Heating Industry Challenges
Paul Massey, Managing Director, Ideal Stelrad Group.
The UK heating industry is facing significant challenges in terms of the Government's ongoing CO2 reduction programmes. Therefore, we need to ensure that there is a tight line of communication between merchants, specifiers, installers and trade bodies to keep update with the potential EU changes in legislation. Another key challenge facing the industry, and one that the HHIC and Ideal Stelrad Group would encourage the Government to seriously consider, is how to address the replacement of some 4 million conventional flued and permanent pilot appliances still in existence and 10 years plus which, if supported through government incentives could actually save half a million tonnes of carbon per year.
Important pieces of legislation to note this year are The Code for Sustainable Homes and EuP Directive, or Eco-design of Energy Using Products Directive, both of which will continue to drive the industry towards high-efficiency. The Code for Sustainable Homes will become mandatory this year and with the Government's hopes of introducing its ambitious programme of zero carbon homes by 2016, low NOx emissions and renewable products will be pushed to the forefront. The EuP Directive aims to improve overall product energy efficiency, reduce environmental costs and cover products through life cycle from manufacture, distribution, use and disposal. Little is known about the details of this legislation yet but it is important that manufacturers work with the Government now to begin the education process in the lead up to its implementation in 2009.
In light of this, sustainability, and therefore renewables will continue to be key throughout 2008. Market growth is predicted to continue but at a somewhat slower pace than last year. The main areas for growth will continue to be solar thermal as this technology is the most widely understood at present. However, predictions suggest there will be an increased interest in heat pumps moving forwards.
Finally, there are also financial and economic issues facing the industry, in particular rising energy costs. This will undoubtedly further bolster the argument for high-efficiency and renewable products as consumers become more aware of the need to become more energy efficient in order to reduce fuel bills.