The Sustainable Energy Association explains how it is working to help the UK become more energy efficient.
Too many households in the UK live in homes that are expensive to heat, uncomfortable and unhealthy. This is true even in homes that already have double glazing, insulation, and other efficient features installed. The Sustainable Energy Association (SEA) has announced a bold new plan to address these issues while raising standards in the nation’s energy efficiency sector.
problem
Britain’s building stock is one of the oldest and least efficient in Europe. Also, homes are very diverse, and different homes require different measures and solutions to fit into the future.
Approximately 28 million homes require retrofitting measures, but fabric efficiency measures remain an expensive option and do not always deliver the expected results for residents.
All homes are now required to have an Energy Performance Certificate (EPC) when built, sold or rented. When recommending home energy efficiency measures, evaluators rely on EPC data. However, a building’s predicted performance does not always reflect its actual performance. Two properties that look identical may behave very differently, and standardized methodologies for calculating a home’s energy performance may not accurately predict an individual home’s performance.
This is called a performance gap. The performance gap is the difference between a home’s predicted efficiency based on EPC data and its actual performance in use. Currently, there are limited policy mechanisms to assess how housing performs under real-world conditions.
Therefore, even though many homeowners, residents and new build developers are taking steps to create more efficient homes, the specific low carbon heating or fabric efficiency measures being used may not be the best solution for that particular property.
Research into the impact of performance gaps on the building fabric installed in individual homes has highlighted the scale of the problem. Leeds Beckett University, the University of Salford and Loughborough University found that EPC-based forecasts both overestimated and underestimated the reduction in whole-house heat loss resulting from the introduction of fabric efficiency measures.
SEA wants measured performance
The Government is currently consulting on the use of Smart Meter Enabled Thermal Efficiency Rating (SMETER) as part of reforming the way the EPC model works. SMETER is a technology that uses smart meters and other data to measure the thermal performance of a specific home. This technology calculates a home’s thermal performance in real time, removing dependence on calculation methods and prioritizing real-world data.
The technology used may include wireless sensors, heating controllers, radiator monitors, temperature sensors, and more.
SMETER not only strengthens our understanding of how to make existing buildings more efficient, but can also take on greater responsibility in the delivery of new construction. The Future Housing and Building Standards (FHBS), which come into force in March 2027, will require new buildings to be retrofitted with low-carbon heating and high levels of energy efficiency. SMETER can enable home builders to build homes that meet these new standards not just on paper but in practice.
Currently, a valid EPC is required to buy or sell a home. Incorporating SMETER data into this requirement will give buyers more information when purchasing a home and give them peace of mind that existing measures in place are working properly.
In 2022, the government conducted a technology assessment to examine organizations developing their own SMETER technology. This helped them understand how their product could more accurately measure a home’s heat transfer coefficient (HTC) than predicted Reduced Data Standard Assessment Procedure (RdSAP) information. Eight organizations participated in the study, including Build Test Solutions (BTS), one of SEA’s members.
SEA proposal
SEA proposes a phased approach to the deployment of SMETER technology. This approach provides greater accountability in new construction deliveries, while allowing time for the industry to adapt and building trust while generating meaningful evidence that the technology works.
Phase 1: House builders will be invited to place SMETER in approximately 10% of their new homes. If a monitored asset falls below a minimum threshold, a remediation framework can outline expectations for addressing the shortfall. Phase 2: As familiarity with the technology increases, governments may introduce independent randomized sampling to provide a more representative picture of performance across sectors. Phase 3: Homeowners and landlords will be able to request a SMETER appraisal upon request once the property is occupied.
SEA proposes to make SMETER data publicly available in a new national building performance register. This will raise standards across the new build manufacturing sector and enable higher quality new build manufacturing.
SEA also suggests that developers will be required to submit a performance bond as a condition of planning consent or building regulation approval, which will be released if SMETER monitoring confirms that the property meets performance requirements.
SMETER can also raise standards in the new build sector in other ways. These could include incentives in the form of stamp duty reductions for buyers who request a SMETER valuation, and a requirement for estate agents to advertise SMETER data on homes alongside the EPC.
Application to existing houses
For existing housing, SMETER can accelerate the improvement of older homes and buildings. SEA proposes to incorporate SMETER data into existing subsidy schemes for low-carbon heating, such as heat pumps, to inform sizing and specification to improve installation quality.
SEA has a particular focus on public housing. Public housing tenants are disproportionately exposed to the effects of poor building performance, leading to higher energy bills and poor housing health. We recommend that the development of SMETER be eligible for capital funding under the Social Housing Programme. To support this, governments may consider SMETER deployments, tenant consent, sector-wide datasets, and tenant data access allocation.
The national SMETER dataset across social housing, private rental and owner-occupied properties could also provide governments with a representative view of stock price performance over time.
In conclusion
SEA has developed a comprehensive policy document that demonstrates measured performance in government policy. Based on input from SMETER’s diverse member base and cutting-edge analytics team, this document highlights how SMETER data can raise standards across all sectors, without leaving any particular occupant or building behind.
The full document outlines how governments can collect SMETER data across new and existing buildings, social housing, the private rented sector, empty and unoccupied properties, and how the technology can be integrated into existing policies and regulations in both England and Wales.
With an estimated 28 million homes in need of improvements and low-carbon heating upgrades by 2050, measuring home energy efficiency is paramount. For more information about SEA’s work, please visit the SEA website.
This article will also be published in the quarterly magazine issue 26.
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