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ENERGY MATTERS     NEW YEAR 2018 EDITION      

   

              

CLEAN GROWTH STRATEGY AND CONSULTATION FRENZY

R SAP GO AND PLAN UP

MAKING SENSE OF MEES

SAP CONSULTATION RESPONSE PUBLISHED Energy Matters / NEW YEAR 2018 EDITION

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FOREWORD M A R T Y N R E E D, M A N A G I N G D I R E C T O R

Welcome to another edition of our members’ magazine, Energy Matters. It is obvious that we are living in changing times and whilst the politicians try to work out what leaving the EU actually means, the rest of us are still trying to run our businesses and, for those involved in energy efficiency, save energy, save money and save the environment. Despite the apparent chaos I actually see evidence of a renewed focus on energy efficiency and, if anything, the commitment to EPCs appears to be on the increase. The reason for my optimism stems from three great opportunities that, like buses, all arrived together; 1. Clean Growth Strategy 2. Private Rental Sector / Minimum Energy Efficiency Standards 3. Each Home Counts

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Clean Growth Strategy In October the Government’s Business Energy & Industrial Strategy (BEIS) department issued the long awaited ‘Clean Growth Strategy’ which establishes a path to a low carbon future for the UK. The document provides a view of the future energy efficiency landscape and underlines some longer term goals for government. The 163 page report is split into 6 sections: 1. Improving Business and Industry Efficiency and Supporting Clean Growth 2. Improving Our Homes 3. Accelerating the Shift to Low Carbon Transport 4. Delivering Clean, Smart, Flexible Power 5. Enhancing the Benefits and Value of Our Natural Resources 6. Leading in the Public Sector Related to the energy efficiency in buildings, the report accepted that cold homes contribute to ill health – costing the NHS £760 million a year, that 32% of the UK’s carbon emissions come from the energy used to heat the buildings in which we live and work, and that carbon emissions from homes has dropped by 20% since 1990.

Despite recent successes the report states that, in the absence of long term policy, carbon emission will actually begin to rise! The strategy proposes what it calls the “2032 Pathway” to ensure that emissions continue to fall. The report gives commitment to a wide range of initiatives and consultations which kicked off a consultation frenzy during November and December. As you might expect, Elmhurst takes time to consider these consultations and always responds with considered and positive thoughts, so as to drive future energy efficiency strategy in the right direction and to ensure the future of EPCs and our members who deliver them. Private Rental Sector / Minimum Energy Efficiency Standards (Eng, Wales & NI) We have all been talking about MEES since it was announced in 2016, and as the first major deadline approaches in April 2018, after which time it will be illegal to rent a property with an EPC of lower than an E, we were aware of the loophole that had been created when Green Deal failed to gain traction. The great news, and one which had been much rumoured, was the consultation


issued by BEIS on December, where they they propose requiring landlords of privately rented residential properties to fund improvements to an F or G rated property up to a suggested £2,500 per property. The reality is that many properties will need more than £2500 spent to achieve compliance but it’s a start and will, we believe, give MEES the boost it needs to get the poorest tenants out of fuel poverty. Each Home Counts This is Dr Bonfield’s report on previous energy efficiency initiatives, including Green Deal, and creating a framework for an industry-led alternative. Elmhurst has been working with the other accreditation bodies to ensure the value of the EPC lies at the heart of every scheme. It is an indispensible tool for the recommendations provided, estimate of savings and as a measurement device for carbon savings

energy assessors to extend their range of services, in time for the ECO consultation in May 2018. Watch this space. In summary, after three years without political direction, a stagnant housing market and a confused outlook, I do genuinely believe that we have turned a corner and the coming years will be a very good time to be working in the energy efficiency industry. On that optimistic note, thank you for being a member of Elmhurst Energy and I wish you all a happy, healthy and prosperous 2018.

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I am delighted to say that the audience has been responsive and we are now working closely with the Implementation Board. We hope to have a firm proposal in place, which includes opportunities for

Martyn Reed Managing Director Elmhurst Energy

Energy Matters / NEW YEAR 2018 EDITION

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C O N T E NTS MAGAZINE

02 FOREWORD 05 NEW DEA CONVENTIONS 06 CLEAN GROWTH STRATEGY AND CONSULTATION FRENZY! (GREAT NEWS FOR ENERGY ASSESSORS) 08 IATS RELAUNCH 09 ELMHURST’S LATEST TECHNICAL BULLETINS 10 R SAP GO AND PLAN UP INTEGRATION 12 MAKING SENSE OF MEES WITH ARBNCO 14 SAP CONSULTATION RESPONSE PUBLISHED 16 MARKET DATA 18 GDPR INCOMING 20 ENERGY SAVING OPPORTUNITY SCHEME (ESOS) PHASE 2 UPDATE

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FEATURE

NEW DEA CONVENTIONS DAMIEN ROBERTS, DEA TEAM LEADER

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ersion 10 of the RdSAP conventions was released recently and became live from the 31st December 2017. These have been adopted in England, Wales, Northern Ireland and Scotland. They contain significant changes that assessors need to be aware of. Most notably convention 1.01 (Use of RdSAP) now states that ‘RdSAP is used to produce Energy Performance Certificates (EPCs) for existing dwellings only’.

Defining what an existing dwelling actually is can be confusing. This is why all schemes have been cooperating to produce an industry wide document, which assessors will be able to access via the members area. This document (TB03) details specific criteria to distinguish between new build dwellings and existing dwellings. There are other conventions that have been adapted to provide clarity - glazing is one such example. The Elmhurst technical helpdesk constantly receive queries on this subject, and having listened to our members we raised this with the conventions group. Convention 2.14 has now changed from ‘window area’ to ‘definition of a window’. In line with this convention 2.15 has been changed to ‘window area’ and the convention for determining ‘glazing age’ has been simplified. On the surface these may seem like small changes but it does mean assessors should spend less time considering whether an opening is a door or a window.

Something that has caused complications in the past has been identifying loft insulation. Convention 3.04 ‘access to loft insulation’ now applies a greater degree of flexibility. However, the level of evidence needed to establish the coverage of insulation may need to be considered whilst on site. This new version of conventions is a move towards making the collection of data less onerous on the assessor and will help to standardise the process for assessments.

If you would like more information on the changes to conventions we have CPD courses running through January which you can book through our online training calendar. www.elmhurstenergy.co.uk/ training-calendar

Energy Matters / NEW YEAR 2018 EDITION

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HEADLINE FEATURE

CLEAN GROWTH STRATEGY AND CONSULTATION FRENZY! (GREAT NEWS FOR ENERGY ASSESSORS) S T U A R T FA I R L I E , T E C H N I C A L D I R E C T O R

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n the 12th October 2017 the department for Business Energy & Industrial Strategy (BEIS) issued the long awaited ‘Clean Growth Strategy’ which has established a mission to lead the way to a low carbon future for the UK. The Government recognise that they must have a strategy to take the UK into a clean energy future, and that lots of policies, with the use of innovative approaches are required and nothing

appears to be off the table. The Clean Growth Strategy contains lots of details so we have attempted to highlight some key points for our members and the wider energy efficiency industry:

• A commitment for a review of Building Regulations for energy efficiency • • • • • • • • • • •

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following the current review on Regulations (The Grenfell Review). For both domestic and non domestic buildings. Consulting on raising the minimum standards for rented commercial buildings Continued support for ECO policy and continue until 2028 Improve private rented properties to at least band ‘C’ on the EPC by 2030 (where practical, cost effective and affordable) Provide £255million of funding for energy efficiency improvements in England for Public Sector Consult in 2018 on how to make MEES in private rented sector more effective Recognition that domestic fuel bills have reduced over time due to energy efficiency policy, and that more investment is needed Backing the LENDERS project (which Elmhurst helped develop), to promote the concept of green mortgages. An admission that the current trajectory of policy vacuum for homes will see carbon emission actually rise – therefore action is required – this is called the 2032 Pathway More broadly the aspiration is that as many homes as possible are EPC band ‘C’ by 2035 (where practical, cost effective and affordable) Work with Industry to enable the Each Home Counts review – (Elmhurst is helping push this in the correct direction) A call to evidence in 2018 to extend EPCs to other trigger points. Looking for ways to make EPCs better.


The report is great news for energy assessors (it mentions EPCs 19 times in the 163 page document). The future appears bright, as the Government clearly recognise that they have much to do and it must be based on the appropriate ‘measuring stick’ – which would be the energy efficiency methodologies of SAP, RdSAP or SBEM and the EPCs they produce. The paper indicated that numerous consultations would occur and, true to their word, both BEIS and their colleagues at the Ministry of Housing, Communities and Local Government (MHCLG)* recently released a plethora of ‘Consultations’/’Calls for Evidence’ across a number of areas, which could impact energy assessors and their customers.

These are (in response deadline order): 1. ‘Call for Evidence – Green Deal Framework’ - Deadline 23rd Nov 2017 (BEIS) 2. ‘Protecting consumers in the letting and managing agent market’ Deadline 29th Nov 2017 (MHCLG) 3. ‘Leading by example: Cutting energy bills and carbon emissions in the wider public and higher education sectors’ Deadline 7th Dec 2017 (BEIS) 4. ‘Streamlined energy and carbon reporting, raising awareness, reducing bills, saving carbon’ - Deadline 4th Jan 2018 (BEIS) 5. ‘Call for evidence: Building a market for energy efficiency’ - Deadline 9th Jan 2018 (BEIS)

Elmhurst always consider these consultations and respond with professional, constructive views to each, so as to drive future energy efficiency strategy in the right direction. We have engaged with our members and have endeavored to keep everyone updated with our responses. We will continue to digest any further information provided by BEIS and MHCLG, and should there be any further consultations, encourage assessors to respond where they can.

Stuart Fairlie Technical Director at Elmhurst: Whilst there is a lack of real detail, there is certainly more than enough to hold the Government to account on, and we welcome the long term commitments and goals that have been presented. There are lots of positive words and actions, all of which seem to be heading in the right direction. We hope that we can start to engage with all Government Departments and Industry to make this happen. Our members produce Energy Certificates and calculations and these are the measuring tape by which this nation can start to make informed decisions about all of our buildings. As we have mentioned previously there needs to be ‘carrots’, ‘sticks’ and ‘noise’ surrounding all the policies in order for them to work. It also requires joined up thinking between different Government Departments and we look forward to making homes and businesses warmer and cheaper to run.”

*In January 2018, Government announced DCLG was to have an expanded remit to include housing and moving forward is to be known as the Ministry of Housing, Communities & Local Government (MHCLG).

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FEATURE

IATS RELAUNCH J E N N I F E R H A R T L E Y, I AT S S C H E M E C O O R D I N AT O R

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t has now been seven months since Elmhurst took over the management of The Independent AirTightness Testing Scheme (iATS). We spent the first few months learning the ropes and ensuring that the scheme meets the conditions specified by government. We are delighted to report that an independent audit carried out in November demonstrated that we are fully compliant and running, what the auditor described as, a “great scheme�.

In recent months we have been busy implementing improvements to benefit both Elmhurst assessors and iATS members. In September Elmhurst released a new version of the Design SAP software. This incorporates a functionality to allow Elmhurst energy assessors to search for iATS registered testers when they require an air pressure test for their SAP calculations. The updated version also has an option to enter an iATS certificate number which retrieves the test score and test date automatically. A pdf copy of the iATS certificate can also be retrieved. 8

Energy Matters / NEW YEAR 2018 EDITION

At the beginning of December we announced some exciting new changes to iATS members which included a brand new iATS logo and website. You can visit the updated website at www. iats-uk.org where you will find some new features including a search for tester facility. Building control officers and members of the public are also now able to validate iATS testers and iATS certificates to ensure that services have been received from a qualified professional. Towards the end of 2017 we started to roll out Welcome packs to iATS testers which include some useful information as well as re-branded ID cards. The cards can be used to prove identity on site and to promote membership of the scheme. If you are yet to receive your pack please contact us at manager@iats-uk.org.

As of the 1st January we are pleased to include PI and PL insurance free of charge for all iATS members. We have also introduced a simplified registration fee structure to make life easier for everyone.

If you are interested in joining iATS please visit www.iats-uk.org/ join-iats/ where you will find the application form. You can also contact the iATS team with any queries or suggestions for further improvement on: 0300 688 0016 or by email at manager@iats-uk.org.


FEATURE

ELMHURST’S LATEST TECHNICAL BULLETINS ONLY AVAILABLE TO ELMHURST MEMBERS

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t Elmhurst Energy we are proud of the quality of technical support we provide to members. One of the most beneficial and proactive ways we support them is through a wide range of Technical Bulletins, all produced by our in house experts in a style that is easy to read and understand. These bulletins can offer anything between 15 and 45 minutes of CPD, with new and updated bulletins released fortnightly. Elmhurst Members can access any Technical Bulletin appropriate to their accreditation through Access Elmhurst/ My Documents. NHER Members who have not been migrated onto Elmhurst’s systems will also be sent the latest Technical Bulletins through email. If you are not currently an Elmhurst Member and wish to access our quality support, including this extensive list of Technical Bulletins, why not switch today at www.elmhurstenergy.co.uk/switch-to-elmhurst-energy

Elmhurst have a library of nearly 100 Technical Bulletins, available to download and read. Here are some of the latest bulletins we have recently released: Existing Dwellings TB24 All RdSAP Conventions UPDATED TB56 Guide to Electric Meters UPDATED TB100 RdSAP 9.93 Software Release

Non-Domestic TB47 LTHW Boiler Efficiencies UPDATED TB68 Producing a Potential Asset Rating for EPCs in Scotland UPDATED

On Construction TB99 Feed in Tariffs and On Construction EPCs TB101 Thermal Mass TB102 Selecting Heat Pumps from the PCDB


FEATURE

R SAP GO AND PLAN UP INTEGRATION FIONA WILSON, BUSINESS DEVELOPMENT MANAGER

“What do we want?” “A scheme that listens to us, develops software and products based on what we want and works to help us be as cost and time effective as possible” As always we aim to be the best, and try to exceed our expectations. RdSAP Go is Elmhurst’s tablet and phone app for the production of RdSAP EPCs on site, without the need for internet, to gather the data and get an accurate EPC result in house. As with any project we work on we have been listening to the users, and potential users, to help us shape this app the way that best suits our members. So without further ado: RdSAP Go now integrates with Plan Up. What does this mean for you as an Energy Assessor? Well it’s quite simple, you can now be completely paperless in the field, gather your information and evidence, draw your floorplan and you no longer need to re-enter data into different tools. We have been working hard alongside Plan Up to make sure that this integration is smooth and seamless. All you need to do is have both RdSAP Go and Plan Up installed on your iPad and off you go. 10 Energy Matters / NEW YEAR 2018 EDITION

How does it work? When you are using the RdSAP Go app you will see the Plan Up icon in the top right hand corner. When you select this from within RdSAP Go, Plan Up will open and some of the key EPC data you enter here will be brought back into RdSAP Go, saving you from entering it twice. As you enter the information into Plan Up you can tally up items such as habitable rooms and LELs, and when you save and go back to RdSAP Go this information will show. Some of the items and counts that will come across are:

• • • • • • •

Dimensions Light bulb and LEL count Habitable / heated rooms Extensions Construction Window glazing Conservatory

This will all work offline, ready to be lodged once you can get access to Wi-Fi or the internet.


When you come to upload the evidence not only will the photographs you have taken be uploaded to Evidence Online but also a copy of the floor plan saving you even more time if you are called for audit. What about the cost? We understand the importance of keeping your costs as low as possible to remain competitive in the market. We also understand the importance of your own time. The cost of RdSAP Go remains at ÂŁ1 per assessment, which includes the development and updates to the app, along with the storage of the evidence. Integration with Plan Up is free. The biggest benefit of RdSAP Go is saving assessors time; being able to complete reports while in the property and collating evidence ready for audit. The cost of using Plan Up for EPC floorplans or Estate Agent floorplans is set by and billed by Plan Up, and there is no additional charge for using the two apps together. For more information on the costs for using Plan

Up please contact them directly on 03458 678 222 (9:00am till 5:00pm, Monday to Friday) or you can e-mail them at sales@planup.co.uk. What now? Coming to terms with a new piece of software can be challenging, or even a bit scary. To help you we have set up a training day to cover the use of RdSAP Go and Plan Up. This will provide an opportunity for attendees to familiarise themselves with the software, with help and support from our expert trainer. More information on the course and bookings can be found on our website.

Be paperless, be more effective and get your time back. Use RdSAP Go and Plan Up today. Visit: http://www.elmhurstenergy.co.uk/ software/rdsap-mobile-software

However, if you’re feeling confident please download the apps and give it a shot. Our technical support team are available to answer any questions you may have regarding RdSAP Go, and Plan Up. Conversely, you can apply for a free trial on our website and can take a look at some of the videos which demonstrate the main features and benefits of both apps. Energy Matters / NEW YEAR 2018 EDITION

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GUEST FEATURE

MAKING SENSE OF MEES WITH ARBNCO A N D R E W M AW, B U S I N E S S D E V E L O P M E N T M A N A G E R ARBNCO When the Minimum Energy Efficiency Standards (MEES) hit in April 2018, energy assessors and property managers will have to ensure their properties are ready. New legislation that demands compliance can often be a cause of concern for both energy consultants and asset managers, especially when there is a deadline. Time and resources are finite, yet failure to comply could result in a reduction of a building’s rental value. If energy professionals are prepared, however, and utilise software that can support and enhance their work, MEES can present significant opportunities. What is MEES? MEES will prohibit a landlord from letting a sub-standard property from April 1st 2018, and from continuing to let a sub-standard property from 1st April 2023. A sub-standard property is one that fails to meet the minimum energy efficiency standard set at an Energy Performance Certificate (EPC) rating of an E. Therefore, a property with an F or a G rated EPC, unless exempt or excluded, is likely to be at risk from the MEES regulations. Research produced by arbnco has found that the estimated 19% of properties not complying could see their capital value reduced by as much as 10%, with the impact on the total value of the UK commercial property market estimated to be as much as £16.54bn.

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Accuracy is vital It is crucial that property managers possess an accurate EPC rating so they know whether the legislation will affect them. Many EPCs, particularly those undertaken pre-2011, can be considered inaccurate now due to changes to SBEM conventions and software updates. The ramping up of standards and the associated updating of SBEM has caused many EPCs to worsen. Recent research conducted by arbnco showed that one quarter of the 3,500 commercial properties registered on its EPC platform achieved a lower rating than that originally given, with one third of these dropping into the MEES ‘at risk’ categories. Given that time equals money with this legislation – with the potential risk to rental value - energy assessors

should utilise software that enables them to make quicker, more informed decisions, such as the arbn consult platform - https://arbnco.com/oursoftware-solutions/arbn-consult. Designed with efficiency and accuracy in mind, arbn consult can re-run historical SBEM EPC models through the latest model of SBEM to identify changes in rating, and alert the assessor of a potential transition to an ‘at risk’ category. EPCs at a glance • £16.54bn estimated reduction in Capital value in UK commercial property • 24% buildings achieved a lower EPC upon resimulation • 20.9% of commercial property, by square footage, rated F or G in London Borough of Kensington & Chelsea


Accurate reports in minutes not days The platform then provides a fully costed retrofit strategy in minutes, significantly cutting down on the laborious process of manually calculating a strategy, particularly when multiple simulations have been carried out. The speed with which reports, summaries and calculations can be conducted can free up more time, and enable assessors to increase their workload - and subsequently their earnings. This is aided by the software’s ability to export to Microsoft Word or PDF, providing the opportunity to white label and deliver a customised, professional report that could generate more business. The delivery of a fully costed retrofit package also enables energy consultants, and ultimately property managers, to take into account not just the cost of compliance, but how much they want to improve the EPC rating by. Though MEES sets a certain standard, it presents an opportunity to strive for better than the bare minimum. Improving an asset rating will reduce energy wastage and therefore cost, and could also impact other regulations, such as the Energy Savings Opportunity Scheme.

MEES workshops & training Energy assessors will have the opportunity to trial arbn consult in a series of MEES workshops jointly hosted by Elmhurst and arbnco over the course of 2018. Covering both the theoretical and practical aspects of MEES, the workshops are designed to provide energy assessors with the knowledge of how they can best approach MEES. The first half of the workshop will be delivered by an Elmhurst Energy trainer, and will explore the theory behind MEES, what it sets out to achieve, and what the implications are for energy assessors.

with Elmhurst. We are keen to work with energy professionals to help them fully understand MEES and what it means, but also what they can do to make the process easier for them to manage. Our sessions aim to address both of these issues.”

This will be followed by half a day of CPD training with an arbnco trainer, which will offer an introduction to the arbn consult software and how it can be utilised to ensure MEES compliance. After a practical demonstration by the trainer, participants will have the chance to utilise arbn consult to work on real examples, and will subsequently be able to review the results and output reports. Simon West, Co-founder & Director at arbnco, said: “We’re really pleased to be launching the MEES workshops

The workshops will take place once a month in various locations across the UK. For more information, including dates, visit arbnco.com or cpduk.co.uk or call 0141 559 7130.

The opinions expressed in this article are of the supplier themselves and not necessarily endorsed by Elmhurst Energy. If you would like to have your product featured here then please email info@elmhurstenergy.co.uk.

Upcoming dates for Non-Domestic MEES workshops 08/02/18 - Manchester 26/04/18 - Lutterworth 10/05/18 - Lutterworth All events can be booked through Elmhurst’s training calendar: www.elmhurstenergy.co.uk/ training-calendar

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HEADLINE FEATURE

SAP CONSULTATION RESPONSE PUBLISHED JASON HEWINS, OCDEA TEAM LEADER

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n Friday 17th November BEIS published the industry responses to the consultation on proposals to amend SAP, with the next version known as ‘SAP 10’. Elmhurst have analysed the responses in detail and noted the following important points.

When will the next change in SAP occur? The consultation response stated; “We expect the SAP 10 methodology to be published in 2018, but it may be used by Government for modelling purposes before publication. This publication will not bring the changes to SAP into force. This will be subject to consultation on changes to the Building Regulations.

What changes were originally proposed? Nineteen different proposals were outlined in the original consultation, two of which were specifically aimed at RdSAP. There was also a request for data to support changing the SAP procedure without changing building regulations, however this now appears unlikely to happen.

The Government has commissioned an independent review of Building Regulations and fire safety in England, being led by Dame Judith Hackitt. The review is due to report in spring 2018. Subject to the conclusions of that review, the Government intends to consult on adopting the technical changes to SAP outlined in this document as part of its consultation on making improvements to Building Regulations energy requirements in England where there are cost effective, affordable and safe opportunities to do so.

Many of the proposals were changes to the SAP calculator that will be taken care of by approved software products. However the following would result in changes to current assessment practices of OCDEAs.

Adoption of these changes to SAP in Northern Ireland, Scotland and Wales is a devolved matter.” Therefore, for England at least, it appears there is to be a consultation in 2018 regarding the next amendment to Part L - this was also mentioned in the recent Clean Growth Strategy document issued by BEIS. If there is a change to Part L following this consultation, it is expected that SAP 10 will be adopted in the next version of the regulations. 14 Energy Matters / NEW YEAR 2018 EDITION

Lighting It was proposed to overhaul the lighting calculation following criticism from stakeholders that it did not differentiate between different types of low energy lights, and did not take account of poorly designed lighting systems. This would require input of light fitting type and performance rather than a percentage of how many fittings are low energy. The majority of responses were in favour of this approach and the government have decided to implement this into SAP 10, but not into RdSAP as it was deemed too complicated for existing dwelling assessments.


Thermal Bridging It was proposed to raise the default y-value from 0.15 to 0.2 to prevent assessors using the default where a calculated value results in a higher y-value. It was also proposed to end the use of the Accredited Construction Details scheme. This was due to the age of the scheme and the accuracy of the psi values available in SAP currently for the scheme. Assessors would need to source psi values from alternate schemes or calculate bespoke psi values for junctions. Again the majority of responses were in favour of these changes with some suggestions of different y-values for different building types and also for design stage and as built stage assessments. This will be reviewed again in future as the default y-value is part of approved document L1A so would require a regulatory change. Treatment of Elements Next to Unheated Spaces The consultation proposed changing some of the ‘shelter factors’ applied to u-values for elements adjacent to unheated spaces. It was also proposed to introduce a similar approach for psi values where junctions are next to unheated spaces.

Again the responses received were strongly in favour of this change. This will require OCDEAs to enter flow rates for showers into SAP assessments which will be used to calculate the volume of hot water required. It was also decided that different cold water temperatures will be used for systems with header tanks and those taking cold water directly from the mains feed – again this will require the OCDEA to determine which approach is being used in the dwelling. Solar PV Systems The consultation proposed allowing data from MCS certificates to be directly input into SAP assessments due to the detailed shading calculations undertaken by the MCS scheme. It was also proposed to extend the overshading options in SAP for near and far field obstacles. Responses were split on this, with 37 in favour and 33 against. There was support for entering MCS data, however many of the responses deemed the additional assessment of near and far field obstacles too complex. Therefore the government has decided to allow the use of MCS data, but not adopt the proposal for more detailed overshading assessment of arrays.

Conclusions Elmhurst welcomes the proposed improvements to the calculations to keep them up to date and relevant. Here at Elmhurst we not only welcome the proposed changes, we are hugely supportive of the research and empirical data undertaken as they all contribute to a refinement of the methodology and as such will result in more accurate and relevant EPCs. We look forward to using the next version of SAP whenever it is introduced in the future. It appears 2018 will be an important time for the future of Building Regulations, with the outcome of the independent review by Dame Judith Hackitt due in the spring. Elmhurst then expects a further consultation on the next version of building regulations to follow, and as always we will be campaigning for meaningful improvements in energy efficiency to be at the core of the next version of Approved Document L.

The responses were generally in favour of the proposals, however some criticism of the complexity of applying shelter factors to psi values was received. As a result of this the changes to shelter factors for u-values will be adopted, but the application of shelter factors to psi values will be reviewed further and if it is deemed too onorous it will not be not be adopted in the next SAP version. Hot Water Methodology Some criticism of the hot water methodology was received in regards to not taking account of shower types and the electricity used by electric showers. Energy Matters / NEW YEAR 2018 EDITION

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MARKET DATA

Existing Dwellings

M A R T Y N R E E D, M A N A G I N G D I R E C T O R

Volume of EPC lodgements on a 12 month rolling basis Volume of Residential housesales on a 12 month rolling basis

Here at Elmhurst we collect and analyse data from many sources in the belief that it helps us make better business decisions. Turning this data into a digestible form takes time and requires a detailed understanding of context. In each edition of Energy Matters we will provide you with a snapshot of this data, with a brief commentary, which we hope you find of interest, and will possibly help you prepare for the future.

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Commentary • Volume of EPCs peaked in the 12 months to May 2014, driven in a large part by ECO and to a lesser extent Green Deal. • EPC volume viewed on a rolling 12 months basis has now fallen to 1.27 million and is now on par with residential house sales! Accepting that some house sales proceed with old, and potentially misleading EPCs, this suggests there is a high level of non compliance in the sale and rental markets, or both. • House sales spiked in March 2016 with changes in Stamp Duty for second homes. • After fifteen months of decline the volume of house sales has started to grow Outlook • The market for RdSAP EPCs is at an all time low suggesting high levels of non compliance. • The recent improvements in the residential sales volume does give some hope of a recovery which, when coupled with MEES, should improve the situation in 2018.


New Build / On Construction

Volume of residential house starts (E, W, S and NI) Volume of annual completions (E, W, S, and NI)

Non Domestic /Commercial buildings

Volume of Commercial property EPCs in the UK on a rolling 12 month basis Non residential (commercial) property sales in the UK on a 12 month rolling basis

Commentary • Commercial property sales continue to rise steadily. • Volume of EPCs improved significantly, which may be related to the impact of Minimum Energy Standards (PRS MEES).

Note: Latest quarter data for Wales and Scotland is estimated

Volume of on-construction (new build residential) EPCs in the UK issued on a rolling 12 month basis

Commentary • Home starts have plateaued at 200,000 for the last two quarters, the level specified by the coalition government when they committed to 1 million homes in the parliamentary term. • Completions continue to lag behind starts but the gap is narrowing. • The volume of EPCs issued has increased to 259,000

Outlook • With the volume of EPCs still lagging behind sales volume (which ignores the volume related to rental) Elmhurst is taking action to focus on perceived high levels of non-compliance. • If sales volume continues to increase, and MEES has the expected impact, then the future for commercial EPCs looks positive.

Outlook • The volume of on construction EPCs is at an all time high and with the volume of starts now levelling this is likely to be maintained. • A recent government statement suggesting that house building needs to increase to 300,000 (a 50% increase) means the future is bright

Energy Matters / NEW YEAR 2018 EDITION

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FEATURE

GDPR INCOMING M A R T Y N R E E D, M A N A G I N G D I R E C T O R

General Data Protection Regulations Are you ready? Originally proposed in 2012 the European Union’s General Data Protection Regulation (GDPR) comes into force in May 2018 and puts significant controls on how businesses use personal data. Experts cause alarm with talk of large fines (up to 20 million Euros or 4% of global turnover), and some businesses are concerned that it may require them to totally rethink their processes. The regulation was adopted on 27 April 2016. It becomes enforceable from 25 May 2018 after a twoyear transition period and, unlike a directive, it does not require national governments to pass any enabling legislation, and is thus directly binding and applicable.

18 Energy Matters / NEW YEAR 2018 EDITION

What is GDPR? GDPR is a new EU regulation governing how organisations should handle and protect our personal data. Although similar to the existing Data Protection Act the new legislation goes further in requiring companies to:

• keep records of all personal data, • prove that consent to gain access

to, or use personal data was given,

• show where the data’s going, what it’s being used for,

• and how it’s being protected. If personal data is accessed then companies have three days in which to report it.


What do I need to do? The Information Commissioner has created a 12 step checklist to ensure companies remain compliant: 1) Awareness - Companies should ensure that decision makers and key stakeholders are aware that the law is changing to the GDPR. They need to appreciate the impact this is likely to have. 2) Information Company’s hold - Company’s should document what personal data they hold, where it came from and who they share it with. Companies may need to organise an information audit. 3) Communicating privacy information - Company’s should review your current privacy notices and put a plan in place for making any necessary changes in time for GDPR implementation. 4) Individuals’ rights - Company’s should check their procedures to ensure they cover all the rights individuals have, including how they would delete personal data or provide data electronically and in a commonly used format. 5) Subject access requests - Company’s should update your procedures and plan how they will handle requests. 6) Lawful basis for processing personal data - Company’s should identify the lawful basis for your processing data, document it and update the privacy notice to explain it. 7) Consent - Company’s should review how you seek, record and manage consent. 8) Children - Company’s should think about whether they need to put systems in place to verify individuals’ ages and to obtain parental or guardian consent for any data processing activity. 9) Data breaches - Company’s should make sure they have procedures in place to detect, report and investigate a personal data breach. 10) Data Protection Impact Assessments - Company’s should familiarise themselves with the ICO’s code of practice on Privacy Impact Assessments and work out how and when to implement them. 11) Data Protection Officers - Company’s should designate someone to take responsibility for data protection compliance. 12) International - If the company operates in more than one EU member state (ie you carry out cross-border processing), you should determine your lead data protection supervisory authority.

For its own internal systems Elmhurst has appointed a Data Controller and initiated a project to ensure that we both understand the requirements and have systems and processes in place to manage them. As every business is different and we are not lawyers, Assessors need to make their own decisions about what needs to be done for their business and, if necessary, take advice from the experts in the legal profession . We do believe that all information that energy assessors are required to collect to fulfil responsibilities under the EPBD Scheme Operating Rules is a “Lawful Basis for Processing” however that does

still require Members to comply with all the safeguarding principals that are designed to minimise the risk from its misuse. Obviously this is a Regulation from Brussels so the elephant in the room is what will happen post BREXIT. The honest answer is, we have no idea!

Useful sources of reference - The European Union http://ec.europa.eu/justice/data-protection/reform/index_en.htm - The Information Commissioner’s Office https://ico.org.uk/for-organisations/guide-to-the-general-data-protectionregulation-gdpr

Energy Matters / NEW YEAR 2018 EDITION

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FEATURE

ENERGY SAVING OPPORTUNITY SCHEME (ESOS) PHASE 2 UPDATE J O S H WA K E L I N G , N D E A T E A M L E A D E R

E

lmhurst Energy explains what has happened with the Energy Saving Opportunity Scheme (ESOS) since the end of Phase 1.

Tackling non-compliance from Phase 1 The Environment Agency (EA) has announced that their enforcement department has: Investigated 2,400 organisations, gained a further 240 participants through the service of an Enforcement Notice and have a further 190 Enforcement Notice cases which are currently ongoing.

For a refresher -- What is ESOS?

“The ethos behind ESOS is to reduce UK based organisations energy consumption that goes hand in hand with saving large undertakings, carbon emissions and money, so that the costs of the ESOS audit itself are more than paid back if the identified energy saving measures are implemented,” explains Martyn Reed, Managing Director for Elmhurst Energy. “We can help companies achieve this. We are passionate about energy rating and we work from the viewpoint that ESOS should be less about pain and more about the opportunity to save costs.” 20 Energy Matters / NEW YEAR 2018 EDITION

Elmhurst Energy is already working with companies and their management teams to ensure they understand and meet their specific requirements for ESOS compliance. “The first and most important action is to find out whether your business needs to comply with ESOS. If the answer is yes, then you should contact an ESOS Lead Assessor, as soon as possible,” continues Martyn. “We aim to manage the audit process on your behalf, to eliminate risk, minimise your costs and maximise your return on investment.”

The EA has also commenced civil penalty proceedings against a number of non-compliant organisations. The civil penalties they have imposed will be published on .Gov.UK after the penalties have been issued and the applicable appeal times have lapsed. The figures above will change as their enforcement work progresses. In addition to these figures there are a number of cases being investigated and enforced by UK devolved administrations. Phase 2 Qualification Date 31st December 2018 ~ 5th December 2019 We at Elmhurst believe that Phase 2 ESOS Lead Assessors will be busier than they were in Phase 1 due to the EA issuing enforcement procedures against the non-compliant organisations. ESOS Energy Audits have the potential to increase business profitability and competiveness by


Compliance periods and compliance dates The table below shows the qualification dates, compliance periods and compliance dates

Compliance period

Qualification date

Compliance period

Compliance date

1

31 December 2014

From 17 July 2014 to 5 December 2015

05 December 2015

2

31 December 2018

From 6 December 2015 to 5 December 2019

05 December 2019

3

31 December 2022

From 6 December 2019 to 5 December 2023

05 December 2023

4

31 December 2026

From 6 December 2023 to 5 December 2027

05 December 2027

identifying cost-effective energy savings which, if implemented will improve the organisations energy efficiency. ESOS Energy Audits must be carried out or reviewed by a registered ESOS Lead Assessor. The Department of Energy and Climate Change commissioned Ipsos MORI and University College London in April 2015 to undertake a process evaluation of the Energy Savings Opportunity

Scheme and to design, and collect baseline evidence for a future longerterm impact evaluation. This report presents findings from the process evaluation and a discussion of evidence relating to early signals of impact

energy audit reports would have helped external auditors self-regulate, and helped set expectations for client organisations as to what quality of reporting they could expect.

As a part of the evaluation an external assessors were interviewed for a part of the case studies they also expressed concerns about report quality. One said that more guidance, or provision of examples of high and low quality

You can become a fully qualified ESOS Lead assessor, by completing Elmhurst’s market leading ESOS Lead Assessor course- Further information and dates are available on our Training Calendar: Source: ESOS Evaluation survey, 2016, Base: 724 compliant organisations

http://www.elmhurstenergy.co.uk/ESOSLead-Assessor/28-02-2018

who had received their final ESOS energy audit report 42

Energy Matters / NEW YEAR 2018 EDITION

21


NEW YEAR, NEW CAREER Blast off into new areas of energy assessment with

15% OFF Selected courses in January and February For more information visit www.elmhurstenergy.co.uk

Elmhurst's Energy Matters- New Year Edition 2018  

Welcome to the New Year 2018 edition of Energy Matters, the publication for energy assessors and property professionals. This edition covers...

Elmhurst's Energy Matters- New Year Edition 2018  

Welcome to the New Year 2018 edition of Energy Matters, the publication for energy assessors and property professionals. This edition covers...