Fuel Oil News April 2017 | Page 15

Analysis

Analysis

What does the future hold for liquid fuel heating in domestic buildings ?

THERE IS INCREASING EVIDENCE THAT THE UK ’ S OIL HEATING INDUSTRY COULD SOON FACE AN UNPRECEDENTED THREAT ….
Across Europe , governments are making a range of ambitious policy interventions to drive forward changes in the off-grid heating market and whilst measures to restrict oil have not yet been announced in the UK or Republic of Ireland , government and opposing lobbying groups will undoubtedly be monitoring European developments closely warns OFTEC chief executive , Paul Rose .
Restrictions on oil use Some of these interventions in Europe are startling in their scale . In July last year , Denmark imposed a ban on new oil heating installations in most regions . Norway is also consulting on proposals to completely ban fossil fuel-based oil heating from 2020 , with existing users compelled to replace oil heating systems or switch to 100 % biofuels . Austria ’ s largest federal state is proposing to ban the installation of oil heating in new buildings from 2019 and other states are expected to follow .
Local restrictions on oil use have also been introduced in parts of Italy and Germany , while in Switzerland , France , Belgium and Spain , other measures including carbon taxes , CO2 emission limits and regional bans are being actively considered .
In England the present situation is less serious , but the recent consultation on the future of heat in domestic buildings , by the Department for Business , Energy and Industrial Strategy ( BEIS ), signals a new phase in the government ’ s efforts to improve energy efficiency and decarbonise the heating sector .
“ THE FUTURE OF OUR INDUSTRY COULD DEPEND ON THE ACTION WE TAKE OVER THE NEXT FIVE YEARS ”
Decarbonising the off-grid sector Alongside the carbon reduction agenda , UK government is also seeking solutions to a range of social problems affecting rural communities . These include fuel poverty and the high number of excess winter deaths and health-related problems caused by living in cold , poorly insulated homes with old , inefficient heating systems . Radical solutions are needed and the off-grid sector is seen by many as perfect trial ground for renewable technologies such as heat pumps , prior to their mass roll out in future decades .
The long term future of our industry is likely to depend on our being able to present a clear , realistic alternative solution for the future decarbonisation of our sector . OFTEC has already proposed an ambitious two-stage approach to meet this challenge which looks at a boiler replacement programme in the short term alongside the development of a low carbon alternative to kerosene for the medium to long term future .
“ INCENTIVISING HOMEOWNERS TO REPLACE STANDARD EFFICIENCY BOILERS WITH CONDENSING MODELS WOULD BE FIVE TIMES MORE EFFECTIVE AT REDUCING CARBON EMISSIONS ”
This is based on our conviction that liquid fuel heating can offer a more cost-effective and practical alternative to the government ’ s existing fully-renewable agenda . OFTEC ’ s independently verified research shows that , for the same government spend , incentivising homeowners to replace standard efficiency boilers with condensing models would be five times more effective at reducing carbon emissions than installing an air source heat pump via the domestic Renewable Heat Incentive .
Upgrading a boiler also helps to cut consumer energy bills and avoids the need for expensive additional home renovation . With
Paul Rose – a range of ambitious policy interventions to drive forward changes in the off-grid heating market are ‘ startling in their scale ’ says the OFTEC chief executive
around 400,000 standard efficiency oil boilers still in use in England and Wales , the potential for change is huge and , unlike heat pumps , the supporting installer , servicing and fuel supplier network is already in place .
OFTEC believes that such a move could act as a stepping stone to the adoption of a renewable replacement for kerosene from the mid-2020s which , from a technical perspective seems a realistic possibility , although clearly there are some hurdles to overcome .
“ THE CLOCK IS ALREADY TICKING ….. IT IS VITAL THAT WE PRESENT A UNITED FRONT TO GOVERNMENT ”
However , success can only be achieved if we work together . It is vital that the industry as a whole backs this vision and that we present a united front to government and other influential commentators . The clock is already ticking , so there ’ s no time to be lost . It may be no understatement to say that the future of our industry could depend on the action we take over the next five years , so if you ’ re willing to help , please contact me – prose @ oftec . org – as soon as possible .
Fuel Oil News | April 2017 15