CERT implementation
Charles Hargreaves
11 December 2007
Overview
•
Drivers for the changes
•
Changes from EEC2
•
Overview of the tools
2
Key drivers for changes in accreditation of
measures
•
The Government’s objectives for the installation of measures
•
Changes in the market and the rate of market transformation
•
Ease the administration burden for both the suppliers and Ofgem
– But the system that is implemented needs to be robust
3
Broadening the scope of activity
•
In EEC1 and EEC2 the suppliers could only be accredited for
improvements in Energy Efficiency
•
In CERT suppliers will be accredited with the promotion of
– Improvements in energy efficiency
– Microgeneration measures
– Demonstration action aimed at determining the energy saving
from new measures
•
In addition they will be incentivised to
– deliver certain measures to the Priority Group
 The incentives make up a small fraction of the overall target,
the bulk of the target will be met with standard energy/carbon
saving measures
4
Estimation and determination of a reduction in
carbon emissions
•
The CER target is in lifetime tonnes of CO2 as opposed to lifetime discounted
energy savings in EEC2
Carbon saving = energy saving * carbon coefficient * lifetime
•
Most measures will be assessed on an ex ante basis, but it will be possible to
get accreditation of measures on an ex post basis
•
Carbon savings for insulation and heating measures will be accredited based on
the property type and the number of bedrooms
5
Measures - insulation
Ofgem intends to remove the distinction in savings between fuel
types for insulation measures
•
•
•
Professionally installed loft insulation
– the variation in categories is proposed to be removed;
carbon savings will be accredited from less than 60mm and
60mm and above
– The range of final thicknesses would remain the same as in
EEC2 (200mm, 250mm and 270mm)
DIY loft insulation
– Marketing plan is proposed to be used to demonstrate
additionality
Cavity wall insulation
– Average carbon savings would be accredited in line with
Defra’s model
6
Measures - heating
The distinction between fuel types will be maintained for heating measures
•
Boilers
– as the market is already transformed, we consider that it is no longer
appropriate to accredit the saving for replacing a B-rated boiler with an
A-rated boiler
– However, the replacement of D-rated exceptions to the Building
Regulations with an A-or B-rated boiler can be accredited
•
Fuel switching
– Suppliers need to demonstrate how their promotion will lead to an
increase in the uptake
7
Measures - appliances
•
As the cold appliance market is nearly transformed, it is no longer appropriate to
accredit savings based on the difference between the market average and Arated appliances.
– only A+ and A++ appliances are accredited based on the difference between
the market average and the consumption of A+ and A++ appliances
•
The fridgesaver mechanism will continue to operate.
•
Consumer electronics – to ensure additionality, we will consider market
penetration of the efficient models. This will be assessed on a case by case basis.
8
Measures - lighting
• The government has an aspiration to phase out GLS lamps.
• In line with Defra’s model we will to increase the lifetime
attributed to CFLs from 6,000 hours to 10,000 hours
• The distinction between medium/high and low use will be
removed and one carbon saving would be accredited to all
CFLs, including promoted through the retail route
• Halogens and diachroics will be accredited separately
9
Assessment and reporting
•
Assessment procedures
– The assessment procedures and processes for CERT will be similar to those
for EEC2
•
Quarterly reporting
– The procedures for quarterly reporting will also be similar
– However, to enable more robust reporting, suppliers will be required to
provide more detail on the number of measures installed
10
The Priority Group flexibility mechanism
• Priority Group flexibility schemes will submitted in the same way
as other activity
• The eligible measures promoted will get an ‘uplift’
• The savings including the uplift are capped at 5% of CERT target
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Eligible measures for PG flexibility activity
Solid wall insulation
Ground source heat
pumps
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Innovation in CERT
• 2 routes:
– Market transformation (new to the programme eg
microgeneration)
– Demonstration (new tech. or delivery of savings)
• Market transformation will work in a similar way to Innovation in
EEC2
• Demonstration will allow the suppliers to trial new measures and
will be accreditable in relation to the money spent
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Demonstration action
• ‘A Demonstration action is an action that may reasonably
be expected to promote a reduction in carbon emissions’
• Trialling a technology
• Trialling the consumer reaction to a technology
• Trialling consumer reaction to better information
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The scheme submission spreadsheet
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EEC2 Supplier progress
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60
40
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EE
C
ca
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Q
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Q
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Q
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Q
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Q
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C arry Over PG
PG target without carryover
Achieved nPG
PG trend
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ov
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0
Achieved PG
C arry Over nPG
nPG target without carryover
Total trend
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