GM Low Carbon Economic Area for the Built Environment

Michael O’Doherty Assistant Director Housing Manchester CC

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Low Carbon Economic Area

Vision

“that by 2015 Greater Manchester has established itself as a world leading city region in the transformation to a low carbon economy”

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LCEA - outcomes

- Save 6 million tonnes CO2

- Deliver up to £650m additional Gross Value Add (GVA)

- Support 34,800 jobs in total (including 18,000 in the supply chain) and contribute approximately £1.4 billion GVA in the built environment in total

- Benefit the North West and UK through developing and sharing best practice, as well as economic spill-over benefits

- To reduce CO2 emissions from the existing domestic sector by 26% by 2015

Low Carbon Economic Area

Residential

Non- Residential

New build & Infrastructure

Skills

Products & Services

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Warm Homes Greener Homes: by 2020..

• every home where it is practical will have loft and cavity wall insulation - by 2015;

• every home in Britain will have a smart meter and display

• up to 7 million households will have had an eco-upgrade including advanced measures (e.g. solid wall insulation)

• landlords – private and social – will take action to improve the fabric of properties; Warm Homes Standard

• wider take up of district heating in urban areas, such as in blocks of flats, in new build and social housing,

Warm Homes Greener Homes: by 2020..

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WP1 Housing Retrofit Programme

• Gather and manage GM housing stock Information

• Roll out delivery of basic energy efficiency measures to homes– – e.g. loft and cavity wall insulation to 75% of all

remaining homes by 2013.• Develop programme of advanced interventions

(eco-upgrades) – ‘GM Retrofit’ standard

• Make in-depth behavioural change energy advice available to all households by 2015.– Roll out programme of Smart Meters

Housing Retrofit.. Delivery Partners

•Local Authorities

•Energy Savings Trust

•Utility companies

•Social Housing Providers

•Construction and design sector

•Jobs Skills sector

•Fuel Poverty Sector

•Homes and Communities Agency

•Public and private investment organisations

•.... Households and communities

Behavioural Change..

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Challenges• High Capital Costs• Supply Chain bottlenecks• Quality Assurance• First mover risks• Realising benefits of scale: procurement• Market segmentation – targeted and timed

incentives• Households’ investment and lifestyle

decisions

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Opportunities

• Scale – 1.1M GM homes; 262,000 in the social sector; • Utility/Supplier obligations; CESP; CERT• European funding • HCA investment in existing social stock• ‘Pay as you save’ schemes • ‘Feed in tariffs’ from renewable energy• Institutional Investment models• LA and other public sector grants and loans• Economic benefits – new and retained jobs; local labour• Health and Fuel Poverty drivers