Sustainability policy changes ahead 

Posted March 2009

In October 2008 the Department of Energy and Climate Change (DECC) was formed, giving UK government a new focus on the climate change agenda.

The Climate Change Act was passed a month later, in November 2008, introducing the world's first long-term legally binding framework to tackle climate change.

The Act sets ambitious mandatory targets to achieve an 80% reduction in the UK's greenhouse gas emissions by 2050, against its 1990 baseline.

The Carbon Reduction Commitment (CRC) is central to the government's strategy for meeting its Climate Change Act commitments, and will contribute to the planned 26% reduction in CO2 emissions by 2020. The CRC will affect large non-energy intensive companies and public sector organisations.

The mandatory emissions cap and trade scheme under the CRC begins in April 2010 and will affect both landlords and tenants, where energy spend is over £0.5 million.

On an annual basis organisations will be required to report their UK-based CO2 emissions from all their fixed point energy sources. This includes electricity, gas and other fuel types such as LPG and diesel. Transport emissions are not included. The Defra website has further details.

Organisations affected will begin collecting data to set their carbon baselines from around June of this year and the scheme is expected to go live in early 2010.

Our parent company, Atkins, is experiencing at first hand the challenges of putting together a carbon baseline for its estate, reflecting a £2 million energy spend.

At this early stage, no one has all the answers, but groupwide energy assessment expertise together with Faithful+Gould's cost modelling skills will explore ways of turning the potential constraint of the new scheme into a cost-effective opportunity.

Further policy change is unfolding as we await revisions to the Building Regulations 2006 Part L (Conservation of Fuel and Power) sections. There will shortly be a consultation on this, but a 20% reduction in permitted carbon emissions is widely expected.

European legislation also brings change to carbon performance monitoring in the built environment. A recent revision to the EU Energy Performance of Buildings Directive (EPBD) removed the floor area thresholds for Display Energy Certificates (DEC) and Energy Performance Certificates (EPC) in existing buildings. Full details are still to be finalised, but the change will increase the numbers of businesses required to comply.

Faithful+Gould is working with clients to raise levels of awareness of sustainability in the built environment, and to provide guidance through the maze of policy change.

This dialogue is underpinned by our longstanding collaborative work with government, industry, the Carbon Trust and the Building Research Establishment. We have developed an innovative combination of expertise, tools, and data to optimise the balance between sustainability objectives, affordability and whole life costs.

For further information please contact Sean Lockie on 020 7121 3002 / sean.lockie@fgould.com.

» Learn more about our sustainability services

» We produce Energy Performance Certificates and help organisations comply with the Carbon Reduction Commitment.

» Faithful+Gould, as a member of the Atkins Group, is focusing on inspiring and challenging our clients, employees and supply chain to deliver sustainable solutions through Carbon Critical Design.