My Lords, estimates of the carbon savings from the zero-carbon homes policy in England have been included in the updated emissions projections published by the Department of Energy and Climate Change. In the next update of those projections the Government will be taking into account the decision not to proceed with the zero-carbon allowable solutions carbon offsetting scheme for homes or the 2016 increase in on-site energy efficiency standards.
But is the Minister not aware of the deep concern in response to this decision about the impact not only on climate change but on the construction industry? The UK Green Building Council called it,
“short-sighted, unnecessary, retrograde and damaging to the house building industry which has invested heavily in delivering energy efficient homes”.
Does he recall that his noble friend the Minister Lord Ahmad of Wimbledon told this House in November:
“I assure noble Lords that the Government will strengthen standards and deliver zero-carbon homes from 2016. That is and remains a clear commitment on which we will be held accountable if we do not deliver”.—[Official Report, 5/11/14; col. 1709.]?
How will the Minister hold his noble friend to account for this failure to deliver?
I understand that the noble Lord is exercised about this but research has shown that the zero-carbon standard would have placed a significant regulatory burden on housebuilders and developers. These changes will give rise to the challenge of building more homes, including new starter homes. The carbon offsetting element—the so-called “allowable solutions”—would count as a tax on developers and would be of no benefit to the homebuyer, so we are giving the industry some breathing space.