INSULATION INDUSTRY DECIMATED BY GOVERNMENT'S GREEN DEAL - 25.11.11
Fears over the negative impact of the
Green Deal on the insulation industry have been confirmed this week
by official Government statistics, according to Knauf Insulation, a
leading provider of insulation products for the residential and
commercial property sectors.
Loft and cavity wall insulations are expected to fall from 800,000
in 2012, the final year of CERT, to approximately 110,000 per annum
under the new Energy Company Obligation (ECO) and Green Deal
landscape. The figures, released under DECC’s Green Deal impact
assessment this week1, represent a fall of over 86% and
could have a devastating impact on the loft and cavity wall
insulation market.
The move also comes despite the fact that over 10m lofts and 6m
cavities nationwide still require insulation2 and will
adversely affect the industry’s ability to help energy suppliers
deliver their carbon reduction commitments. The dramatic fall will
also hinder hard-working households’ ability to reduce their winter
fuel costs.
Steven Heath, External Affairs Director of Knauf Insulation, said:
“The predicted fall should be of grave concern to the insulation
and construction industry and one we should collectively voice our
concerns over to the Government.
“There needs to be a sensible, effective transition to the Green
Deal over the next five years, allowing us to service those
households still in need of loft and cavity wall insulation while
preparing for the predicted shift to Solid Wall Insulation, which
retains its subsidy under ECO. We urge the Government to rethink
its transition to the Green Deal if the countless jobs and
businesses reliant on loft and cavity wall insulation are to remain
in existence.”
Knauf Insulation argues a revised Green Deal will result in
efficient, thriving insulation and construction industries. Key to
this success will be the inclusion in the Green Deal of financial
incentives such as a council tax or stamp duty rebate for
homeowners insulating their properties.
1 DECC:
http://www.decc.gov.uk/en/content/cms/consultations/green_deal/green_deal.aspx
2 Association of the Conservation of Energy
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