Energy Efficient Scotland programme: analysis of delivery mechanism

All owner-occupied homes to reach EPC C by 2040.

Owner occupiers will not be compelled to improve energy efficiency but will be initially be encouraged to make the most of programmes and advice, without sufficient progress, mandatory action could be considered post 2030.

Many will be engaged through local authority area based schemes but if sufficient progress has not been made by 2030, action will become mandatory.

Private rented homes to be EPC E by 2022, EPC D by 2025 and EPC C by 2030.

New regulations will require landlords to bring units up to EPC E by 31^st March 2022 or when changing tenancy after 1^st April 2020.

Units must then be improved to EPC D by 31^st March 2025 or when changing tenancy after 1^st April 2022.

Maximise the number of social rented homes achieving EPC B by 2032.

No social housing should be let after 2025 if energy efficiency is below EPC D.

All homes with households in fuel poverty to reach EPC C by 2030 and EPC B by 2040.

Continue to target funding at fuel poor households throughout the programme.

Assessed and improved to the extent that is technically feasible and cost effective by 2040

Consultation is ongoing to set out more detailed proposals for this sector by 2020 and introduce regulation by 2021^[9].

Move to a benchmarking system for assessing energy efficiency and build on the current Climate Change Act by extending regulation by 2040 to incorporate all non-domestic buildings.

This will be phased based on building size, starting with the largest.

Under consultation.

Establish a baseline of energy efficiency in public sector buildings and continue to support the public sector to become the vanguard of energy efficiency and reach its target ahead of the 2040 deadline.

Under consultation.

Whilst the focus is on building efficiency, important work is required to introduce initiatives and incentives to make industrial operations more energy efficient and decarbonised.

A first step for this is to identify the amount of energy consumed and carbon emitted by industrial processes to benchmark performance of industrial operations.

Customer Protection

Establish trust in EES. Ensure products and services are of the highest quality. Protect customers, boost confidence and attract investment.

• Instil robust quality assurance requirements at every stage of the delivery process.
• Create an integrated, accessible and effective quality assurance framework that will be applicable under all circumstances.
• Customer protection focussing on quality, customer care, competence skills, training and health and safety.
• Individuals and businesses carrying out work under programme umbrella to be appropriately trained and adhere to Programme Code of Conduct and remove individuals or businesses who do not adhere to code of conduct.
• Programme finance to only be available when programme approved individuals or businesses are used.
• Programme standards to be robustly enforced.
• A simple and effective redress system for customers if things go wrong.

Skills and Supply Chain

Create a substantial Scottish market and supply chain for energy efficiency services and technologies. For every £100m spent, support 1,200 full time jobs (or equivalent) across the Scottish economy. Ensure supply chain can capture new opportunities. Ensure opportunities are available to SMEs and larger businesses. Ensure the quality of work carried out is of a high standard.

• Provide support and actively promote market opportunities.
• Increase activity in the skills and supply chain during the transition period.
• Keep supply chain updated on work and skills training opportunities.
• Provide clarity on quality assurance and consumer standards that are expected from the supply chain.
• Help the industry to overcome any inefficiencies to ensure participation is financially viable.
• Promote opportunities that are available to SMEs.

Monitoring

Ensure the Programme is on track to meet its visions, aims and objectives.

Monitor and measure the outcomes to capture the impact on people and communities.

Ensure the most accurate possible baseline for both the domestic and non-domestic building stock.

Provide clarity, form the start, on the information which will determine Programme success.

• Monitor and evaluate the Programme throughout its lifetime.
• Adapt and flex the programme where necessary.
• Publish a monitoring and evaluation framework that is ready for implementation at the end of the transition period, covering the domestic and non-domestic sectors, and outcome indicators.
• Engage with stakeholder on framework development.
• Present a regular, multi-year review and Programme evaluation aligned with key policy areas including Fuel Poverty and the Climate Change Plan.
• Review available data, identify gaps and work with relevant bodies to collect good quality data.
• Publish a building stock baseline by 2020 to monitor progress against.

Legislation

Review existing legislation and consider what new or amended duties are required to support the programme.

Support quality assurance standards through regulation.

• Fuel Poverty Bill1 will set out a new statutory fuel poverty target.
• Adapt and flex the programme where necessary.
• Develop, if necessary, a wider EES Bill to be a vehicle for further legislative change.
• Consider establishing new or amended powers for ministers to set long-term standards with associated powers for assessment, monitoring, review and enforcement.
• Explore a statutory duty for local authorities to develop LHEES.
• Consider creating new powers and duties to regulate district heating, including licensing and consent.