Can Biomass Help Fight Fuel Poverty?

CROENERGY 2013, Zagreb

Keith Richards & Sophie Pearce

4th October 2013

keith.richards@tvenergy.org

Communities • Rural & urban

• Large & small

• Wealthy & poor

220 schools

Housing Associations

Estates

International, National & Local

Government

Industry/ commerce Academia

Community

Introduction

• Fuel poverty a part of poverty more generally, resulting in an .......

• Inability to afford fuel to keep warm or to keep cool

• Inability to afford fuel to cook

Northern hemisphere

• Emphasis on keeping warm (Canada and northern Europe in particular although Spain also cited)

• Many countries admit to an issue but .....

• Few countries have a firm definition or understanding of fuel poverty

Definitions

• The UK (historically)and Ireland have definitions of fuel poverty based on the amount of disposable income required to be spent on fuel to keep reasonably warm (more than 10%)

• In France “anyone who meets, in its housing, particular difficulties to have the necessary energy to meet its basic energy needs because of the inadequacy of its resources or of its housing conditions” is deemed to be in fuel poverty

European context

• A group of 5 European countries (UK, France, Italy, Belgium and Spain) are proposing a common definition and action plan

Fuel poverty in the UK (new definition)

• Households living below the ‘poverty line’

• Energy costs that are higher than typical values for their household type

Press reaction

The Department for Energy and Climate Change said a new definition that cut the official number of "fuel poor" families from 3.5m to 2.5m was being introduced to ensure help is "targeted at those who need it most". But critics at the Fuel Poverty Action Group said the Government had "masked an escalating cold homes crisis" by simply redefining the problem.

A new definition for the UK

• More worrying still .....

• DECC also dropped its legal commitment to eradicating fuel poverty where reasonably possible by 2016, but promised a new "framework" that will set goals to tackle the problem.

UK Government Fiscal Incentives

Green Deal

Direct payments

RHI FITs

ECO

Key players in tackling fuel poverty

• Local authorities

• Housing associations

• Private landlords

Utilities

Community groups

Urban/ country comparison

Primary research

Housing Solutions

‘Not trusted’ Retrofitting

Building new homes to high standards

Sovereign Housing Association

Warmer Homes campaign

No Green Deal Considering microgrid biomass

boiler

Retrofitting

ECO

Little way of knowing whether someone is in fuel

poverty

‘Decent homes standard’

Private landlord

Not many impacted by new definition

Green Deal of no use

Already utilised renewable energies

Renewable energy not a seller to tenants

Grants would incentivise

Reading Borough Council

Winter watch

Target those in need by letters and door knocking

Conclude (UK)

• Great scepticism over Government commitment to addressing fuel poverty

• New definition no help

• Finding out who is in real need a major problem

• Each organisation is taking individual actions to help alleviate fuel poverty

• Many energy efficiency actions .....

Hanham hall- Sovereign housing association

• Providing over 60 eco-homes

• Reduce fuel bills • Increase energy

efficiency

Challenge 100

• Tackle fuel poverty for 100 families, in 100 homes in 100 days

• Support and advice to become more energy efficient and therefore lower fuel costs

So ...... can biomass help fight fuel poverty?

Stroud

• Use existing solar PV to

• Lower bills • Greater efficiency

Brixton energy

• Make homes more efficient • Use solar panels to generate power and income • Retrofitting

Biomass/ Woodfuel

• Individual properties too risky to use woodfuel (CO worries, fire risk, health and safety, insurance etc)

• Micogrids and DE schemes in theory of great interest as is

• ESCos to run them • Potentially lower costs as

woodfuel price increases lower than fossil fuels

Energy Service Companies

“ESCo” Design, build & own plant Preventative maintenance

Heat (fuel) supply Extended warranty

Insurance

CAPITAL

OPERATING Customer

Operation Fuel ordering

Ash

RHI payment

Finance Provider(s)

Capital

Operating Charge + Fuel Charge*

Fuel supplier

Fuel Charge

Good news/ bad news

• E on stopping 60+ tariffs

Age UK Fixed 1 year – Our cheapest fixed price plan, specially designed for people aged 60 and over. Protect your prices for 12 months and receive an Age UK winter payment to help with your heating bills in the winter.

Keith Richards & Sophie Pearce 4th October 2013

keith.richards@tvenergy.org