June 2008


In this issue

  1. NEWS
  2. CONSULATION UPDATE
  3. FORTHCOMING EVENTS
  4. PUBLIC RELATIONS UPDATE

  • NEWS
  • Economy

    National Statistics

    • The Bank of England’s Monetary Policy Committee yesterday voted to maintain the official Bank Rate at 5.0%.
    • The latest Bank of England data reveal that mortgage lending has fallen to a record low, with the number approved for house purchases halving over the past year. The figure fell by 46.3% from 113,000 in April 2007 to 58,000 in April this year.
    • The increase in total net lending to individuals in April (£7.3 billion) was weaker than the increase in March and the previous six-month average.
    • The increase in net lending secured on dwellings (£6.4 billion) was below the increase in March and the previous six-month average. The twelve-month growth rate slowed further, to 8.7%.
    • The Chartered Institute of Purchasing & Supply (CIPS) purchasing managers' index fell to 49.8 in May from 50.4 in April, sliding below the 50 level that separates growth from contraction and showing the lowest reading since March 2003.
    • Nationwide’s latest Consumer Confidence index reveals that:
      • Confidence levels dropped to 69 in May – the lowest level since the Index was first published in May 2004.
      • Sentiment about economic situation worsens, as 52% of all people think the current economic situation is bad. This is a 13% increase on the figure last month.
      • In contrast, views on employment remain more firm. 51% of all people believe there are many jobs available; this is up from 47% in April.

    Construction

    • The Construction Output statistics from ONS have been published. The headline figure shows growth in output between Q1 2007 and Q1 2008 of 2.3%, with similar levels of growth in both new build and repair and maintenance. Highlights include:
      • Compared with Q4 2007 output was 0.4% higher in Q1 2008.
      • The main areas of output growth compared with 12 months ago have been Infrastructure (+11%), Commercial (+11%), and public non-housing (+7%).
      • The main areas where output has fallen over this period was industrial (-11%), private housing (-10%) and public housing (-6%).
    • Halifax’ latest House price index shows that house prices fell by 2.4% in May.
    • According to the new figures by the Royal Institute of Charted Surveyors (RICS), the average cost of improvement work has risen by 20% over the past two years, due to the rising costs of transport and raw materials and a shortage of tradesmen.
    • The latest Housing market report of the House Builders Federation (HBF) reveals that:
      • The number of site visitors is -61 against the same period, a year ago.
        During the passage of the “marketing of goods” package through the European Parliament, some MEPs suggested that a new consumer safety mark was needed to strengthen consumer protection.
      • Net Reservations were -83 compared with the same period a year earlier.

    (source:Construction Products Association)
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    BERR Heat Call for Evidence – Results available

    The results of BERR’s Heat Call for evidence are now available to view at http://heatevidence.dialoguebydesign.net

    Here you can view all the responses made, including reference material and download the summary report. In order to view the results of the Call for Evidence you will need to register your details and login.


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    Microgeneration Report Published

    The Microgeneration Industry last week called on the government to bring forward strong policy measures underpinned by legally binding government targets for the numbers of consumers producing their own sustainable energy. Against the background of rising fuel prices, this call follows a report published on the largest piece of independent consumer research ever conducted into the market potential of microgeneration. The report concludes that as many as nine million microgeneration installations could be in place in the next twelve years with an ambitious policy support framework. If this was to happen, microgeneration could produce as much energy as five large new nuclear power stations and by 2030 we could be saving as much carbon as if we were to take all HGVs and buses off our roads.

    The report also makes clear that supporting policy measures underpinned by legally binding targets for microgeneration will act as a confidence boost for investors.
    http://www.berr.gov.uk/energy/sources/sustainable/microgeneration/research/page38208.html


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    Proposal for a new European consumer safety mark

    During the passage of the “marketing of goods” package through the European Parliament, some MEPs suggested that a new consumer safety mark was needed to strengthen consumer protection.

    The Commission launched a consultation, and industry across Europe has come out firmly against, arguing that we have sufficient marks already, and firmly supporting retaining CE marking, and the need for more market surveillance of that by the national authorities.

    Mindful that the Commission frowns a little on multiple identical responses and doesn’t like to count them, BEAMA members replied to this consultation along these lines, but in their own words.


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    WEEE Review

    The BEAMA–influenced ORGALIME response to the Commission consultation on the various options for revising the WEEE directive has now been submitted. BEAMA also responded separately, with a further message of support for not bringing into the scope products already widely held to be out. Some member states are keen to end the interpretation that fixed installations are out of scope, and BERR is battling valiantly on our side to retain it. The Commission also supports that basic position, but we need a few more member states also to speak up in support.

    Lobbying for this and our other main positions is ongoing


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    Commission’s proposals for next raft of EUP implementing measures

    The Commission’s DRAFT EuP WORKING PLAN - an indicative list of energy-using product groups which the Commission presently considers to be priorities for the development of implementing measures during 2009-2011 is now published. BEAMA’s dialogue with the Commission and UK government on these proposals is ongoing. All members are urged to familiarise themselves with what is being proposed, as many BEAMA products now touched by the existing and planned measures.


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    Waste Framework Directive

    Industry’s campaign to keep product design issues - already well regulated under other product legislation - out of the waste framework directive now being revised in Brussels, starts to show signs of success. Overlap and conflict between directives has grown as a problem in recent years, and the danger is particularly acute in this area.


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    Do you use Deca-BDE?

    From 1 July 2008, Deca–BDE is banned from electrical and electronic products in the scope of the RoHS directive.

    Its exemption from the current RoHS, granted a year or so back, was quashed by the European Court in April. The Court found that the Commission had not followed correct procedures.  The Commission asked for a nine-month transition period for industry if it lost the case (or the annulment would have taken immediate effect); the Court granted three. The UK, as did the industry, supported the Commission’s case.  Several member states, already unhappy with the exemption on environmental grounds, were on the other side. Others stayed silent.

    There is no appeal against the Court’s decision. The exemption was not overturned on environmental grounds, leaving the door open for the exemption to be requested again, but this is not a swift process, 12-18months, and all those countries will continue to argue against, on environmental grounds.

    This case highlights the numerous serous flaws in the RoHS approach. In the context of the RoHS revision, BEAMA and Orgalime continue to support putting the current RoHS directive on ice, and leaving further substances issues, from now on, under the all-embracing REACH rules, which are risk rather than hazard based.


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    Briefly Standards

    • Commission Communication on standards and innovation – industry response in preparation
    • Last call for comments on draft BS 18004 – OHS management sytems: guidance document
    • CLC environmental database – concerns surfacing about some “environmental aspects”.references
    • Plethora of eco-conscious design standards proposals – current IEC work holds the answer
    • Energy efficiency management – major work in progress
    • IEC reviewing its technical committee structure, and its standards’comments periods
    • BEAMA sectors reviewing their interfaces with standards activities
    • and much more.

    Contact Anne Humberstone if you would like to know more about BEAMA’s work in this area AnneH@beama.org.uk


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    The Existing Homes Alliance

    The Existing Homes Alliance, a newly formed coalition of housing and environmental organisations, businesses and government agencies is spearheading concerted action to reduce the environmental impact of the UK's existing housing stock

    The prediction is that 85 per cent of today’s homes will still be in use by 2050 which means the UK will fall drastically short of its long range targets to reduce carbon emissions unless collaborative and immediate action is taken.

    It is accepted that deep cuts of at least 80 per cent are needed by 2050, with major progress by 2020. According to the Alliance, this requires the UK to radically refurbish up to half a million homes every year starting now.

    Dr Paul Ruyssevelt, Director at ESD and Acting Chair of the Existing Homes Alliance said:

    "In forming the Alliance, we aim to drive concerted action among government, business, the housing sector and individuals to save carbon, create jobs, stimulate new business opportunities and reduce energy bills. Much as the zero carbon target for new homes is transforming the market, similar action on existing homes could enable the UK to become a world leader in tackling residential carbon emissions."

    The Alliance has detailed a number of bold measures which it supports as part of a UK wide programme of action, including:

    • A clear regulation timetable that takes account of measures such as enhanced building regulations, and minimum standards for household energy performance (based on the new Energy Performance Certificates)
    • A greater range of financial incentives to encourage investment by homeowners, landlords and housing managers, including VAT reform on refurbishment, stamp duty and council tax rebates, low interest rate loans, feed in tariffs, grants and energy service packages
    • A major programme of exemplar low energy refurbishments to help kick start the supply chain and drive innovation, investment and skills development. At least 500,000 homes should be targeted within 5 years and should include individual 'exemplar' houses within each local authority area as well as 'whole street' projects in areas of high fuel poverty concentration
    • Trusted installer registers, mandatory training and up-skilling for building professionals to cover the full range of energy and resource efficient techniques, and badging to make the public aware of these skills, such as for CORGI and registered electrical installers
    • A public information campaign to counter misconceptions among homeowners showing how to raise the environmental performance of their homes

    Further information about the Existing Homes Alliance can be found at: www.existinghomesalliance.org

    For a copy of the Declaration on the Future of Existing Housing, visit: www.existinghomesalliance.org/declaration_dec.php


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    Smart metering – What’s happening

    There has been significant interest in smart metering over the last couple of years, and you could be forgiven for wondering what is happening now. When are the utility companies going to start installing smarter systems? A good question, and one that the manufacturers of smart metering systems are also considering!

    It is worth reminding ourselves that there is very little, if any, opposition to a roll out of smart metering for electricity and gas customers across the UK. All the ‘Big 6’ energy retailers are publicly in favour, manufacturers are ready and there is full support from a range of consumer and green lobby groups.

    At the end of April the Government made some significant announcements about what they intend to do, summarised below:

    • The Government intends to legislate for a roll-out of advanced metering to medium business over the next 5 years, it has announce in early June the plans for a detailed consultation on this
    • The Government has proposed amendments to the Energy Bill that will give the Government the powers it needs to take the next steps on smart metering for domestic and small business customers.
    • Final decisions for each market sector are subject to further analysis and impact assessment work
    • Once these have been carried out questions on the timetable for functionality and the method of any roll-out will be answered
    • The Government published a consultation impact assessment setting out where we have reached in our impact assessment work to date for a roll out to domestic / small business customers. This can be downloaded at http://www.berr.gov.uk/files/file45794.pdf. At time of writing comments on this document have just closed.

    In addition to these legislative announcements there have been two significant policy decisions

    Smart metering for medium sized businesses

    For larger business sites (those in electricity profile classes 5-8 and those using over 732 MWh of gas per annum) will receive a minimum of advanced metering when meters are newly installed, when existing meters are replaced and in all other cases by 1 January 2014. Following the short, final consultation it is fully expected that the new arrangements will begin on 1 January 2009.

    Mandatory roll out of real-time displays

    In the energy white paper in may 2007 the Government proposed that all new and replacement meters must be installed with a real time display and that any other customer could request a free display at any time. This policy was opposed by the majority of the industry as a partial ‘slicking plaster’ policy, taking away the focus and funding from full smart metering solutions, which would included some type of display devise.

    In April the Government took the decision not to proceed with the proposed requirement on suppliers to provide real-time display devices on a new and replacement basis, or with a mandated on-request policy. The Government did state however that real-time displays have the potential to help consumers reduce electricity consumption, particularly ahead of a possible full roll-out of smart meters. Therefore they will work with suppliers to reach a voluntary agreement on how displays can be made available to customers in the short-to-medium term.

    What does all this mean??

    The mass roll out of smart metering to all UK customers for electricity and gas is still very much on the cards; the timescales and methodology for this are still being debated; smarts for medium sized businesses will go ahead from 1st Jan 2009; there is no mandated roll out of real time displays.

    Most commentators including this one feel that the Government has made some progress in setting the frameworks for a roll out, but needs to as soon as possible announce their intentions for the domestic market to allow the industry to get on with installations!!


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  • CONSULTATIONS
  • Part G Consultation

    The Government has published a consultation on options for revising Part G of the Building Regulations addressing sanitation, hot water safety and water efficiency in buildings.

    This consultation follows a wide ranging review of Part G of the Building Regulations and delivers on two Government commitments:

    • to introduce into the Building Regulations a whole-building water efficiency standard of 125 litres per person per day for new homes; and
    • to review how Part G and the associated guidance addresses hot water safety.

    The consultation can be accessed via the Communities and Local Government website at: http://www.communities.gov.uk/publications/planningandbuilding/partgconsultation and closes on 05 August 2008.

    BEAMA will be co-ordinating a response for members. General comments on water efficiency and hot water safety should be sent to Kelly Butler at kbutler@beama.org.uk or Nic Mallinson at nic.mallnson@beama.org.uk .

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    Scottish Building Regulations

    The Scottish Ministers are presently considering proposals for amending the regulations under the Building (Scotland) Regulations 2004 and the guidance provided in the Technical Handbooks. There will be 3 separate consultations:

    1. A review of standards and guidance on section 2: Fire of the Technical Handbooks relating specifically to escape in the event of a fire
    2. A review of standards and guidance on section 0, 3 and 4: General Environment and Safety of the Technical handbooks relating to various issues but which predominantly cover sustainability
    3. A review of standards and guidance on section 5: Noise of the Technical handbooks

    The 3 consultation packages and all the associated documents can be found at www.scotland.gov.uk/consultations. The consultation is open for 12 weeks from 6th May 2008.

    If you have comments on these to be incorporated into a consolidated BEAMA response then please e-mail them to Kelly Butler at kbutler@beama.org.uk by no later than 7th July 2008.


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    DEFRA Issues Consultation on Phase Three of the EU Emissions Trading Scheme

    DEFRA have issued a consultation on the EU Commission’s proposals to amend the EU Emissions Trading System from 2013. The consultation document along with a partial impact assessment and letter explaining how to respond can be found at: http://www.defra.gov.uk/corporate/consult/euets-2013amendments/ Responses are to be provided direct by members and must be received by 30 July 2008.


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  • FORTHCOMING EVENTS
  • BEAMA Sustainability Strategy Reception

    The BEAMA Sustainability Strategy consultation event will be held on 18th June 2008. The event will be at Portcullis House, Westminster 6-8pm.As a BEAMA member you are invited to join the event and to represent your part of the industry, in discussions with the MPs and stakeholders.

    BEAMA has been working with members and other stakeholders over the last 12 months developing its White Paper on sustainability. The paper is now in draft form, and is planned to be available in consultation format in Mid June. As part of the process of consultation, we have arranged an evening event on the 18th June, and have invited 100 MPs, and up to 80 other stakeholders.

    Following the event we will ask all consultees, including BEAMA members to provide additional information and comment, to help us draft the final document for publication in September. When the paper is issued instructions for how you can make your comments will be included.

    We hope that you will be available to contribute to the development of the White paper, and be able to attend the event.

    Can you please let Angela Samuel know if you intend to attend. angelas@beama.org.uk


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    HHIC Annual Conference
    The Carbon Factor - bringing energy efficiency home
    Royal College of Physicians, London
    Tuesday 7th October 2008

    This conference, which is supported by BEAMA and other industry organisations, will explore the policies behind zero-carbon homes, the energy efficiency performance of heating products and microgeneration. It will provide an independent view of the heating markets in the UK and the EU, the prospects for microgeneration and fuel poverty and concludes by highlighting the industry challenges ahead. The event begins with the keynote address presented by Iain Wright, Parliamentary Under Secretary of State followed by a series of short presentations by eminent and influential industry speakers. To register early interest in attending and receive an early bird discount, call Rhian Surface, Event Manager, HHIC on 01926 462915 or e-mail rhian@hhic.org.uk.


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  • PUBLIC RELATIONS UPDATE
  • BEAMA’s PR machine continues to ensure the association maintains a high industry profile - providing authoritative comment on issues, via news releases, articles and events publicising BEAMA activities and the excellent work implemented on behalf of members.

    Here’s a round-up of just some of the recent BEAMA media coverage in key industry titles:

    Anti-counterfeiting industry charter – BEAMA joins forces with industry bodies to show resolve in combating counterfeiters of electrical goods.

    Electrical Contracting News – June ’08
    Electrical & Mechanical Contractor – May ’08
    Hardware Today - April ’08
    WattsWatt portal – April ’08
    Voltimum/VolitiNews – March ’08
    Homes4media portal – March ’08
    Engineering Talk portal - March ’08
    ERT - March ’08
    Building Talk portal - March ’08


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    Energy - BEAMA endorses Green Alliance ‘Teaching Homes to be Green’ Report

    WattsWatt portal - May ’08
    Electrical Contracting News – May ’08
    PHAM News – May ’08
    Politics.co.uk portal – April ’08
    Housing Assoc Building & Maintenance – April ’08 – Code for Sustainable Homes
    Voltimum/VolitiNews – April ’08 – BEAMA discusses Smart metering/integration of building services
    Local Government Exec – March ’08 – TEHVA article – electric heating solutions/low carbon economy.


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    Energy – BEAMA/RVA CPD seminar for domestic ventilation

    Electrical Contracting News – February ’08
    Elec Wholesaler – Jan 08
    Local Authority Building & Maintenance – Jan ’08.
    Local Government Executive – Dec/Jan ’08 – TMVA/Hot Water Burns Like Fire Campaign article.
    Voltimum/VoltiNews – March ’08 – Dave Dossett On My Desk feature.


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