The document discusses Stoke-on-Trent's plans to deliver the Green Deal and Energy Company Obligation (ECO) programs. It notes that nearly half of private sector homes in Stoke-on-Trent fail to meet decent home standards and over 25,000 have solid walls in need of insulation. The city aims to offer solutions to all 112,000 properties by taking an area-based approach and maximizing ECO funding through partnerships. The local authority will de-risk investment by coordinating community engagement, planning, and negotiating high levels of ECO funding from multiple sources to support large-scale home retrofitting.

1. Green Deal in Stoke-on-Trent
Iain Podmore
Housing Enabling Team
Housing Services
Tel: 01782 235537
Email: Iain.podmore@stoke.gov.uk
stoke.gov.uk

2. Scale of the Challenge
The Challenge
Government commitment to reduce emissions by 80% by 2050
-85% of existing houses will be standing in 2050
Climate Change Committee target for 2022: 90% of all lofts and cavity walls insulated
10.1m additional lofts
7.5m additional cavity walls insulated
13m boilers to be replaced with efficient boilers
The Solution
The Introduction of Green Deal – which will allow consumers and businesses to make energy
efficiency improvements to their properties without upfront costs
A new Energy Company Obligation (ECO) to replace the existing Carbon Emissions Reduction
Target (CERT) and Community Energy Saving Programme (CESP)

3. Green Deal
A regulatory framework enabling companies to offer householders and
businesses':
accredited advice and recommendations
home energy efficiency improvements at no up-front cost
reassurance that work is of a high standard
theability to pay via electricity bills over the long term (e.g. 25 years),
making use of the money saved on fuel
only to pay whilst they remain in that property
backed up by a new Energy Company Obligation
The Green Deal will include owner-occupiers, the private and social rented
sectors and the commercial sector.

4. Energy Company Obligation post 2012
It is estimated the cost of ECO over the next three years will be in the region of £1.3bn
Carbon Saving Target (75% of ECO cost)
Tenure: All tenures
Measures: External Wall Insulation (EWI). Other measure may be included if part of EWI package
Target: 0.5 MtCO2/yr by 2015
Assist: Target will assist an est. 515,000 homes with EWI over 3 years and 1.5 million by 2022
Eligibility: Property has solid wall
Affordable Warmth Target (25% of ECO cost)
Tenure: Private Sector only
Target: £3.4bn reduction in notional lifetime costs of heating for low income and vulnerable
households by 2015
Assist: Target will assist an est. 325,000 households by end of March 2015
Eligibility: Proposing similar eligibility to CERT Super Priority Group

5. Stoke-on-Trent Challenge
The Challenge:
All 19,300 social homes meet Decent Homes Standard (DHS).
In comparison, nearly half of all private sector homes fail the DHS
There are c.25,000 pre-1919 solid wall properties in the private sector
1,050 flats across (17) high and (26) low rise blocks in need of improvement
Fuel poverty has risen sharply over the last 4 years
To offer a solution to all c.112,000 properties in Stoke-on-Trent
The Solution:
Informed by lessons learned from previous programmes
Informed by local intelligence on housing stock & population data
A balance between social obligations and corporative objectives
Has to be something that residents/ occupiers want

6. Profile of Energy Investment
Progress:
*estimates
DECC have released figures which shows that in terms of % of housing stock insulated, the City is:
the best performing authority for installing insulation measures in the West Midlands Region.
in the top 11% best-performing LA areas in the UK for installing energy-saving measures.

7. Our Partners

8. Lessons Learned from CERT and CESP
 Energy company-managed: typically, these schemes are funded, project managed and delivered
by the energy company involved, often using the company’s own energy services businesses to
carry out installation;
 Client-managed: direct funding relationships, whereby the schemes are managed by either the
relevant local authority or the HA, with the energy company funding the CESP measures and
overseeing the carbon accounting, quality assurance and monitoring;
 Area based initiatives have proved successful by providing competitive and transparent
business models accessing thousands of homes. It has to be underpinned by a solid network of
local providers. Voluntary agencies assist in reaching the most difficult to reach households.
 Appropriate resourcing, skills and knowledge. The scale of delivery would not have been
achieved with out a dedicated local team. A sufficiently resourced team will be required to achieve
an area based whole house programme of improvements across the city over the next 25 years.
 The local authority removes risk for investors. The local authority has had responsibility for a
number of roles; planning; customer engagement and management; tenant/ householder sign up/
acceptance; financial administration; access to local market intelligence; all of which could be
chargeable or costly for any outside organisation tasked with local delivery.

9. Local Intelligence
Mapping

10. Area Plans
 Identify key “enabling” areas - Carbon
Rich Income Poor communities
 Vulnerable fuel-poor households may:
 be debt averse
 represent a credit risk to lenders
 Thermal comfort element means
wont re-pay savings.
 Identify all other Home Improvement
Works to be carried out (e.g. kitchens,
bathrooms, dividing walls etc)
 Work with health services to ensure all
residents receive support and
assistance to stay warm in winter
 Amalgamate Green Deal Plan and ECO
funding to create district heating
opportunities

11. Local Intelligence
Mapping

12. Local Intelligence
Mapping

13. Local GD & ECO Policy Objectives
1. Has to address fuel poverty and climate change agenda:
Reduce fuel poverty and housing related CO2 emissions
Increase the security of energy supply
To future proof properties by getting them ready for district heating connection
Improve the energy performance of homes with particular emphasis on hard to treat homes
Delivery model has to sustain itself financially – possibility of charging for provision of some services
2. Opportunity to link into home improvement; public health; & economic growth agenda’s?
Assistlocal businesses to be ready/ equipped for emerging low carbon markets
Generate and maintain jobs and apprenticeships
Increases levels of stock meeting decency standards in the private sector
Reduce health and financial inequalities
3. The objectives have to be attractive enough to bring in the private sector investment!
Reduce risk for investors – planning, procurement, legal, supply chain?
To provide certainty on level of take up and number of measures to be installed

14. Delivering Green Deal and ECO
 Green Deal, without significant support from ECO, will have a limited impact in Stoke-on-Trent
 Policy focus to secure and maximise ECO investment in the City
 Maintain an area based approach to delivery (Green Deal and ECO brokerage)
 Cost effective resource strategy
 Strong Leadership and Effective Community Partnerships
 Well organised and well resourced supply chain
 A trusted delivery organisation with a clear offer that is relevant to local need
 An understanding of customer demand (and potential barriers)
 Framework Agreement to cover all Green Deal and ECO eligible works
 Role of local authority to de-risk investment by creating the conditions on the ground that
make it attractive for partners to invest in the City e.g. community engagement, planning, data
etc
 Building upon success of North Staffs Warm Zone, the local authority will negotiate high levels of
ECO funding and identify all other programmes/ funding to support retrofit:
 Energy Company Obligation; Department of Health; Home Equity or Home Improvement
loans; Renewable Heat Incentive and Feed in Tariff income; Green Deal Finance
 Local authority will work with CORE to ensure that the local authority and the supply chain has all
necessary and correct qualifications and accreditations to deliver Green Deal and ECO.