Lead Authority: South Somerset District Council

Proposal theme: Environmental sustainability: Ensure that any new-build housing development provides some of its own energy from renewable resources.

South Somerset District Council intends to work through the Regional Spatial Strategy and planning policy (RE5) to increase the % of renewable energy provided on new developments.  We will also provide evidence to move to lower threshold numbers, which will require developers to use renewable energy sources on even the smallest of developments.

However, despite these policies, implementing this in practice will always be restricted by 3 factors:
1. The upfront costs of the basic infrastructure for developers investing in small sites, and initial development on sites that will eventually grow into larger developments;
2. The unit costs of providing the new technology;
3. Sufficient technical skills and knowledge are not generally in place within Local Authorities, in this emerging arena of spatial planning for energy. Additional support is required by specialist consultancies/or additional in-house resources to facilitate a robust response to Central Government policy in these areas.

We propose that in order to achieve a greater proportion of renewable energy on new developments, the Government should:
-  Provide the Homes & Communities Agency with dedicated and additional funding to support upfront costs of major infrastructure to enable installation of suitable technologies such as combined heat and power (CHP), associated with development.  This could be in the form of loans to developers to be recouped over the long term of the development’s life;
-  Invest in improving technology – across a range of options including, solar, CHP supplies etc, so as to reduce the unit costs of providing renewable energy sources on residential and commercial developments (as well as providing additional employment opportunities in the ‘green technology’ sector);
-  Develop an information resource for Local Authorities and master planners involved in physical regeneration and redevelopment.

What issues is your proposal addressing and how it will promote the sustainability of the local community?

The installation of on-site renewable low and zero-carbon technologies (LZC) on new developments will:
-  Reduce the consumption of fossil fuels;
- Reduce CO2 emissions;
-  Reduce energy bills for residents;
-   Provide energy resilience if traditional power suppliers falter;
-  Encourage better long-term planning of larger developments, which may begin as small-scale developments;
-   Enable existing development to access renewable energy from near-by sources in the long term.

Who is affected by this proposal and how?

Local developers who currently work in partnership with local planning authorities to deliver development: By accessing loans through the Allowable Solutions mechanism which has been established by Government but not yet enabled. This could enable developments to meet up front costs of investment in the technology and recoup in the longe term.  There is a more realistic chance of delivery if the unit costs of these technologies is reduced.

Low income families especially those in fuel poverty, whose energy bills would be reduced.  Fuel poverty occurs when a household needs to spend 10% or more of their income on fuel to meet satisfactory temperature standards and pay for other energy services such a key meters.  Around 43,000 households are currently in fuel poverty in Somerset.  This represents about 20% of all households in the county.  In South Somerset, fuel poverty occurs in both urban and rural areas, but is highest in ‘hamlets and isolated dwellings’.   Between 2003 and 2006, fuel poverty grew by a factor of 3.3 in the social housing sector and 2.1 among owner-occupiers with a mortgage.   As energy costs are predicted to rise continuously, the proportion of households in fuel poverty will increase. Improving local fuel resilience goes along with sustainable construction of all new builds to reduce fuel poverty.

Which public bodies might be affected?

Local planning authorities would be able to enter into early discussions with developers, to factor in renewable energy supplies onto all developments.

What are the main actions needed from Government?

-  Provide the Homes & Communities Agency with dedicated and additional funding to support upfront costs of suitable LZC technologies as well as the associated infrastructure with all development.  This could be in the form of loans through the Allowable Solutions mechanism that has been established by Government but not yet enabled to meet the upfront costs of infrastructure to be recouped over the long-term of the development life.

We note the Homes & Community Agency’s new Low Carbon Infrastructure Initiative will go some way towards meeting this, but still needs massive expansion to turn sites across the country into reality;
-  Invest in improving technology, so as to reduce the unit costs of providing renewable energy sources on residential and commercial developments;
-  Invest in the green technology sector, to encourage growth and competition;
-  Develop an information resource for local authorities and master planners involved in physical regeneration and redevelopment.

What do you expect this proposal to achieve?

Most new developments in South Somerset to rely on renewable energy sources;
Reduction in dependence on fossil fuels;
Energy from local renewable sources could  in the longer term, be used to supply existing housing stock;
Reduction in fuel poverty in South Somerset (and nationally);
Improved health and wellbeing of residents in homes which they can afford to keep warm;
Developers able to build upfront infrastructure for renewables on sites, the cost of which would at present make devlopment unviable.