The Community Energy Saving Programme. Reducing fuel poverty in our most vulnerable communities

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1 The Community Energy Saving Programme Reducing fuel poverty in our most vulnerable communities

2 Scaling up support for vulnerable communities The Community Energy Saving Programme (CESP) targets households in areas of low income, across Great Britain, to help improve energy efficiency standards, lower fuel bills and cut CO 2 emissions. As part of this initiative, British Gas is investing 125 million in 95 projects to help reduce fuel poverty in some of these communities. In our CESP schemes it is possible to see community regeneration, community pride and passion in our stakeholders. A key part of our strategy is to engage the community, and ensure we meet their needs in their houses, within their communities. We successfully engage through our community teams with community leaders who play a key role in the roll out of CESP schemes, ensuring the regeneration reaches across the community, and generates a sense of local pride in the communities that have benefited from CESP funding. CESP schemes specifically target hard-to-treat properties and encourage energy suppliers to provide whole house improvements. These schemes rejuvenate communities on a house by house, street by street basis. The programme is universal for those who live in qualifying areas and British Gas has successfully adopted strategies to ensure they re true community projects by including all types of housing and tenants in its schemes. As a result we re seeing community regeneration, community pride and real passion in the people taking part. A key part of our strategy is to engage with the community to ensure we meet their specific housing needs. We also encourage a step change in customers relationship with energy. At the heart of all our schemes is a focus on behaviour change which we achieve by educating consumers to use energy more efficiently. This delivers maximum benefits to all customers in the form of lower fuel bills. Because most of our schemes involve external solid wall insulation they radically improve the look of the local areas involved. They can also improve the health of individuals by keeping them warmer and by making sure that those with respiratory illnesses don t have to live in cold and damp conditions. We re proud to have become experts in this field. And we believe our involvement in the programme will leave a legacy of revitalised, rejuvenated and renovated properties in these deprived areas regenerating communities and reducing fuel poverty in the most difficult-to-treat households. Jones House in Walsall was one of the first projects to benefit from CESP s new external wall insulation and brand new district gas heating.

3 Our improvements cover key areas Reducing heat loss through solid wall insulation and by introducing greater levels of loft insulation and draught-proofing in buildings ranging from individual houses to tower blocks. Introducing efficient heating by replacing inefficient existing heating systems with new district or individual heating systems appropriate for the area. These systems can include anything from the installation of a gas supply, or the introduction of ground and air source heat pumps, to A-rated or biomass boilers. Making better use of energy once a new system has been introduced. We make sure that occupants know how to use it efficiently and understand how to manage energy usage to maximise comfort and avoid fuel poverty. Regenerating local communities by making sure that local people are fully consulted right from the outset. We also actively encourage the local community to take pride in the improvements to their homes and in their local area. 2

4 Taking a direct approach We have, from the beginning, adopted a proactive approach to the CESP scheme. Firstly we identify communities that may benefit from our network of community-based teams who work with local authorities in all areas of the country. We work with Local Housing Associations and residential social landlords and encourage their input into specific projects in their area with the aim of pulling together large community schemes. But, most importantly, we never start any project without full consultation with the local communities involved. We run open days at places like local village halls where everyone in the community can come and see what s being proposed and how it will affect them. These open days provide the opportunity for discussion and for local people to make suggestions or voice any concerns. We also have teams calling on homes in the area to explain the scheme and answer questions. We write to everyone likely to be involved with detailed information on the scheme. And we produce posters and leaflets for display in surgeries, libraries and local community centres. Once the scheme has been agreed and is underway, we make sure those involved are kept informed of progress throughout the project. We often find a scheme generates additional local interest as it progresses and that even more people sign up to take part. And when the work has been completed we send our experts round to explain how householders can get the best from the new improvements and also change their energy usage behaviour to help lower their energy bills.

5 Our community teams working with local residents, explaining options available to them in the Stafford CESP scheme. Tenants choosing colours and options after signing up to receive new external wall insulation. In my time at British Gas, if I can bring houses back to life, up to the standards we want to see; then I ll feel that British Gas has made a contribution in today s Britain that we ll all look back on proudly. Phil Bentley, Managing Director of British Gas 4

6 Using whole house measures to combat fuel poverty We like to think of ourselves as a one-stop-shop that gives vulnerable communities access to a whole range of measures to help overcome fuel poverty. 1 It s our expertise in installing the different types of technologies needed to renovate properties in these communities that has made us experts in this field. On average we spend around 3,000 per household on energy efficiency improvements, but this can be over 7,000 if external wall insulation is installed *. The diagram here indicates some of the key measures we introduce. District heating This provides a single source of heating for more than one dwelling. It can involve anything from the installation of a gas supply, the introduction of ground source heat pumps, multiple air source heat pumps or communal biomass boilers. Individual heating This can mean the installation of anything from A-rated boilers, through to air source heat pumps or solar PV panels to generate electricity for an individual home.

7 1 Solar PV panels These generate electricity from the sun during daylight hours. They help heat the home and can also provide income through the government s Feed-in Tariff. 2 2 Loft insulation and draught-proofing Whatever improvements we make to heating systems and exterior insulation, it s still vitally important to make sure basics like draught-proofing and loft insulation are maximised to reduce heat loss Combi boiler These provide an efficient and practical way to heat the home via a central heating system and provide on demand hot water. Solid wall insulation This dramatically reduces heat loss from solid wall buildings, keeping them warm and free from damp. We re a leading provider of external wall insulation and internal insulation, having invested in our own products and with the capability to insulate everything from individual properties to tower blocks Air source heat pump These absorb heat from the outside air. This heat can then be used to heat radiators, underfloor heating systems, or warm air convectors and hot water in the home. Community heating 6 6 This provides heating solutions to a number of properties within a community, and is a very efficient method of heating those properties. District heating is clean, efficient and cost-effective. British Gas is able to provide flexible options from gas district heating, to new and innovative solutions like biomass boilers or air source heat pumps. * 6

8 Case study Burnley Beating failed insulation and local fuel poverty This is our most ambitious project so far covering three distinct neighbourhoods in one of the most deprived areas in the North-West of England. It s an on going 12m scheme involving the installation of solid wall insulation to 1,000 properties, plus the installation of 400 new heating systems as well as draught-proofing and loft insulation. With our experience and resources, British Gas is perfectly placed to carry out such a complex project. Work started in January 2011 and should be completed by April Before: This Hawksley property in Burnley was built in the 1940s from scrap steel, the provision of new external wall insulation has transformed this home. A real feel-good factor for the local community Making fuel more affordable It s estimated that residents will see a 40% reduction in their fuel bills following the installation of solid wall insulation, new heating systems, loft insulation and draught-proofing *. Also, 263,000 tonnes of CO 2 emissions will be saved by the programme over the next 25 years. Improving community well-being Technically challenging, this project involved removing a failed cavity wall installation which was causing severe damp and condensation issues. By installing solid wall insulation we resolved the damp problems which removed various organic compounds as a result of moulds and damp in the properties which can cause allergies or breathing difficulties for those with asthma.

9 Project spend: 12,000,000 CO 2 savings: 263,000 tonnes Savings per year: 450,000 ** 25 year saving: 11,250,000 ** AfTer: As can be seen the provision of the external wall insulation has transformed this home, and provided a new lease of life for the property. Building community pride The renovation of property, and regeneration of the area, has led to greatly increased pride within the local community. People have got involved in the project, joining various community groups and we are seeing greater community unity. Improving the look of the area The work has vastly improved the look of the three neighbourhoods as no major works had been carried out on the outside of many of these properties for over 40 years. New plants and trees have also been added to further enhance the improved look of the area. Creating work The project generated a great deal of work in the locality and we employed many local tradesmen. I am pleased to hear how many people will benefit in Burnley from this fantastic British Gas scheme. I understand that it is one of the biggest schemes in the country and I have spoken to people who have already had this work done. They are all extremely pleased with the scheme, not only with the way their homes look but also with money they are now saving in energy bills and I personally am delighted that once again the coalition government is investing in Burnley. Gordon Birtwistle, Member of Parliament for Burnley * ** 8

10 Case study Dundee Improving accommodation and the city skyline This was a one year project which ran between September 2011 and July 2012 with an overall spend of over 3.7 million. It involved installing external wall insulation to four tower blocks for 360 households as well as the supply of gas district heating for all four towers. These blocks had previously used electric storage heating which was both expensive and inefficient. Our task was to find a more efficient way to heat these properties as well as a practical means of reducing heat loss from these buildings. How it s made a difference for the community Making fuel poverty a thing of the past After the installation of solid wall insulation and new gas heating systems we believe residents will see a 40% reduction in their fuel bills *. What s more, 76,000 tonnes of CO 2 emissions will be saved by the programme over the next 25 years. Giving the city a great new look Because this project involved the renovation of tower blocks which are highly visible on the city skyline it has vastly improved the look of the whole local area and the appearance of the city itself. Generating true community spirit The residents were consulted on this project right from the start and proposed a café and internet room as a focal point for the community which has been included. This will also provide jobs for some local tenants. The regeneration of these blocks has had a profound effect for the community. Previously these properties were hard to let as they were not appealing to tenants. Now many of the empty flats have been filled. * **

11 Project spend: 3,700,000 CO 2 savings: 76,000 tonnes Savings per year: 162,000 ** 25 year saving: 4,050,000 ** Before: Dallfield Court in Dundee before the work started on providing these 4 tower blocks with community heating and external wall insulation. AfTer: The properties have been transformed and the residents love the new look of the blocks in which they were involved in final design meetings. The work has transformed the skyline above Dundee. This is just the start The council is already planning the next phase. Another four tower blocks in a nearby location will receive the same measures and this should have a similar impact on the community. Existing and new tenants of the Dallfield multi-storey development can expect a real transformation over the coming years. The partnership with Scottish Gas will result in a substantial investment that will involve installing an insulated render that will keep flats warmer, reduce heat-loss through walls and give the blocks a whole new appearance. The proposed district heating system will make a real difference to tenants by making their homes more energy efficient and more comfortable to live in with dramatically lower heating bills. Elaine Zwirlein, Director of Housing at Dundee City Council 10

12 Case study Walsall Seven distinct schemes same great result This was our first major project with 9 million spent on seven distinct schemes within the Walsall Rivers area and a further planned spend of 11 million. These schemes involved installing solid wall insulation to over 1,000 properties. They also provided biomass district heating for 150 properties, gas district heating for 150 properties and domestic heating for 700 properties. Plus we ve now been contracted to provide domestic heating for a further 300 properties as well as loft and cavity wall insulation. The project also included provision of solar PV panels for both tower blocks and individual homes to generate electricity for themselves. Both private and social housing has been covered by these improvements. The different nature of all these communities meant that we had to find energy answers for seven different sets of circumstances that would all deliver equally effective levels of heating efficiency. It involved developing a close working relationship with the Walsall local authority to build an energy efficient plan for the long-term. The difference it s made Taking fixed income families out of fuel poverty With many householders in the scheme on fixed incomes the reductions in fuel bills has taken them out of fuel poverty, particularly the elderly. In fact, with the solid wall insulation and new heating systems installed, residents should find their fuel bills reduced by 40% *. And over the next 25 years, 327,000 tonnes of CO 2 emissions will be saved too. Making the local area more attractive The work has vastly improved the aesthetic appeal of seven local districts as no major works had been carried out on these properties for over 40 years. Feeling better about the community This renovation of property and regeneration of these seven distinct areas has generated much local pride with 90% of householders giving the works a rating of seven out of ten or higher. * ^

13 Project spend: 9,000,000 CO 2 savings: 327,000 tonnes Savings per year: 769,650^ 25 year saving: 19,200,000 *^ Before: Jones House before work started on new community heating and external wall insulation. AfTer: A remarkable transformation to Jones House, these blocks are a real focal point within the community. In Walsall we are working on transforming another ten tower blocks with similar measures to a similar standard. Innovative programmes in Walsall have seen over 500 houses benefit from solid wall insulation, our community programmes which have been rolled out have ensured that all tenure types in these properties have benefited from our CESP schemes. Creating innovative community schemes in partnership with the local authority British Gas, Walsall Housing Group and Walsall Metropolitan Borough Council were able to provide funding which meant we could extend this scheme across whole communities in Walsall with no additional cost for the private tenants. In the Rivers district all private owners were given the opportunity to have this work carried out for free, this benefited over 200 private home owners in the area. This improvement is a result of a partnership between British Gas, Walsall Housing Group and Walsall Council in the West Midlands, under the Community Energy Saving Programme (CESP). This is an excellent example of a mixed tenure project. It has delivered a comprehensive range of measures including boiler replacement, loft insulation, energy advice and as the photos show external solid wall insulation. Greg Barker MP, Minister for Climate Change, Department for Energy and Climate Change 12

14 What people are saying about British Gas and the Community Energy Saving Programme I m delighted with the service. We ve noticed a big difference in the heating already. They ve done a great job. M. Beveridge All the heating work was done in the one day. They ve done an efficient job. They were really pleasant, and already we ve noticed a big difference in the bills, they ve virtually halved from what they were previously. M. McInally Since I have had the external wall insulation done I have noticed that every room is a lot warmer, I can definitely feel the difference. I have just had a gas bill and the amount due has reduced by 20 per month. I was paying 35 per month direct debit and this has now dropped to 15. They have been around straight away and have been very polite and professional. The team that put the combi boiler in and new radiators well all I can say is they did a fantastic job. I am happy that I have got value for money for the amount of work I had done. I would like to thank British Gas and the contractors for the work they have done it is much appreciated. K. Shaw What we re doing at a glance We re reducing fuel poverty by working with vulnerable communities to provide better insulation and heating options. And we re achieving our aims by: Reducing heat loss Introducing efficient heating Making better use of energy Together this all helps regenerate local communities.

15 Going forward with the Community Energy Saving Programme British Gas is fully committed to CESP and as it goes forward we intend to maintain our stance of making sure that the communities involved are consulted throughout the process and educated in how to be more fuel efficient once the work is complete. We re convinced that our whole house approach is the right way to tackle the issues of fuel poverty and we hope to maintain and develop this approach when we tackle future projects in the programme. Continuing our community approach The success we have achieved in our community-led approaches has really impacted on people and communities. British Gas has the skills and capabilities to meet the needs of stakeholders. And with the advent of Green Deal, and ECO we believe we can continue to serve local authorities and provide innovative solutions to tenants, owners, landlords and local authorities. Make sure you re involved too British Gas is always looking for new projects to support within the Community Energy Saving Programme, so if you know of a vulnerable community that is in the fuel poverty category and would be rejuvenated by such a scheme please don t hesitate to get in touch. You can contact us by calling * * Phone lines are open 9am-5pm Monday to Friday, closed on Bank Holidays. Calls may be monitored and/or recorded for quality assurance and compliance purposes. 14

16 For more information call us today on * * Phone lines are open 9am-5pm Monday to Friday, closed on Bank Holidays. Calls may be monitored and/or recorded for quality assurance and compliance purposes. British Gas is the trading name of British Gas Trading Limited registered in England and Wales: No and British Gas Services Limited registered in England and Wales: No Registered office: Millstream, Maidenhead Road, Windsor, Berkshire, SL4 5GD.