Enforce energy efficiency and make decent EPCs mandatory, big firms tell government


Government should add bite to energy efficiency regulations such as Esos and MEES and extend plans to bring houses up to EPC band C to commercial buildings, a group of large corporates has said.

A set of reports published by The Aldersgate Group looks at structural challenges in financing clean infrastructure. It asks government to set clear policy goals and help unlock private sector finance in order to meet decarbonisation targets.

Alongside its main report, the Group, whose members include Aviva, BT, Cemex, Ikea, Kingfisher, M&S, Nestle, Sky and Tesco, published recommendations to improve non-domestic energy efficiency.

It urged government to “enforce more strictly” existing energy efficiency policies such as Esos and MEES and extend an ambition to upgrade the UK’s domestic buildings to EPC band C by 2035 to commercial buildings.

The report suggested creating tax breaks for energy efficiency investment by businesses. It also said government could help boost uptake of Esco-type arrangements, which it notes are moving towards energy services agreements, by offering short-term guarantees on contractual risks, such as one of the parties going bust.

Government should also lead by example and mandate greater energy efficiency across all publicly owned building stock, said Aldersgate Group, which would create a project pipeline, increase investment flows and potentially lower costs for private sector firms as a result.

See the energy efficiency recommendations here.

See the broader green infrastructure finance report here.

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