Energy Bill [HL] Debate

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Energy Bill [HL]

Lord Grantchester Excerpts
Wednesday 2nd March 2011

(13 years, 9 months ago)

Lords Chamber
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Lord Oxburgh Portrait Lord Oxburgh
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My Lords, I, too, strongly support this amendment. Innovation is moving extremely fast here. A couple of weeks ago, I had the privilege of being a judge in the final of the Shell springboard competition, which, as many noble Lords will be aware, aims to encourage and support small companies which are bringing what I might loosely describe as green technologies to the market. One of the two winners of this competition produced a technology which will have profound implications for the Green Deal—namely, a domestic voltage regulator. That is not a person; it is a very small piece of machinery. Without becoming too technical, I should explain that the appliances in our houses work on 220 volts. For technical reasons of the grid, typically it supplies us with something like 240 volts and 250 volts. That excess voltage, at best, does not do any harm to our domestic appliances, and at worst it damages them, because they receive too high a voltage, and it is indeed wasted. A domestic voltage regulator regulates down to 220 volts, and the consequence is that one proportionately reduces one’s electricity use. This is now a well-tried technology, and has the scope of reducing domestic use of electricity across the country as a whole by around 10 per cent, which is a massive saving. This is the kind of technology that we need to make sure is taken up rapidly. It has now been thoroughly tested, is already available, and has been in use for a number of years at the large-scale commercial level.

Lord Grantchester Portrait Lord Grantchester
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My Lords, these amendments to Clause 7 seek to strengthen the framework for ensuring the quality of Green Deal improvements and products, and address a number of points made in Committee. Amendment 17 provides that Green Deal improvements must meet standards set out in the code of practice, and that if the Government decide to use the power to create a list of products that meet the standard, this can be administered and updated frequently. Amendment 19 makes provision for a testing methodology and certification process for products. Amendment 20 is simply a repositioning of text which was previously contained in Clause 7(3)(a), and makes clear that the code of practice is issued under the authorisation scheme in the framework regulations.

In Committee, we had a full discussion on the challenge between the need for certainty of standards and codes, and their drafting and interpretation to the complexity in the housing stock. Although there was a recognition that certain standards of work, of procedures to follow, and of improvements in products should be consistent in the provision of the Green Deal, there was a recognition that flexibility would be required to meet varying properties with differing levels of energy efficiency. The Committee reconciled the differing approaches by expressing a wish for a guarantee of quality to be recognised, so that there would be consistency of outcomes that would provide a greater level of confidence, vitally required to produce the maximum uptake of the Green Deal. The Minister and his team have listened to what has been said on this. These amendments, as proposed by the Minister, meet the Committee’s concerns, and I am grateful that the Government have come forward with them on Report.

Baroness Northover Portrait Baroness Northover
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My Lords, I thank noble Lords for their contributions to this debate, and particularly the Opposition Front Bench for their welcome of the government amendments. The Government believe that the approach of my noble friend Lord Teverson could be permitted under these amendments, though I recognise that an ombudsman is not specifically mentioned. There has been quite a debate about how specific you should be, and on the pluses and minuses of that within this, which is a tension within the Bill as a whole. How do you ensure that you have got customer protection and standards, and how do you make sure that does not then become too prescriptive and restrictive? As the noble Lord, Lord Jenkin, mentioned, there has been wide consultation with many of those who operate in this area, and I can assure him that, in terms of addressing these areas, the Government will continue to do that. Their experience of the problems that have arisen in the past will be very useful in terms of feeding in to ensure that the work taken forward addresses those kinds of problems.

The noble Baroness, Lady Finlay, mentioned carbon monoxide monitors, and primary and secondary products like this do come under what we are discussing here. She recognises that my noble friend Lord Marland gave a very sympathetic hearing to the very important point that she made at an earlier stage. Again, that is something that comes within this.

The noble Lord, Lord Deben, is right about the difficulties of having a specific list and the noble Lord, Lord Oxburgh, also referred to that. It is extremely important that the Bill is not out of date by the time it is finally concluded in the other place. We have to be extremely careful about lists. There is a balance between trying to ensure that what happens is not too specific and that we have a high standard, but that we are stimulating innovation and not stifling it, as noble Lords said.

In the light of those assurances about what we seek to do, I trust that noble Lords will accept the government amendments. Although we fully understand where the noble Lord, Lord Teverson, is coming from with regard to the ombudsman, we hope that at this stage he will be willing to withdraw his amendment.

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Moved by
53: Clause 31, page 20, line 14, leave out “a court or tribunal” and insert “the High Court”
Lord Grantchester Portrait Lord Grantchester
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My Lords, during Committee we expressed a clear wish to see as much information regarding appeals as could be provided with clarity in the Bill, rather than it being included in secondary legislation. While we accept that there is no requirement to specify further all the details regarding appeals, which is the challenge we are making under Amendment 54, nevertheless we still feel that we need to be more precise in specifying the nature of the appeal forum. That is the subject matter of Amendment 53.

I have undertaken some quick research into Acts with appeals sections. Without undertaking an exhaustive search, I can cite the Housing Act 2004, with proceedings relating to tenancy details, the Education Act 1993, specifying a special educational needs tribunal, the Children, Schools and Families Act 2010 and the Social Security Act 1998. All those specified with greater clarity the tribunal and the relevant way it will operate. We seek to bring that same level of clarity to this Bill, especially in regard to what the relevant authority is regarding appeals. I beg to move.

Lord Marland Portrait Lord Marland
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My Lords, this is a valuable amendment. It is clear that we have to have a course of action if things do not go correctly. At this point in the process, though, it is fundamental that we work out what the sanctions are before we establish the process. Because at this point we have not established the sanctions, we cannot yet establish the process. It will take us some time to work this through; noble Lords in the Opposition know that we are at an embryonic stage with this. It is fundamental and we are committed to making sure that there is a right of recourse and there are sanctions. As the Bill progresses and we get into secondary legislation, I know that the picture will be much clearer, and I agree that that is important. I hope that that answer gives noble Lords confidence that we acknowledge where they are coming from and that we are taking steps to deal with it, and I hope that the noble Lord feels able to withdraw his amendment.

Lord Grantchester Portrait Lord Grantchester
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I am grateful to the Minister for his recognition and acknowledgment that this is an important area that still has to be filled in with greater clarity. We know that there are many opportunities yet for the Bill to be so amended, and even for part of it to come forward in the regulations. On that basis, I beg leave to withdraw the amendment.

Amendment 53 withdrawn.
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Baroness Northover Portrait Baroness Northover
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My Lords, government Amendments 67, 68, 91 and 92 give the Secretary of State the power to expand the range of tenancy types that are within the definition of “domestic private rented property” in Clause 35. They also clarify that the Secretary of State is able to consider non-PRS properties in the review if he considers it appropriate to do so.

We committed to considering the amendments of my noble friend Lord Teverson and the noble Baroness, Lady Maddock, from Grand Committee on the definition of this type of property. After that consideration, we now propose these government amendments. These amendments also make it clear that the Secretary of State’s review of the PRS might include a review of the energy efficiency of other types of property if he or she considers it appropriate.

Amendment 67A would amend the definition with the intention of not excluding social housing from the PRS provisions within the Bill. After an extensive debate in Committee, we agreed that we want to see the social housing sector continuing to improve its energy efficiency performance. That sentiment still stands and the Government are actively engaging with the sector to ensure that this is the case under the Green Deal. However, we feel that in the context of the PRS provisions, which are all about targeting the worst performing housing sector, regulating social housing is not necessary at this stage.

In addition, the PRS and social housing sector are governed by very different frameworks. While the PRS includes a large number of landlords, each with a small number of properties, the social housing sector contains considerably fewer landlords each with hundreds or thousands of properties. These social landlords have been subject to previous requirements to invest in the energy efficiency of their stock. However, we want to encourage the social housing sector to continue to drive up standards across its stock and will be keeping a careful watch on the sector’s uptake of the Green Deal. With that explanation, I hope that noble Lords opposite will be content to withdraw Amendment 67A, and that the House as a whole will be willing to accept government Amendments 67, 68, 91 and 92. I beg to move.

Lord Grantchester Portrait Lord Grantchester
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I have listened to the noble Baroness’s comments on the government amendments which enable the Government to extend a review of energy efficiency to the social rented housing sector and provide a flexible instrument for expanding the definition of “private rented sector” in the Bill to cover other types of property. We are most grateful to the noble Baroness for her explanation. In the light of these concessions and the conversations that we have had with the department on this subject, we no longer feel that it is necessary to move our own amendment on the future of social rented housing as it is clear that this type of housing is intended to fall within these provisions. As I say, I am very grateful to the noble Baroness for her explanation.

Lord Bishop of Chester Portrait The Lord Bishop of Chester
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My Lords, I wish to speak briefly on this matter and ask for a response from the Minister, possibly in writing as she may not have the information to hand. Quite a few vicarages might benefit from the Green Deal. Older vicarages are typically not well insulated and not particularly well looked after over time by their impecunious residents. They are prime candidates for insulation improvements but they are neither private rented nor social housing as such. Indeed, they are typically occupied under a form of licence. It would be helpful to be told either now or in writing—the Minister may prefer to reply in writing—how the Green Deal arrangements will apply to a considerable stock of houses that are occupied under licence by office holders such as clergy.