AQW 11264/22-27


Ms Diane Forsythe
Democratic Unionist Party
South Down


Tabled Date: 02/05/2024
Answered On Date: 05/06/2024
Priority Written: No


Question:
To ask the Minister for the Economy how he plans to help make going green more affordable for homes in Northern Ireland.


Answer:
The Climate Change Act (Northern Ireland) 2022 set out a target of 80% of electricity consumption to be from renewable sources in the north of Ireland by 2030.
Essential to meeting this target will be the establishment of a support scheme for renewable electricity. Departmental officials are currently working on a scheme design that will incentivise investment in larger scale renewable electricity projects ensuring consumers pay a fair price for electricity produced locally. Options for microgeneration support, including domestic renewable generation such as solar panels, will continue to be evaluated as part of our net zero ambitions.
As you may be aware, the Windsor Framework enables the British government to extend the VAT relief for Energy Saving Materials, previously available in Britian to the north. This means that people here will also be able to apply zero rates of VAT to the installation of energy-saving materials such as solar panels.
Department officials are preparing a public consultation on a low carbon heat support scheme in line with Action 8 of the Energy Strategy Action Plan for 2023. The outcome of this consultation will help to inform options regarding the design, rules, and guidance of future support for low carbon heating technologies which will include heat pumps.
My department is also currently preparing a consultation on evidence-based options for a domestic energy efficiency programme in line with Action 7 of the Energy Strategy Action Plan for 2024. The outcome of this consultation will help to inform options regarding the design, rules, and guidance of future support. In the interim, the department is working with partners such as the Utility Regulator to assess the options for further scaling of up existing energy efficiency programmes.
I have also liaised with the Department for the Communities for an update as it is leading on the Residential Buildings Sector of the Climate Action Plan. Part of this work will consider how future Energy Efficiency Schemes can employ affordable options to decarbonise, including improved insulation and low carbon heating solutions.
Work has begun on developing a new Fuel Poverty Strategy which will provide a long-term framework for addressing fuel poverty and its impacts with intensive pre consultation stakeholder engagement currently underway. This engagement includes development of the successor to the current Affordable Warmth Scheme which assists those low-income owner-occupiers and households in the private rented sector, with the costs of energy efficiency measures.
The new fuel poverty energy efficiency scheme will align with the Energy and Green Growth Strategies, Climate Change Act and support the principles of the new Fuel Poverty Strategy.
Department for Communities officials are also working on developing the NIHE revitalisation programme and a potential future retrofit funding model for registered Housing Associations, which will aid in the funding of decarbonisation of social housing.
Additionally, householders across the north are encouraged to contact the Housing Executive’s freephone NI Energy Advice Service on 0800 111 44 55. The advice service actively promotes energy efficiency advice and various grants and services across all tenures. The team also provide information on renewable energy, energy saving tips, how to switch energy provider, debt assistance, fuel poverty advice signposting and how to benefit from oil-buying savings.