Insulation industry head has called for the government to fast track home efficiency measures as one of the largest insulation firms in the country goes into administration…
It has been a turbulent year for the home energy efficiency sector. The government’s decision not to back zero carbon homes was a significant blow. It was followed by the decision to scrap the Green Deal programme, which also had a huge impact on the sector.
Green Deal, which had been the government’s flagship home efficiency programme, was cut in July after it was deemed too costly. The decision to cut the scheme without an alternative in place was heavily criticised at the time by the UK Green Building Council. Chief Executive Julie Hirigoyen warned it would “leave the energy efficiency industry battered and bruised”.
Three months since the death of Green Deal, Chief Executive of the National Insulation Association Neil Marshall is calling on the government to do more to keep the market afloat.
Marshall said the government should look to fast track the development of home energy efficiency policies and should, in the meantime, implement interim arrangements to ensure the current lack of policy is addressed.
The plea followed the announcement major insulation firm Mark Group has gone into administration, with 900 people made redundant as a result.
Marshall said: “The changes made to the Energy Company Obligation scheme in 2014 coupled with Government decisions in July 2015 not to provide further funding to the Green Deal Finance Company and to end the Green Deal Home Improvement Fund with immediate effect without alternatives in place has resulted in a collapse in insulation activity levels.
“The sad news of the Mark Group going into administration is a clear indication of the impact this is now having on the insulation industry.
“Whilst Government has outlined its intention to introduce a new long term policy framework for energy efficiency which we welcome, the insulation industry is currently in a state of crisis as a result of the absence of robust transitional arrangements to bridge the gap until the new polices and schemes are introduced.
“Without urgent intervention there will be further casualties, job losses and a loss of confidence to invest among insulation companies all of which will impact on the industry’s ability to scale up to support the delivery of the Governments longer term ambitions.
“Given yesterday’s news which clearly demonstrates the scale of the problems facing the industry at present we would urge DECC Ministers to work with the industry in putting in place urgent actions to address the crisis.”