction

•   Green Deal and the Energy Company Obligation
•   Smart meters
•   CRC Energy Efficiency Scheme
•   Recession
The Green Deal in a nutshell…
You install energy efficiency improvements at no
upfront cost as the cost is recovered through your
electricity bill

Domestic and non-domestic properties
How? The ‘Golden Rule’

Your overall energy bill should not go up as the
monthly bill savings from installing the measure
should be greater than the repayment on the loan
taken out to pay for installing the measure
Looks a bit like this…
Not personal debt….
 The charge is tied to the
 electricity meter – so you
 only pay if you’re
 benefitting from the
 measures, and not if you
 move out.
 And it doesn’t count as
 personal debt.
The Green Deal process


Assessment   Finance          Installation   Repayments
                                             & Follow up



              Accreditation
The Energy Company Obligation
• A major part – and key driver – of the Green Deal
• Helping complex measures meet the ‘Golden Rule’ for
  domestic properties
• Providing affordable warmth for vulnerable customers
The demand reduction
toolbox will have more and
better tools.
But where’s the demand for
them to be used?
Key issues for demand creation
• Are we framing the question right?
• Are we talking to people in the right way?
• Are we setting the right examples?
• Are we too driven by the conception of individuals as consumers
  with varying levels of buying power, reliant on business to sell to
  them?
1. Which is the better
   ‘framing’ question?
(a) “What are you doing about
    cutting carbon emissions?”
(b) “How can we best make our
    contribution to a low carbon
    future round here?”
2. Which is more motivating?
(a) Save £400 on your fuel bills
(b) Stop wasting £400 on your
    fuel bills
(c) Stop giving £400 to British
    Gas and keep it for yourself
3. Which does most to make
   low carbon ‘normal’ and
   ‘what we do round here’?

(a) exemplary ‘super homes’
(b) exemplary ‘normal homes’
4. How do we re-invigorate the
   population as active citizens with
   influence, rather than mere
   consumers with varying levels of
   buying power or passive clients of
   state-run services?
Thank you

Simon Roberts
simon.roberts@cse.org.uk
www.cse.org.uk

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Wecc energy policy in 2012 workshop

  • 1. Where’s the demand? Presentation to Energy Policy in 2012 West of England Climate Challenge 19 January 2012 Simon Roberts OBE Chief Executive Centre for Sustainable Energy
  • 2. New tools to deliver energy demand reduction • Green Deal and the Energy Company Obligation • Smart meters • CRC Energy Efficiency Scheme • Recession
  • 3. The Green Deal in a nutshell… You install energy efficiency improvements at no upfront cost as the cost is recovered through your electricity bill Domestic and non-domestic properties
  • 4. How? The ‘Golden Rule’ Your overall energy bill should not go up as the monthly bill savings from installing the measure should be greater than the repayment on the loan taken out to pay for installing the measure
  • 5. Looks a bit like this…
  • 6. Not personal debt…. The charge is tied to the electricity meter – so you only pay if you’re benefitting from the measures, and not if you move out. And it doesn’t count as personal debt.
  • 7. The Green Deal process Assessment Finance Installation Repayments & Follow up Accreditation
  • 8. The Energy Company Obligation • A major part – and key driver – of the Green Deal • Helping complex measures meet the ‘Golden Rule’ for domestic properties • Providing affordable warmth for vulnerable customers
  • 9.
  • 10. The demand reduction toolbox will have more and better tools. But where’s the demand for them to be used?
  • 11. Key issues for demand creation • Are we framing the question right? • Are we talking to people in the right way? • Are we setting the right examples? • Are we too driven by the conception of individuals as consumers with varying levels of buying power, reliant on business to sell to them?
  • 12. 1. Which is the better ‘framing’ question? (a) “What are you doing about cutting carbon emissions?” (b) “How can we best make our contribution to a low carbon future round here?”
  • 13. 2. Which is more motivating? (a) Save £400 on your fuel bills (b) Stop wasting £400 on your fuel bills (c) Stop giving £400 to British Gas and keep it for yourself
  • 14. 3. Which does most to make low carbon ‘normal’ and ‘what we do round here’? (a) exemplary ‘super homes’ (b) exemplary ‘normal homes’
  • 15. 4. How do we re-invigorate the population as active citizens with influence, rather than mere consumers with varying levels of buying power or passive clients of state-run services?

Editor's Notes

  1. George Osbourne: “We’re not going to save the planet by putting our country out of business”
  2. The potential flaw in ‘localism’Usually do this one the other way round, but now notion of community involvement so ubiquitous it seems important to So need technical input and a range of other support to enable communities to identify own strengths and weaknessesBridging is inclusive, bonding exclusive’. but some community driven efforts derive their sense of self by defining themselves as ‘other’ or anti-establishment.Regulatory inclusion – eg CESP
  3. Community approach – appeals not just to individuals as consumers but invokes their mutual ties and relationships