Chamber and committees

I refer the member to the answer to question S3W-27367 on 24 September 2009. All answers to written parliamentary questions are available on the Parliament''s website, the search facility for which can be found at http://www.scottish.parliament.uk/Apps2/Business/PQA/Default.aspx.

Contributions to the Home Insulation Scheme, which will be in addition to the £15 million allocated by the Scottish Government, will be delivered mainly from Carbon Emissions Reduction Target activity and owner contributions. The amount of investment contributed from these sources will depend on factors such as the uptake of measures under the first phase of the scheme, which will cover around 100,000 homes.

Complementary investment will also be provided from local councils and other local partners in the selected areas. Complementary investment from some of the local councils selected for the first phase of the Home Insulation Scheme is subject to final confirmation and approval. However, at this stage, our provisional estimate is that in the region of £750,000 of complementary investment will be contributed from local agencies.

Households living in hard-to-treat properties will be assisted under the Home Insulation Scheme (HIS) through the provision of energy audits, benefits advice and social tariff checks. Figures for the number of such properties assisted will not be available until HIS delivery has begun and monitoring and evaluation has taken place. However, HIS will focus on the delivery of insulation measures such as loft and cavity wall insulation and for this reason we have selected areas which offer greater potential for these measures.

All households within Home Insulation Scheme (HIS) areas are eligible to receive insulation measures either free, or at a reduced cost compared to the normal market cost of installation, providing that their house is suitable for the relevant measure. While able-to-pay households will receive insulation at reduced cost, they will be required to make a financial contribution to the costs of installation, if they wish to receive the measures.

At this stage, it is not possible to estimate how many households will be eligible to receive reduced-cost insulation measures under HIS in the areas selected for 2009-10, as opposed to those eligible for free measures, and what proportion of households in those areas each group represents. Eligibility for free measures is determined both by ability of a property to take HIS measures and the socio-economic status of the householder. When HIS is fully underway and data is being collected for monitoring and evaluation purposes it will be possible to provide more informed estimates.

The bulk of publicity and promotion costs under the Home Insulation Scheme will be delivered by the managing agent and funded by the Scottish Government. However, in some cases, local agencies are providing complementary support for publicity and promotion.

All households within Home Insulation Scheme areas are eligible to receive insulation measures either free, or at a reduced cost compared to the normal market cost of installation, providing that their house is suitable for the relevant measure. While able-to-pay households will receive insulation at reduced cost, they will be required to make a financial contribution to the costs of installation, if they wish to receive the measures. The Energy Saving Trust, as managing agent, is currently carrying out a procurement exercise to appoint the supplier offering the best deal for HIS customers in a given area. The level of householder contribution will be determined by the outcome of a procurement exercise which is not yet complete.

Eligibility for free insulation measures will be similar to that applied by the Carbon Emissions Reduction Target scheme, which focuses on benefit entitlement, but also includes the over-70s as a priority group.

Marketing of the Home Insulation Scheme is due to begin in late September 2009 to raise awareness within the participating areas. A publicity campaign will launch in early November and will last for the duration of the first phase, until 31 March 2010.

Seven criteria for area selection were agreed with the Convention of Scottish Local Authorities (COSLA) following a joint COSLA-Scottish Government workshop for local authorities on 28 April. Local authorities attending this joint session contributed to discussion which helped shape the agreed criteria. Local authorities were then asked to submit bids, providing information relating to their proposed areas against the following selection criteria:

Criteria A: Levels of carbon emissions in an area/neighbourhood

Criteria B: Levels of fuel poverty in an area/neighbourhood

Criteria C: Numbers of dwellings that can be treated with loft insulation and cavity fill

Criteria D: Potential for complementary funding from other sources

Criteria E: Appropriate mix of geographical areas

Criteria F: Ability to deliver within the prescribed timescale

Criteria G: Mechanisms for community engagement.

An assessment panel, consisting of Scottish Government officials and a representative from Energy Action Scotland, was then established to consider bids. To assist the panel, guidance was developed to underpin the seven overall assessment criteria. There then followed a three-stage process “ individual assessment by each panel member; followed by collective assessment of the stronger applications by the panel, and then further discussion with relevant council officers from short-listed councils at interview prior to decision and recommendation. The Energy Saving Trust also supplied expert advice in a non-voting capacity.

The Energy Saving Trust, as managing agent, is currently carrying out a procurement exercise to appoint the supplier offering the best deal for Home Insulation Scheme customers in a given area. This will be an open and competitive process in order to obtain value for money and to reflect EU procedures and regulations. It will be the responsibility of each supplier, when appointed, to enter into contracts as they see fit to ensure that the required skills are available to ensure installation of appropriate insulation measures in each area.

We recognise the need to make substantial progress in our existing housing stock to meet our climate change ambitions. Whilst resources are tight, we have made a significant start by identifying resources for the Home Insulation Scheme in the 2009-10 Budget, and, subject to parliamentary approval, in 2010-11. Again subject to parliamentary approval, we intend to continue in budgetary terms year by year towards the achievement of a step-change in energy efficiency and insulation by 2020. The first phase of investment and the associated evaluation will assist in determining the best way of taking this forward in future years.