Burning Cash Day: 14th February

Written by Sarah Royston on . Posted in ACE Research, Projects

In the context of a growing political debate regarding the best way to cut energy bills, this briefing shows that a family could be wasting around 41% of their gas every year if they live in a typical fuel poor home, due to a low standard of energy efficiency. They could save 41% of their gas costs each year by installing energy efficiency measures. There are over 6.7 million homes in England (one in three) which have very poor levels of energy efficiency, representing an E, F or G rating on an Energy Performance Certificate. In England, 1.41 million fuel poor homes (more than half) fall into this category.

If a family turn their heating on at the start of October, then that 41% saving is the equivalent of all their gas costs from the 14th of February until the next October. If they installed efficiency measures, it would be like having free heating and hot water from the 14th of February onwards. We could say that everything they spend on gas after that date is wasted money – so the 14th of February is ‘Burning Cash Day’.

The savings from energy efficiency vary between different homes, so every home has its own Burning Cash Day. Even in a home which has an average level of energy efficiency (including at least some loft and cavity wall insulation) the family could still save 25% of their gas bill, through additional measures. This means that Burning Cash Day for this typical home is the 22nd of March.

The Energy Bill Revolution campaign is calling for major Government investment to provide energy efficiency measures for free for people in fuel poverty, and to provide subsidies for everyone else. It is proposed that this is paid for by recycling revenues from two carbon taxes that are paid by consumers – the European Emissions Trading Scheme and the Carbon Price Floor. Over the next 15 years the Government will raise an average of £4 billion every year in carbon taxes; this is enough revenue to insulate to a high degree an average of 600,000 fuel poor homes every year. In time, every household could benefit, and see major reductions in their energy bills.

Tags: ,

Trackback from your site.

Comments (2)

  • Ken Neal

    |

    I have designed three projects on 1970s housing to reduce the energy use by “80%”, EIGHTY PER CENT, not just 41%. this is possible on most of the buildings in the UK and could, and should, be done for all our buildings.

    I have been trying to get the government to look at a National Insulation Scheme to replace the Green Deal in which the government would print the money, if they can do it for the banks they can do it for the nation’s houses, to apy for the insulation of every house in the UK to save 80% of their fuel bills.

    See https://www.facebook.com/insulatehouses for details.

    Reply

  • graham farrall

    |

    Ken

    We would be very interested in looking at your system , can you forward me details please

    Graham

    Reply

Leave a comment