Community Energy: Communities Tackling Fuel Poverty

Peter SumbyDirector of Development and Delivery

National Energy Action March 2014

National Energy Action• NEA is the national charity which aims to eradicate fuel poverty and

campaigns for greater investment in energy efficiency to help those who are poor and vulnerable

• NEA works with central and local government, public sector agencies, energy companies and third sector organisations

• Main functions - campaigning, research and technical expertise, training, project development and delivery

Community Energy Strategy

• The strategy consists of 4 main strands:– Generating energy– Reducing energy use (energy efficiency and behaviour change)– Managing energy (balancing supply and demand)– Purchasing energy (collective purchasing/switching supplier)

• …so it’s not just about de-carbonisation; it’s about harnessing the power of communities to take control of energy use and reduce energy bills

• Communities are often most effective at reaching the most vulnerable households

What is fuel poverty?“The inability to afford to adequately heat the home”

The three main causes of fuel poverty are well documented:

1.Poor energy efficiency2.Low income3.High fuel costs

Number of households in fuel poverty

Households in Fuel Poverty by RegionFuel poverty (10%) 2011 by region (DECC, 2013)

Region Number of households in fuel poverty (thousands)

% of households in fuel poverty % of all fuel poor households that are in this group

North East 218,000 19.0 6.8

East Midlands 351,000 18.4 11.0

Yorkshire and the Humber 401,000 17.7 12.5

North West 524,000 17.6 16.4

West Midlands 384,000 16.8 12.0

South West 336,000 15.0 10.5

East England 339,000 13.9 10.6

South East 364,000 10.3 11.4

London 285,000 9.2 8.9

Total 3,202,000 14.6 100.0

Fuel poverty by region, new definition in England

Available assistance for vulnerable householders

• Government funding for heating and insulation measures for low-income and vulnerable households in England has ended

• Energy Company Obligation (ECO) replaces all programmes (Warm Front, CERT and CESP) expenditure circa half of the level in 2010-2011

• ECO funded through a consumer levy and all consumers pay regardless of their financial circumstances – regressive

• Government is committed to publication of a new Fuel Poverty Strategy in 2014 setting out targets and measurement of achievement

Community led action to reduce energy use

• Community led action might include:– Local meetings to share energy saving tips– Projects to insulate community buildings– Community networks to identify households in most

need– Communities helping households through unfamiliar

processes like switching, installing measures, using new heating systems checking entitlement to benefits

– Increasing awareness and understanding of smart meters

NEA & Community Engagement

• Some examples of practical projects…

• Big Energy Saving Network• Engaging Communities

• NEA/British Gas Community Action Partnership

NEA: If you’re interested in developing community based projects to help vulnerable householders manage energy, reduce their

bills and make warmth affordable, please contact us….

Peter SumbyDirector of Development and Delivery

NEApeter.sumby@nea.org.uk