Feed in Tariffs

The Feed-in Tariff scheme  as defined by this government is ill conceived. It does not tackle the problem of energy conservation nor CO2 reduction and appears to be more suited as an investment that will make wealthy people richer. It does not help the fuel poor, nor does it help the householder who simply wants to do their bit for the environment, rather it will make energy cost more, particularly for those who are currently struggling to pay their bills.

Below I have proposed an alternative that will encourage and reward conservation, will mean cheaper bills for the lower energy user and will support the homeowner who wants to generate their own electricity.

The Spanish FIT scheme has just closed, it proved to be too costly. Germany’s has been seriously scaled back, for the same reason. Experience shows they are not sustainable.

Our FIT scheme is going to favour the large investor taking over large plots and setting up large scale arrays, the householder is going to be sidelined – though they will ultimately pay through higher tariffs!. Basically the Labour Govt’s scheme, which you will inherit, is not at all focused on saving energy, or reducing carbon, it seems to be about developing an alternative investment.

Even now it is being touted as providing an 8% return on investment, that is so wrong, isn’t this about saving the planet?

FITs favour the investor with money and ultimately are paid for by the consumer, the energy poor, at the bottom of the heap

An Alternative?

What follows is simple and I hope innovative, solving many problems.

I would like to suggest an alternative scheme that will encourage both renewable energy generation, reduction in consumption and address fuel poverty.

Current Situation

When you purchase your electricity – as we all do – the 1^st 1,000 units or so are charged at a premium. This is the alternative to paying a standing charge. In my case with Eon my current quarterly bill shows 242 units at 22.84p  then 1982 units at 8.71p.

The more I use, the cheaper (average cost per unit) it gets.

Anybody on a low income or trying to save electricity will pay a higher average cost per unit as they lower their consumption.

Here’s an alternative (domestic only).

Through OFGEN, Energy companies will be directed to reverse their charging scheme, charging a low tariff, lets say 10p per unit up to the UK average consumption for a domestic property. Any consumption above that is charged at a higher rate, I would propose a sliding scale that I have detailed below.

Immediately we have clear incentives.

• The less energy used, the lower the average cost of each unit.

• Those who are on lower incomes and lower energy use will immediately benefit with lower cost energy.

• Higher users of energy will pay more and have a clear incentive to reduce energy consumption.

• Higher users will also have a clear incentive to invest in microgeneration. Anything they generate, by definition will be saving money at the higher rate.

• Surplus energy exported to the grid is used to reduce the overall consumption bringing the consumer / generator nearer to, or below the average.

Going forward, the average energy use will decline, there is now a clear incentive. As the average goes down, that point at which the higher tariff starts kicking in also declines, hence there is a simple process that will reinforce the incentive to keep reducing consumption. The average consumption being publicised and re-set each year. (we are all, as a nation now part of this drive to save energy)

Identifying the average UK consumption is relatively easy, the data exists and it is only numbers.

In numbers.

An average consumption of say 8,000 units per year, a baseline cost of 10p per unit, any consumption above 8,000 but less than 12,000 charged at 20p

Above 12,000 charged at 40p (sounds high?)

Low income, energy poor benefits: A low income consumer immediately benefits, their cost is 10p per unit. Considering a 6,000 unit consumption compared to now (1,000 at 23p + 5,000 at 9p = an average of  11.3p) their energy cost comes down.

Mine goes up. I use 9,000 units, about £950 or an average cost of 10.5p ie less than the person on a low income and low consumption. My cost goes up to and average of 11.1p per unit, as I use more, my average cost goes up.

Now, I have wind turbines and solar PV so my consumption is already low compared to similar families / houses. If I didn’t have these, my consumption would be higher, my average cost would be higher.

Note, the costs per unit remain in the same ball park figure as existing costs.

The process and impact

The break points for doubling and quadrupling the cost per unit above are at average consumption, 1.5 times average and twice average. (keeping it simple)

A high consumer will have a clearer incentive to reduce consumption, ie their average cost goes up the more they use rather than down! 40p per unit means I will certainly switch my lights off and choose a more fuel efficient fridge.

40p per unit means Mr Average will also have an incentive to install microgeneration. I would see a simple additional reward in that exported electricity can bring down the net overall use. If my use is 9,000 units, I export 1,200, I pay for 7,800. While the average consumption is 8,000 units I pay at the 10p rate. As the average goes down, I must in turn look for other ways to save energy if I want to keep my per unit cost at 10p!

Feed in tariffs become an irrelevance.

There is no need whatsoever for the complexity of Feed-in Tariffs, nor can the money to finance Feed-in Tariffs run out, nor, with the utilities paying for the Feed-in Tariffs will we see ever higher electricity costs being passed on to the lower income consumer to benefit the wealthy investor!

Every year the average will come down as there is more microgeneration and energy saving. That means the point at which the higher costs start kicking in will be at a lower baseline, it is self sustaining towards ever lower consumption!

The lower income, lower users of electricity are generally well below average consumption so for some years remain insulated from this process.

The energy companies?

Well, they will be free to set their rates, I have used 10p as an example, they can be  as competitive as they wish. All they have to do is follow a formula of less than average consumption is charged at X, Average to 1.5 times average is 2X , more than 1.5 times average is 4X. These figures could be fine tuned but that would give an opportunity to procrastinate for the next 5 years.

I can see tariff packages where there is a standing charge then a lower X, No standing charge but a higher X.

NB. This is workable. I have worked within the regulated Water industry and am currently working within the energy sector, in particular energy switching so am very aware of how energy companies try to differentiate and compete.

Also, consider this. There are only 500 people qualified to install microgeneration systems that might be eligible for FITs. Compare this with 60,000 Gas Safe (Corgi) qualified engineers.

Requiring an MCE (Microgeneration Certified Engineer) in order to qualify for a FIT simply duplicates existing quality schemes.

Feed in Tariffs, a kick in the teeth!

Feed in tariffs will NOT apply to ANY system that has already been installed.

If you have a renewable energy system, your system, as with mine will continue to receive the same, pittance, a minimal financial return on generated and exported electricity. This will apply to all systems, all the schools, community halls, the public everybody who has put their money where their mouth is!

Only systems that have been installed under the new MCS (Microgeneration Certification Scheme) will be able to claim the much publicized 35p per unit generated. The MCS has yet to be finalized and though it replicates the IEC regulations that your system (and mine) will certainly comply with, the MCS is an additional layer of bureaucracy that seems to function only to sideline us. (Us being all the people who have created this industry, lobbied for feed in tariffs and changes in the planning law and who have (for whatever reasons) coped with the high cost of installation).

This MCS will severely curtail the number of companies able to install solar PV, retaining a very tight club of installers and almost certainly allowing for a ‘cartel’ pricing structure. Solar systems are already twice teh price in the UK as Germany! It does not add to the quality of equipment or installation as Part P and IEC (IEC is the recognised international certification scheme) already have that function.  The cost of management of MCS and the quango that will be created will almost certainly be higher than the money saved in alienating us through avoiding payment for solar generated electricity.

I would expect that the negative publicity associated with the sidelining and effective alienation of all early adopters who would otherwise be actively promoting this technology will also represent a cost in that the scheme must now be publicized at a cost to the taxpayer.

I am an early generator of solar energy with a professionally installed Solar Century system. It is grid connected and the Highest power station in Kent. I was part of the EAMA study and have and expect to continue exporting renewable electricity. My electricity and system seems to be perfectly adequate, the system will be exactly the same as new systems!

This twist to the Feed in Tariffs whereby only new systems can apply is a slap in the face to all of us who have facilitated the creation of the renewable microgeneration industry in the UK. Without us investing in this new technology, there would be no industry, no installers, nothing!

I do not understand the Governments atitude in alienating so many people. people who should have been supported as they would have been fantatsic free publicity. EVERYBODY with a system is going to be ‘hurt’ by this. There will be NOBODY with an installed system who will be out there actively promoting – we won’t be saying, get a system, we will be saying, “I’ve been utterly let down, don’t trust these people”.

Worse than this, it will be financially beneficial for me to scrap my existing system and install what will almost certainly be an identical system, just 5 years newer (with the same 25 year and more lifespan). Whoever came up with this incompetent system, well, words fail me!

This Government should hang its head in shame!

Also see: http://www.yougen.co.uk/equal/: Join our Campaign for Equal Cashback with petition.

E.on and my OWL Energy Meter

My record of energy use over the last couple of years

My e.on account records my energy use on a month by month basis.   April is when I bought an OWL energy meter!

The energy use is generally low for my property as during the summer (mostly) I have solar PV. I have just installed Wind so next year should show a further month by month reduction.

Realistically, All we are doing with the OWL is using it as a reminder to go round switching things off at night. There is more to do, but I expect my consumption to go up again as I am looking at getting an Air Source Heat Pump. Certainly cheaper to run than the oil system I currently have.  That, along with triple glazing should mean that next year we are warm!

OWL’s website

Why Isn’t Solar Energy being used in Egypt?

In July I took the family on a last minute trip to Egypt, booked on Monday, travelled on Wednesday!  Okay, flying is not the most environmentally friendly thing to do, but I’m not going to keep the kids at home for the sake of my personal views. Anyway, the seats would otherwise be empty – enough of that!

We stayed at one of the many fairly standard European hotels, in our case the Steigenberger Nile Palace.

July is hot! Very hot and with clear blue skies. Loads of solar energy covering the place! We cover up and work hard to keep the kids either covered or heavily sun creamed, hats are a must as are long sleeved shirts.

My point? There was all this very high quality and quantity solar energy but not a solar collector in sight! I even went on the hotel roof looking for them, then asked one of the senior hotel manager’s, a very informed Egyptian who agreed that there was no use of solar energy in the hotel and little use in Egypt, certainly none of the other hotels in Luxor used solar power.

Apparently this aversion to solar energy dates back 30 years to a project initiated by President Sadat to build a new village in the desert, the houses all having solar water heating. So, a failed state project 30 years ago and there is still no solar energy in Egypt!

Another problem associated with installing solar power, either for direct water heating or PV panels for electricity is the subsidy on petrol and other energy. Yes, the Egyptians will complain about the high price of energy, yet its still cheap and for the average egyptian, investing in solar panels such as we use in the west – to get every last therm from the sun, is just too expensive!

Solar Energy and the International Hotels

For the hotels, and taking the Steigenberger as an example, none of this should apply!

The Steigenbereger, as a German hotel chain (but so should all the international hotels) should have their roofs covered in solar water heating panels. Its not like a hotel doesn’t need hot water!

• Cooking
• Dishwashing
• Washing bedsheets
• Hot water supplies in Guest’s rooms

With the consistent sun in Luxor (and Aswan) solar panels might well be capable of generating all hot water requirements, certainly during the summer and possibly well into the main winter tourist season. The energy savings would be huge, each panel potentially producing twice or three times the volume of hot water as the equivalent in the UK – to an extent making the investment 3 times as effective! Even considering the subsidised energy in Egypt, a solar water heating installation would soon pay for itself, anyway, the international hotels shouldn’t be taking advantage of advantageous energy prices, any subsidy being aimed at the lower paid Egyptians, not the Western Tourist!

See: Google maps of Luxor – International Hotels, play spot the solar panel! (actually there aren’t any)

Low cost appropriate Technology

As for the average Egyptian, I was talking to an Egyptian who I would say was middle income, his view of solar heating was the high cost panels used in Europe and had missed the point that the only reason we used these was because we had so little sunlight. I suggested that all he needed was a long black hose connecte dto his water system, laid zig zag on his roof leading to a third tap in the kitchen or the bath. Even if it was only sufficient for perhaps a single bath in the late afternoon or enough for washing dishes during the day, it would soon pay for the pipe and then be free hot water!

There was little need for a technical solution

And the Embassies in Egypt

Images above show Google maps image of the accomodation in Islamabad and the main embassy in Cairo – no solar panels!

The same criticism of the major international hotels applies to the British Embassy in Cairo, not a single solar collector on the roof of the Embassy building!

I’ve also looked at the roofs of the accomodation and British High Commission buildings in Islamabad, again no sign of any solar water heating yet these are ideal locations for solar energy! But again, there is relatively low cost energy which acts as a distraction. Even so the FCO (Foreign Office) should be doing better!

What do they say on their website? Try a search for fco solar energy and you get this page: https://ukinegypt-stage.fco.gov.uk/en/about-uk/environment/renewable-energy which says nothing about what the FCO is doing, it is just a load of dogma! (bullshit is a better term).

For both the International Hotels and other corporations and the Embassies, there is an opportunity to show that the UK (and the west) is taking climate change and sustainable energy seriously by using the alternative energy sources that they promote in countries far more suited to these technologies than the cold and cloudy United Kingdom!

The Awful state of new housing

The story in the press at the moment about the pcso who was incorrectly suspected of running a drugs factory rather sums up both the awful state of new housing in the UK and the profligate way that people heat their homes!

Its July, a police helicopter with an infra red camera detects a house emitting exceptionally high levels of heat, so much they think it is a cannabis factory!

bbc article: http://news.bbc.co.uk/1/hi/england/cambridgeshire/7532503.stm

But no, its a new house with crummy roof insulation and a resident who has the heating turned up in the middle of the summer!

David Wilson Homes have stated that the insulation fully complies with their obviously extremely low standards – from the bbc The firm which built the house said it complies with “all relevant standards”. the house is 4 years old so won’t legally need to comply with the recent upgrades to the levels of loft insulation. Are David Wilson Homes actually saying that they only work to the minimum legal requirements? Surely a developer marketing a house as one of the eco-homes, or of any standard should aim to go way beyond the minimum!

David Bell, managing director for David Wilson Homes South Midlands, said: “All David Wilson homes are built to the highest specification and in accordance with all energy efficiency legislation and regulations.

Next time we have snow, have a look at the new housing developments. In Sittingbourne it was clear that the new homes, actually on housing estates still being built, lost their roof snow before the older houses.

And another thing. Its summer, we might not have the same temperatures that might be found in Southern Europe but there is no need to have the heating on, certainly not to the point that the house stands out as a hot spot!

This simple story really shows the dire straights we are in. Greedy developers and a public for all their statements about caring for the environment really don’t care!

Sad isn’t it.

Putting Cladding on the House

Its mid February, must be 12 or 14 degrees outside and feels like the best part of spring. The daffodils are starting to appear, Snowdrops were two weeks ago, trees are budding and I expect to see the 1st catkins anyday – even the Bluebells are starting to appear, not the flowers but the shoots that mean the flowers are about 1 month away. Bluebells in March!!! Bluebells should appear in May, after April’s Daffodils.

Anyway, the above seems to make my current activity seem rather futile. I’m working around parts of the house installing feather board cladding with 2 inches of ecotherm insulation underneath. The cladding should serve two purposes. on the one hand it will mean I don’t have to render over the brick exterior – I’m useless at rendering, on the other it will insulate the house externally thus keeping the mass inside and hopefully retaining heat. This weatherboarding is going on the parts of the house that get the least sun, thus avoiding insulating against the sun’s warmth – a sort of negative passive solar!

When complete it will mean I have both cavity wall insulation and an extra 2 inches of ecotherm and a layer of wood. All acting to reduce draughts and increase the insulative vol

ume of the wall. Don’t ask about the technology or science behind all this, I prefer to work along the lines of common sense.

In terms of cost, I would estimate about £10 a square metre excluding labour – its a fairly straightforward DIY task, but needs to be done with care as it is on the outside and needs to look good. Also it needs to be painted, I wanted this to last a long time so used ‘technology’ the paints did have a high VOC but felt that painting perhaps once every 5 to 10 years was better than using ‘eco paints that might last less long and risk earlier decay. I would certainly like to be proven wrong here!

I’m seeing a lot of cladding on new houses. Sadly the cladding is flush with any visible brickwork, clearly not concealing additional insulation!