Chamber and committees

The proposal in the draft Heat in Buildings Strategy, published by the Scottish Government for consultation in February 2021, to establish a Green Heat Finance Task Force has been widely welcomed by stakeholders. This Taskforce, which will be established by the end of 2021, will forge a new partnership approach between the Scottish public sector, heat decarbonisation experts and the financial sector to explore potential new and value for money innovative financing mechanisms for both at-scale and individual level investment in zero emissions heat. The Scottish Government and Scottish Futures Trust will provide co-secretariat support for the independently chaired Taskforce. Membership and Terms of Reference for the Taskforce will be published by the end of 2021.

Work is under development that will help identify strategic areas most likely to have access to hydrogen in the future. We plan to publish further evidence in spring 2022. We are also working with stakeholders including from industry, network companies, local authorities and delivery partners to better understand the potential role for hydrogen in decarbonisation of heat.

In addition, we are working in partnership with SGN to explore options for the future of Scotland's gas network.

Original Covid-19: Guidance on Self-directed Support Options 1 and 2 was published July 2020.

Work is currently underway to refresh the guidance, which supports Local Authority and Health and Social Care Partnership staff who assess, approve and administer social work and social care and support (including carer support), and approve Self-directed Support (SDS) budgets.

The SDS Covid-19 Guidance will remain in place for the duration of the pandemic, to be reviewed by Scottish Ministers at the appropriate time.

It is vitally important that we learn from the experiences we have had during the pandemic. We are continuing to work in close partnership with Social Work Scotland and COSLA. We are also engaging with stakeholders via Self Directed Support Practice Network and SDS Collective, to ensure that the voices of those with lived experience are at the forefront of any future planning and policy making decisions.

We are conducting analysis to consider the distributional impacts of decarbonising our homes and buildings in response to policy developments. We have commissioned analysis using the National Household Model and this has helped us consider the impact on fuel poor households. We will publish details of this modelling exercise by the end of the year.

We have also commissioned research to better understand the financial implications of adopting a range of zero emissions heating technologies across a number of common housing archetypes, and the extent to which fuel costs can be reduced by the installation of storage and microgeneration technologies. This work is expected to be published in early 2022. Further work will be commissioned as the policy and regulatory environment evolves.

In the Draft Heat in Buildings Strategy, published in February 2021, we committed to undertaking research to understand the extent to which the deployment of secondary technologies alongside zero emissions heating systems could help to optimise operational performance, minimise energy consumption and reduce end user fuel costs. This research is underway, and seeks to understand the technical feasibility and cost effectiveness of heat batteries, electric batteries, and thermal storage cylinders when installed alongside a range of zero emissions primary heating technologies; both independently of and in conjuncture with microgeneration technologies such as solar PV and solar thermal. We expect to publish this research in early 2022.

Annex A of the draft Heat in Buildings Strategy contains over one hundred actions. Not all actions represent separate budget items or specific deliverables. Accordingly, the information below sets out timescales, status and expenditure across broad groups of actions and specific programmes. Further detail will be published in our finalised Heat in Buildings Strategy.

Delivery schemes

• We have allocated a record £50 million for Warmer Homes Scotland and £64 million for our local authority-led Area Based Schemes this year.
• We have increased the cashback available to home and building owners on measures to improve efficiency and install zero emissions heating, and will replace the cashback with a grant scheme in 2022/23.
• We have announced at least £95 million of capital funding for our Scottish Green Public Sector Estate scheme, this year investing at least £10 million.
• We have launched a second £30 million call through the ‘Social Housing Net Zero Heat Fund’, and committed to keep the fund open with up to £100m available over the course of this Parliament.
• We will invest at least £400 million over this parliamentary session in large scale heat and energy efficiency projects, including providing support for zero carbon local and district heat networks, and large scale heat pumps. This scheme will provide both capital and project development support.
• Through our CARES programme, up to £5.25 million has been made available for this financial year to support community and locally owned energy. A further £3 million has also been made available to support the upgrade of fragile grids, recognising the distinct challenges faced by island, rural and remote communities.

Working with the energy sector

• In partnership with Ofgem and Scotland’s gas and electricity network companies we have published the Principles for the Development of Scotland’s Gas and Electricity Networks.
• We continue to work with electricity network operators through our Heat Electrification Strategic Partnership, and to work with gas network operators to develop the evidence base on gas decarbonisation.
• The Scottish Government provided £6.9 million support to the H100 project, helping to evidence the role that hydrogen can play in decarbonising heat.
• The Heat Networks (Scotland) Act was unanimously agreed by the Scottish Parliament, and we are developing the secondary legislation provided for by the Act. We have introduced a 90% relief from non-domestic rates for new heat networks run from renewable sources, and extended the existing 50% relief for heat networks to 2032.
• We will refresh the Energy Strategy in Spring 2022.
• We are partnering with Scottish Renewables to undertake a ‘Heat in Buildings Workforce Assessment Project’.
• We will respond to the forthcoming Heat Pump Sector Deal Advisory Group’s recommendations once they are finalised.

Regulation

• We have committed to phasing out the need to install new or replacement fossil fuel boilers, in off gas from 2025 and in on gas areas from 2030, subject to technological developments and decisions by the UK Government in reserved areas.
• We have made a commitment that where technically and legally feasible and cost-effective, by 2030 a large majority of buildings should achieve a good level of energy efficiency, which for homes is at least equivalent to an EPC Band C, with all homes meeting at least this standard by 2033.
• We will introduce primary legislation, subject to consultation and to limits on devolved competence, that provides the regulatory framework for zero emissions heating and energy efficiency, and underpinning powers to support this transition and ambitious programme

Local Heat and Energy Efficiency Strategies

• We have developed a methodology and guidance for the production of Local Heat & Energy Efficiency Strategies and Delivery Plans.
• The LHEES pilots programme completed in April 2021 and an evaluation is underway, synthesising learning across three phases. We have commissioned a National Assessment to create a central resource that local authorities can draw on.

Consultations

In addition to the consultation on the draft Heat in Buildings Strategy we have consulted on:

• Scottish skills requirements for energy efficiency, zero emissions and low carbon heating systems, microgeneration and heat networks for homes
• New Build Heat Standard (scoping consultation)
• Home energy efficiency: equity loan pilot
• Domestic Energy Performance Certificates reform
• Low Carbon Infrastructure Transition Programme (LCITP): call for evidence

The Affordable Housing Supply Programme (AHSP) provides support for Local Authorities and Registered Social Landlords to purchase off the shelf properties where it can be demonstrated that this is the most appropriate method of meeting housing need in a particular area. Funding may also be made available to remodel/rehabilitate existing properties where this is considered a strategic priority.

Whilst we hold information on the number of off the shelf properties supported through the AHSP, we do not hold information on whether those properties are former right-to-buy properties. The table containing the off the shelf homes supported through the main AHSP grant programme for the last 5 full financial years, broken down by Local Authority Area and Local Authority or Registered Social Landlord who purchased the properties, has been placed in SPICe under BIB number 62721. The table does not include figures relating to new build off the shelf properties.

The Single Building Assessment (SBA) pack contains the current criteria and guidance which will used by those undertaking the SBA in conjunction with the Scottish Advice Note. Visual and physical inspections will determine, as part of the SBA process, what needs to be removed on a building by building basis.

The Scottish Advice Note is used to help inform this process by determining the fire risk posed by external wall systems in multi-storey residential buildings. This process will determine which properties require mitigation or remediation.

The Scottish Government does not hold information on the number and percentage of domestic and non-domestic buildings taller than 11m. The High Rise Inventory: Summary Report provides relevant information on external wall systems of domestic high rise buildings over 18m. Since 1 April 2021, local authorities have been requested to notify the Scottish Government when a BS 8414 fire test has been used to prove compliance with building regulations. To date, there have been no BS 8414 fire test reports notified to the government.

The Self-directed Support (Direct Payments) (Scotland) Regulations 2014 set out that people in receipt of a direct payment, Option 1 of Self-directed Support, may employ family members where this is deemed appropriate in certain prescribed circumstances.

The supporting Covid-19: Guidance on Self-directed Support Option 1 and Option 2 does not relax any of the existing safeguarding measures in place when considering a family member as a Personal Assistant (PA). The guidance has been developed to re-inforce the flexibility already in place under existing SDS Regulations.

Local authorities should consider requests to employ family members on a case by case basis, taking into account the family member’s health, their capacity to provide the required care, and other welfare and wellbeing factors.