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April overhaul for microgen grant scheme & planning rules

DEPARTMENT FOR BUSINESS, ENTERPRISE AND REGULATORY REFORM News Release (2008/063) issued by The Government News Network on 31 March 2008

Changes remove barriers to small scale green energy projects

Homeowners, schools and other community organisations interested in fitting their own green energy systems will from April have even more reasons to take the plunge, Energy Minister Malcolm Wicks announced today.

An overhaul of the Government's Low Carbon Building Programme (LCBP) will see more generous grants for schools and public buildings, while the £10 million support still available to householders will be extended until 2010 for new applications.

And there will be no need to get planning permission to install devices like solar panels, ground and water source heat pumps and biomass systems. Relaxation of the planning rules for micro wind and air source heat pumps is expected to follow shortly.

Speaking during a visit to Hampton Hill Junior School in Richmond, Middlesex, which received a Government grant towards the cost of installing solar panels, Mr Wicks said.

"Many people tell me they want to do their bit to help combat climate change but are put off by the hassle involved. These changes remove those barriers.

"Overhauling the grants scheme makes small scale green energy technology a more affordable option for public organisations, schools and charities. Installing microgeneration in schools can play a part in teaching children and their parents about climate change and the role that the individual can play in tackling this global challenge.

"I am pleased that more than two hundred schools have already applied for grants to install green energy technologies like the solar panels we've seen today. The changes from April will encourage even more people to follow Hampton Hill Junior's lead."

Housing & Planning Minister Caroline Flint said:

"Almost a third of all carbon emissions come from housing. This week the rules will change to make it easier for homeowners to put up green technology, like solar panels to reduce their carbon footprint.

"The government is committed to tackling climate change in housing which is why we have set a world-leading timetable for all new homes to be zero carbon from 2016."

The changes are:

* From April 1st LCBP Household stream will be extended to June 2010 or as long as funds are available, whichever is the sooner.

* From April 1st there will be an increase in grant caps to 50% across all technologies for the schools, charities and public sector phase of LCBP.

* From 6th April, many homeowners will be able to install microgeneration equipment, like solar panels, without needing to get planning permission; as long as there is clearly no impact on others.

Notes to editors:

1. LCBP was designed following a review of the UK's potential renewable energy resources in 2004, as part of the Renewables Innovation Review. The review recommended continued support for the installation of photovoltaics and other small-scale renewables through a low carbon buildings approach.

2. Phase I of LCBP provides grants to householders of up to £2,500 per property towards the cost of installing a certified product by a certified installer. From April 1st new applications are being invited until June 2010 or until there are no more funds available whichever is the sooner, with the scheme to close in March 2011. Information on the household phase of the LCBP is available from the website at http://www.lowcarbonbuildings.org.uk, or from the helpline on 0800 915 0990.

3. Phase II of LCBP provides grants for the installation of microgeneration technologies to public sector buildings (including schools, hospitals, housing associations and local authorities) and charitable bodies. From April 1st grant caps will be increased to 50% across all technologies, bringing them in line with the funding available for solar PV funding. Grants of up to £1m are available per eligible site. Information on phase II of the LCBP is available from the website at http://www.lowcarbonbuildingsphase2.org.uk, or from the helpline on 08704 23 23 13

4. Regulations to put in place the new rules to allow homeowners to install microgeneration technologies, providing it has no impact on others, were announced by Planning Minister Caroline Flint on 13th March. The rules cover solar PV, solar thermal, ground and water source heat pumps, biomass heating and combined heat and power systems. They will come in to force on April 6th. Micro wind and air source heat pumps will be also be included in these new arrangements once clearance with the EU Commission is completed.

5. Hampton Hill Junior School's solar thermal hot water system and solar PV panels were supplied and installed through Centrica, one of the accredited framework suppliers for Phase II of the LCBP programme.

6. The Department for Business Enterprise and Regulatory Reform helps UK business succeed in an increasingly competitive world. It promotes business growth and a strong enterprise economy, leads the better regulation agenda and champions free and fair markets. It is the shareholder in a number of Government-owned assets and it works to secure, clean and competitively priced energy supplies