UK Business Rejects CCC Gas-Free Home Scheme

UK utilities association Energy & Utilities Alliance and the global gas industries association Igem reacted harshly to the Committee on Climate Change (CCC)’s February 21 report advocating the installation of heat pumps and other low carbon energy networks. 

The employers' association, the Confederation of British Industries, meanwhile gave it qualified support. And some seemed to agree with some of the other recommendations, such as the skills shortage and the gemerally poor compliance with existing building regulations.

The CCC's most extreme recommendation was to urge the ending of domestic gas connections for newbuilds after 2025. A former government minister Mike Foster, who now works for the not-for-profit EUA, said the CCC was “living  on another planet not trying to save the one we have.” He said that some of the CCC’s suggestions “simply don’t reflect how people actually live in their homes.”

“We absolutely have to reduce our carbon emissions but we need to take people with us on that journey. Banning gas boilers is a stupid thing to do. We need to change the type of gas to a low carbon version, such as biomethane or hydrogen. The focus should be on future proofing homes not banning something prematurely. So gas grid connections, using biomethane or hydrogen should still be part of the mix, not banned.” He said there were many cheaper options available than heat pumps.

He said that if the public start to turn against action on climate change "because of the antics of this Committee, then the very poorest and most vulnerable on our planet with suffer the most."

Igem also pushed back, saying the CCC report “seems to contradict the CCC's earlier report, published just three months ago, which says the gas grid has a key role to play in the decarbonisation of heat through hydrogen.

It said it is already working with the Department for Business, Energy and Industrial Strategy (Beis) on its £25mn ($33mn) Hy4Heat programme, which is looking at the potential to introduce hydrogen into homes beyond the emergency control valve. As part of this programme, appliance manufacturers are developing new boilers, cookers and fires to run on hydrogen.

It urged the government not to rule out any options lest it impact on the long-term feasibility of a no regrets solution to the decarbonisation of heat.

Heat networks provide a fiftieth of UK heat demand and heat pumps cost far more than the average domestic gas connection, it said.

"Research has shown that 90% of consumers can't or won't be prepared to pay for alternative low-carbon heating systems," said Igem. "And while air source heat pumps are expected to become cheaper in the future, they currently cost £6,000-£7,000," he added.

"Britain has one of the most advanced and efficient gas infrastructure networks in the world with 23.2mn customers connected to 284,000km of pipeline, including almost 85% of homes. The distribution networks alone are worth over £17bn and the industry contributes £2.37bn gross value added (GVA) to the UK economy," it said, also advocating other gases such as hydrogen be carried through the grid.

The CBI said the report provides a stark warning about the need to act right now to improve energy efficiency in, and reduce carbon emissions from, the UK's homes. "There is a gaping policy gap that must be addressed to support the low-carbon measures that will save consumers money.

"No single government department has total ownership of this issue, so it will require greater collaboration and input from business to provide the correct regulations on heat and energy efficiency, skills and funding to ensure that the UK's homes are fit for the future." However, when pressed on the matter by NGW, it said it supported zero-carbon energy for housing but declined to go on the record on the timing or the route.