Green economy
Peter Fane MRICS updates RICS members about the green economyThe Green Economy Council, intended to help government and industry agree on the steps needed for the transition to a low carbon economy, met for the fist time last week (16th Feb). The key issue on Wednesday's agenda was the Green Economy Roadmap, which is being developed by BIS, DECC and Defra and is due to be published 'in the spring' (probably May). This will set out the Government’s long term strategy on climate change and the environment.
Business Secretary Vince Cable, who chaired the meeting, said “The transition to a green economy brings both opportunities and challenges that we need to tackle now to achieve sustainable growth and meet climate change targets. We need to minimise the burdens on business and industry during this transition, while we create the necessary conditions for green growth and investment in the green economy.”
Energy and Climate Change Secretary Chris Huhne said "We can be a world-leading low carbon economy, but we need to get ahead of the likes of China who are closing down on us fast (sic). The Coalition is putting in place the framework for significant low carbon investment, including reforming the electricity market, setting up the Green Investment Bank, and legislating for the Green Deal.”
When he launched the Green Deal in December, Chris Huhne said "Under the Green Deal, bill payers will be able to get energy efficiency improvements without having to front up the cash. Instead, businesses will provide the capital, getting their money back via the energy bill. At the heart of the offer is a simple rule: estimated savings on bills will always equal or exceed the cost of the work."
Membership of the GEC includes Nigel Keen, Director of Property Services,
John Lewis Partnership, who is a quantity surveyor by background and was previously Construction Director at Tescos.
As was made clear by Robert Corbyn MRICS and others at the SPONGE / RICS seminar on climate change last June, the transition to a green economy "is clearly delivering business opportunities to those involved in the property sector". Robert, who is Director of Low Carbon Energy Assessors Ltd, will be one of the RICS speakers at the Ecobuild conference in early March.
RICS held a workshop with government officials about the Green Deal last September, which included members of the property profession indicating where it could make a difference. The Green Deal has since been set out in the Energy Bill, introduced in December, which is intended "to provide for a step change in the provision of energy efficiency measures to homes and businesses, and make improvements to our framework to enable and secure, low carbon energy supplies and fair competition in the energy markets". The Energy Bill has now completed committee stage in the Lords and is due for Report Stage on 2nd March.
The Green Deal could be particularly relevant to RSLs, who are more likely to take it up in volume. As the EST's recent "Toolkit for Local Authorities and Housing Associations" pointed out, solar PV is particularly well suited to a large scale roll out by local authorities and housing associations as they have access to a large housing stock, are likely to be able to benefit from the tariff for its full 25 year life (unlike most homeowners who will move during this time), are generally trusted by tenants and have access to low cost finance.
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