Heat-pump sector express concern at closure of LCBP

Organisations and companies in the heat-pump sector have expressed concern and disappointment at the abrupt closure of the Low Carbon Buildings Programme by the new Government. Before its closure, the scheme funded the installation of 20 000 renewable-energy systems. The £63 million-worth of applications due for payment in 2010/2011 will not be affected. Cancellation of LCBP support means there is no support programme in place until the proposed introduction of the Renewable Heat Incentive in April 2011.

The closure of the programme prompted the Heat Pump Association to write to the Secretary of State Chris Huhne expressing its disappointment at the closure of the programme. The HPA is seeking assurance that the major domestic-heating policy tool, the RHI, will go ahead, as it is likely to change the shape and practices of the UK heating industry — with heat pumps poised to make a huge contribution to the UK achievement of targeted renewable energy and CO2 reductions.

BEAMA, the British Electrotechnical Industry Association, has also expressed dismay over the closure of the programme to new applications — a move that it points out will save only £3 million. Marketing director Kelly Butler says, ‘Government has rightly recognised that the RHI would take up the role of incentivising renewable-heat technologies such as heat pumps. But we are also concerned that Government has not now made a clear statement showing support for the RHI, which would give confidence to the market.’

Chris Davis, business-development director for renewable at Dimplex, comments, ‘The timing of this announcement will really put the brakes on the growth of renewables in the UK. We have been seeing momentum in the market, with increase in customer demand and expansion in the installer base. There is a real danger now that the Government may miss its 15% renewable energy by 2020, as renewable heat will need to contribute a significant proportion of this.

‘We are especially concerned that this move calls into question the Government’s support for next year’s proposed Renewable Heat Incentive, and call on the new coalition to clarify its position on the RHI to give confidence to the market.’

Neil Afram, managing director of Daikin distributor Space Airconditioning, believes the decision could put the industry back at least three years and is concerned that investment made by manufacturers in the Microgeneration Certification Scheme and by installers to become MCS certified will not now see the benefit of growing workload. He said, ‘At a time of significant economic difficulties, many manufacturers and installers have dug deep to invest in MCS, the only real incentive being the LCBP grant scheme. Now this has been prematurely scrapped, those manufacturers and installers are left feeling seriously short changed and would surely be justified in demanding compensation. The industry, installers, developers, housing associations and, most importantly, end users, now have nothing tangible to encourage the use of renewable technologies.’

Related articles:



modbs tv logo

New Sustainability Director for Wates Group

Wates Group, a family-owned development, building and property maintenance company, has appointed Cressida Curtis as its new Group Sustainability Director.

Domus Ventilation appoints new contractor sales managers

Ventilation systems manufacturer Domus Ventilation has announced the arrival of three new Contractor Sales Managers.