Department of Energy and Climate Change: Green gas industry must engage more to ensure growth

greengasindustryThe Department of Energy and Climate Change (DECC) has published a consultation on adjusting financial support for injecting biomethane from anaerobic digestion and other renewable sources into the gas grid.

The Renewable Energy Association (REA) has welcomed the intent of this review – to ensure an increasingly cost-effective contribution of biomethane to low carbon heating and transport – but has expressed concerns about the detail of the proposals, which in the worst-case scenario could halt all but the smallest biomethane developments.

While the consultation, which runs for only four weeks, acknowledges the value of biomethane for making a significant, cost-effective contribution to the UK’s 2020 renewable energy target, the REA says the measures it proposes could do as much damage to the green gas sector as the current review of the Renewables Obligation is doing to the large scale solar power sector.

It claims that these proposals could make biomethane projects injecting over 15 million kWh/year unviable (roughly 800kWe). This is half the size of a typical biomethane plant currently registered on the Renewable Heat Incentive (RHI), with all of the biomethane projects currently in development also bigger than this. The Green Gas Certification Scheme has previously projected a pipeline of 400 million kWh of certified green gas in 2015 – enough to heat 30,000 homes – but these projects could now be at risk.

The current level of support for biomethane is 7.5p/kWh, which is well below the government’s two ROC ‘value for money caps’. While industry broadly agrees there is cause for reducing the tariffs, cutting too deep and too fast will mean that biogas will only be used for electricity generation rather than grid injection, meaning the UK misses out on its valuable contribution to cost-effective low carbon heating and transport.

REA chief executive, Dr Nina Skorupska, said:

“It is right that government looks again at the green gas RHI tariff because the original policy design preceded any actual development in the UK, yet the pace and depth of the changes give real cause for concern.

“Green gas can be injected into the grid and drawn upon at any time for heating or transportation. Shrinking the tariff so it only works for very small plants is simply inefficient in terms of maximising the value of the biomethane feedstocks. The whole industry is going to have to work fast, hard and smart to ensure these proposals help rather than hinder the sustainable growth of the UK green gas industry.”

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Non-domestic RHI Changes

departmentofenergyandclimatechangeThe government has announced a new change to the non-domestic RHI (Renewable Heat Incentive), introducing new technologies to be covered by the scheme with new tariffs, which may affect existing participants.

The non-domestic RHI pays organisations for every unit (kWh) of useful heat produced using eligible renewable technologies. This counts towards the UK’s 2020 renewable energy target and helps reduce the nation’s dependence on polluting fossil fuels.

The second phase of the RHI scheme significantly increases financial support for eligible ground source heat pump (GSHP) systems, and now also includes air source heat pumps (ASHP).

Increased support will now be seen for:

  • large biomass heat projects
  • GSHP
  • solar thermal

New support will be given for:

  • air source heat pump
  • deep geothermal heating
  • biomass combined heat and power (CHP)
  • biogas

These changes follow a two-year long campaign by a coalition of industry bodies to include air to water heat pumps within the scheme, with similar calls to improve the attractiveness of the GSHP tariff, thereby establishing a more level playing field for all renewable heating technologies.

Dave Sowden, chief executive of the Sustainable Energy Association, said:

“The introduction of new technologies and increases to various tariffs are to be welcomed for a number of reasons. We are particularly pleased with the introduction of air to water heat pumps, and the improvements to the ground source heat pump tariffs, as these follow significant efforts by the industry in building a strong case for these changes, and a willingness on the part of the Minister and his officials to listen and adopt early changes where a strong case exists for doing so”

Clyde MacVeigh, marketing director at Dimplex Renewables, said:

“The improvements to the non-domestic RHI scheme are good news for both renewables installers and to organisations looking for an answer to rising heating bills.

“The non-domestic phase of the scheme has suffered from the glaring omission of air source heat pumps since it was first introduced in 2011. It was a bewildering omission of a proven technology which is well suited to commercial retrofit projects, particularly in off-gas areas in place of oil or LPG.

“With the domestic scheme now finally under way, we are expecting a knock-on effect in the commercial sector as overall awareness of renewable heat technologies and their cost-saving capabilities increases. The Department of Energy and Climate Change (DECC) has listened to the industry and these changes, together with improved tariffs for other technologies including solar thermal, will only give added incentive for organisations to invest.”

Tony Bowen, president of the Heat Pump Association (HPA), said:

“This is a clear demonstration of the commitment and resolve of trade associations, including the HPA, to work with DECC for the continued development and extension of the RHI schemes.”

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Heating industry stakeholders support the inclusion of gas absorption heat pumps

RHILeading heating industry stakeholders join forces to support the inclusion of gas absorption heat pumps (GAHPs) in the non-domestic Renewable Heat Incentive (RHI) under the upcoming formal review of the scheme.
The Heating & Hotwater Industry Council (HHIC); Sustainable Energy Association (SEA); UKLPG, trade association for the LP Gas industry in the UK; Baxi; British Gas; Calor; Robur; Viessmann; and Worcester Bosch have offered support. GAHPs are an available renewable heating solution that can readily deliver decarbonisation benefits for a wide range of properties on and off the gas grid without loss of comfort or infrastructure upgrades.
By combining two established technologies, a high efficiency modern condensing gas boiler and an air source heat pump, GAHPs provide an efficient and low carbon way to utilise gas and LP gas in homes across the UK. Cost-effective use of gas has the potential to reduce energy bills immediately and the technology itself provides an easy transition from conventional boilers for consumers. A number of companies develop a range of highly efficient GAHP products with diverse sizes and technical characteristics suitable for commercial, industrial and community heating.
The government’s Heat Strategy has identified widespread GAHP deployment as necessary to achieve binding carbon reduction targets. However, the opportunity to bring this key solution to market is time limited. It is critical that the formal review of the non-domestic RHI to be published in 2014 establishes support for GAHPs on par with other renewable heating solutions. Postponing a decision for the next formal review of the scheme in 2017 would be ruinous for the development of this key solution to UK energy policy objectives.

Roger Webb, director of the HHIC, said:

“GAHP’s are an alternative means of delivering renewable heat in the UK by making use of the existing gas infrastructure. Inclusion in the RHI is important to demonstrate their value and to drive up sales of these products.”


Dave Sowden, chief executive of the SEA, added:

“A crucial part of the non-domestic RHI review process is to ensure the right mix of technologies is available to support the intentions of the scheme and help to achieve the UK’s renewables targets. We would support the inclusion of additional technologies where they can be shown to meet the defined qualifying criteria and provide a cost-effective contribution. GAHPs are one such example of a technology with this potential and should be included in this review.” 

Rob Shuttleworth, chief executive of UKLPG, said:
“UKLPG and the LPG industry fully supports the inclusion of GAHP in the non-domestic RHI as a means of contributing to the reduction of off-grid carbon emissions and helping businesses located off the gas grid reduce their energy bills and increase their competitiveness.”
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Ideal Standard Launch Ideal PRO

idealproIdeal Standard, the provider of design-driven bathroom solutions, has launched Ideal PRO, its first dedicated scheme for the installer community.

The programme goes beyond traditional loyalty schemes in that it allows members to take advantage of rewards, learn on-the-go and network with the wider industry, all at the touch of a button.
Installers who sign-up to Ideal PRO will be rewarded with special offers and points every time they purchase an Ideal Standard product, from an official stockist. Points can be accumulated for every valid purchase and redeemed for a collection of more than 2.5million awards from homeware to experiences.
Collecting points is simple. Ideal PRO members can claim qualifying invoices manually through the Ideal PRO website, or via their mobiles. Additionally, members who make purchases at branches of Graham The Plumbers’ Merchant can have their points automatically credited to their Ideal PRO account. In addition to points, members will also benefit from personalised offers and exclusive discounts, which reflect their own preferences.
Collecting points is not only limited to Ideal Standard products, but also a selection of Armitage Shanks’ leading ranges.Mike Pentecost, UK marketing director Ideal Standard, said:

“We have hundreds of installers purchasing our products every day, so it makes sense for us to reward their loyalty.

“The scheme allows us to not only offer short term rewards and benefits, but long term support. By creating a community and helping to expand both industry and product knowledge at the touch of button, installers can widen their expertise and ultimately grow their business.”

Ideal PRO is available from August 1, 2014 and is open to independent installers.


You can pre-register now at: www.IdealPRO.co.uk
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New cookery school showcases Mereway’s Modern Classic

MerewaySchoolNew cookery school showcases Mereway’s Modern Classic

Mereway retailer, the Outlook Home Enhancement Centre has chosen the new Modern Classic collection for its new cookery school, located above the showroom in Alnwick, Northumberland.

The new business venture, Outcook Cookery School, was established by showroom owner Ben Keenan to create a vibrant food hub that promotes the best local produce and showcases the quality and design skills of the Outlook Centre.

Ben said:

“I knew when I first saw the Modern Classic collection that it would be perfect for the cookery school,

“We wanted the kitchen furniture to make a statement and to illustrate to our guests how great kitchen design can make cooking a pleasure.  It is the design details that really stand out, the tapered end panels, spice rack end units and open displays all create an amazing space.”

The cookery school has tall cupboards and open shelving around the walls with eight individual work stations for guests and one for the chef. Appliances are from Mereway Premier Partner, Caple.

Graham Jones, Mereway sales and marketing director added:

“We are delighted to be part of this exciting venture. Ben and his team have created a varied programme of courses that appeal to many different kinds of cooks and the venue itself is in great demand for private parties and events, we wish them all the very best of luck.”


www.merewaykitchens.co.uk

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