TheMertonRule.org - News

New Commons Motion Defending the Merton Rule

Thu, 11 Oct 2007 04:49:34 -0700

Labour MP Martin Caton has tabled a new Commons Early Day Motion in defence of the Merton rule. The Motion reminds Ministers of their consistent support for the Merton Rule and urges them to ensure that the Rule is not weakened in the forthcoming Climate Change PPS. The full text of the motion is below. Please write to your local MP and ask them to sign EDM 2048. If you don't know the name of your local MP, please use the following link http://findyourmp.parliament.uk/commons/l/

Defending the Merton Rule

Wed, 05 Sep 2007 07:07:56 -0700

In recent weeks there has been mounting media speculation that the Government is poised to carry out an astonishing u-turn on its support for the Merton rule in the forthcoming Climate Change Policy Planning Statement (PPS).

If your organisation wishes to publicly support the continuation of the Merton rule please send an e-mail to "info @ themertonrule . org" to be added to the list at the bottom of this posting.

Local Government Association Liberal Democrats Media Release

Wed, 12 Sep 2007 06:49:24 -0700

Abolishing Merton rule flies in the face of environment rhetoric - Brake, 20 August 2007

Commenting on reports that the Government is to abolish the Merton Rule, which allows local authorities to set higher building standards than those set nationally, Liberal Democrat Local Government Spokesperson, Tom Brake MP said:

“Local government has been leading the way in making new developments greener and more energy efficient.

“Abolishing the Merton rule flies in the face of the Government’s rhetoric on the environment.

“Ministers must fight their obsession with managing everything from Whitehall and give local councils the right to implement tough environmental regulations.”

BWEA letter to the Guardian in defence of the Merton Rule

Thu, 06 Sep 2007 05:11:32 -0700

"Paul King (letters 6th September) should really know better. It is truly disappointing to see that the "UK Green Building Council" of all bodiesbelieves that the "Merton rule" as adopted by the GLA, four Englishregions, and over 170 local planning authorities delivers "potentially little or no reduction in carbon emissions." Where is his evidence forthat extraordinary assertion?

The first small step towards the Government's proposals to deliver Zero
Carbon Homes in 2016 is the "Merton rule" which requires new developments to source a proportion of their energy needs from on-siterenewables. This policy is far from being a rigid requirement, indeedmany developers have exceeded the minimum 10% CO2 reduction requirement hrough the deployment of energy efficiency and renewable energytechnologies, BOTH of which are encouraged by the Merton Rule.

The climate change challenge requires that we maximise the contribution from energy efficiency, low carbon and renewable energy technologiesthrough the planning system where it is viable to do so. To her credit, that has been Housing Minister Yvette Cooper's consistent message to our members and beyond, including her very positive support to date for the Merton rule.

Rather than seek to undermine a proven, practical yet modest onsite renewables planning policy which has been supportedthroughout previous consultation, the UK Green Building Council shouldbe joining with us to celebrate its success and to ensure that it is enshrined in the new Government Climate Change Policy Planning Statementexpected later this year."

Micropower Council Statement on the Merton Rule

Tue, 28 Aug 2007 05:20:41 -0700

The Micropower Council, together with the Sustainable Energy Partnership and leading green groups has urged Government to maintain its support for the Merton Rule. The Merton Rule is the borough-wide local planning policy which requires developers to use onsite renewables on major new developments where viable, and has proved to be a major cause of growth in the uptake of microgeneration in the last few years. Their call comes in direct response to reports in the national press that the government is considering reversing this crucial policy for the microgeneration industry.

Friends of the Earth: Government must allow local authorities to set renewable standards for new building

Fri, 24 Aug 2007 05:22:21 -0700

The Sustainable Energy Partnership and leading green groups today urged Government to maintain its support for the Merton rule. The Merton Rule is the borough-wide local planning policy, which requires developers to use onsite renewables on major new developments where viable. Their call comes in direct response to the public lobbying campaign by the British Property Federation and Home Builders Federation to force the Government into a totally unnecessary and politically damaging u-turn.

Government must support microgeneration - Huhne

Thu, 23 Aug 2007 05:59:23 -0700

The Liberal Democrats today backed calls by several green groups for the Government not to relax the so-called ‘Merton Rule’.

Commenting, Liberal Democrat Shadow Environment Secretary, Chris Huhne MP said:

“The Merton Rule is a small but vital step towards allowing councils to set the pace with higher eco-standards than are applied nationally.

“Weakening it will not just be a blow to carbon cuts, but also to local initiative and in favour of centralisation.

“Ministers should support local communities, and not give in to the short-sighted lobbying of industry groups. Ignoring climate change is like putting your head Ostrich-like into the sand.

“Homes we build today have to last for generations, and it is madness not to build to the key future standards needed to stem climate chaos. The Government should build new homes to high eco-standards just as the post-war homes were usually built to the high Parker-Morris standards of the time.”

ENDS

Notes to Editors

1. Friends of the Earth and the Green Alliance have written to Yvette Cooper stating that the U-turn ‘will have a profoundly negative impact’ on planners ability to deal with climate change, calling the move damaging and with ‘no justification’.

2. The Merton Rule allows planning authorities to require developers to use onsite renewable electricity on major new developments where viable.

3. On the 8th June 2006 Yvette Cooper, the Minister for Housing and Planning, announced that the ‘Government expect all planning authorities to include policies in their development plans that require a percentage of the energy in new developments to come from on-site renewables.’

4. In response to a written question from Chris Huhne Yvette Cooper reiterated on 6th December 2006 'the importance placed by Government on the use of on-site renewable energy' noting that the Merton rule had let to 'an impressive surge in on-site renewable energy policies'. http://tinyurl.com/2nufog

Ainsworth: Government’s decision to water-down Merton rule “simply astonishing”

Thu, 23 Aug 2007 05:54:55 -0700

A leaked document released today has cast doubt on the Government's denial that it is considering abolishing a groundbreaking rule to encourage green development. The 'Merton Rule' is a planning policy, pioneered by the London Borough of Merton, which requires that new buildings over a certain size must generate some of their energy from renewable sources.

Sustainable Energy Lobby and Green Groups Call on Government not to scrap the ‘Merton Rule’

Thu, 23 Aug 2007 05:48:49 -0700

Minister calls for all Councils to incorporate The Merton Rule

Tue, 17 Jul 2007 05:44:47 -0700

On the 8th of June 2006 Yvette Cooper, the Minister for Housing and Planning, announced that ‘Government expect all planning authorities to include policies in their development plans that require a percentage of the energy in new developments to come from on-site renewables’.

London Borough of Merton's innovative onsite energy rule wins top planning prize

Fri, 09 Feb 2007 07:24:06 -0800

In a sensational win the London Borough of Merton has walked away with the RTPI Silver Jubilee Cup, planning’s top prize. The win recognises the modern spatial nature of planning and of planners’ role in tackling climate change. The ‘Merton rule’ as it has become known requires developers to ensure at least 10% of all energy production for new development comes from renewable energy equipment on site. Merton also scooped the award under the ‘Climate Change’ category. A full list of winners is available at the end of this press release.

To the green house

Mon, 22 Jan 2007 11:41:17 -0800

As green issues have become a hot topic for the Government, it is time that the mortgage market faced up to its environmental obligations, urges Rachel Green

News that the Ecology Building Society is to pay procuration fees for the first time is a sweetener to encourage more brokers to think green. But, is there really potential for what is currently a tiny niche in the mortgage market to become mainstream?

So-called green mortgages are starting to take up more column inches in the press. It has also been mooted that there could be Government incentives in this area, although details are unclear. Yvette Cooper, the Housing Minister, recently said: "There is great potential to link energy performance certificates with green mortgages where home-buyers get top-up loans at preferential rates."

Energy performance certificates (EPCs) become compulsory this June, along with home information packs – homes are given an energy efficiency rating to show their impact on the environment in terms of carbon dioxide. Commenting on this, Richard Sexton, business development director for surveyors e.surv, says EPCs will kick-start the green mortgage market – they will be a hook for them to build products around. "I have been speaking to a number of lenders and this is an area they are looking at. More homes will become energy efficient – for example with solar panels and grass roofs and surveyors will need to develop their expertise."

On top of the Housing Minister's comments, Chancellor Gordon Brown has stated that for a limited period, zero carbon homes will be exempt from Stamp Duty. However, these remain disjointed initiatives and the three existing lenders in the market – Ecology Building Society, the Co-operative Bank and Norwich and Peterborough Building Society – all have different offerings creating confusion as to what exactly is a green mortgage.

For example, Ecology's new C-Change product, is the UK's first mortgage to directly encourage and incentivise take up of carbon saving. It rewards borrowers with 1% off the lender's SVR on mortgage funds used to equip homes with energy saving solutions and renewable energy generation.

According to Ecology's marketing manager Jenny Irwin the move to offer procuration fees was sparked by demand from brokers. She says: "Ecology has been providing green mortgages for over 25 years, proving there is a market for these products. However, now that climate change is proving to be a very real threat, there is even more interest."

Proven market

Meanwhile, the Co-op has launched a CAT-standard mortgage that includes a detailed energy report, showing the efficiency of the property and suggesting ways in which its energy consumption can be improved. For each mortgage taken out, the Co-op will also make an annual payment to Climate Care, a scheme aimed at tackling global warming.

Catherine Turner, spokeswoman for the Co-op, says: "We believe the way forward would be to develop a consistent definition of a green mortgages, with criteria for lenders to comply to, which are set by respected sources."

Even if there are no set definitions, there is no doubt that the existing green mortgages all have some benefits – but there are clear stumbling blocks to their future development. The general lack of understanding among the public is compounded by that of mortgage brokers.

As Irwin says: "Carbon neutral and green mortgages are buzz words, but not everyone is sure of their meanings. Carbon neutrality is also a contentious issue as it is a reactive measure offsetting carbon emissions produced instead of being pro-active and preventing the production of carbon dioxide."

And, as Turner states: "There is probably still some confusion in the market as the term covers a wide range of mortgages – from green add-ons to standard products such as tree-planting and energy efficient rewards to self build products for specialised green housing. But terms such as carbon neutral are becoming more familiar and widely used – it is now possible to have carbon neutral weddings and holidays."

So, brokers may need to start swotting up on environmental topics. At the same time, some may feel they will still struggle to find clients. Although more people are re-using carrier bags and recycling rubbish, they are still likely to want the cheapest mortgage deal.

Irwin says this is where education – for brokers and borrowers – is essential. "Price will always be home-buyer's main concern, in relation to both property and mortgages. Having said that, energy efficiency is becoming a feature people look for when buying a new house. Fuel prices are rising so it makes sense to have an energy efficient home to keep bills low. Our green mortgages may look more expensive than others as the interest rate is slightly higher; however, over the long-term they are good value."

Norwich and Peterborough BS, for example, will plant 40 trees for every green mortgage sold. Spokeswoman Alison Rolls argues that customers need to wake up to the damage being caused by global warming and be prepared to meet some extra cost to mitigate it. She says: "Currently, very few people when asked to make the financial decision are prepared to commit to a higher cost – particularly where a mortgage is concerned. This position is made more difficult by the fact that the broker community competes to offer the lower cost deal to their client."

She favours more incentives and adds: "The Government has already asked lenders to do more, so incentives would be a logical step. There are a great many ways that the Government could incentivise green mortgages, from tax relief to grants for energy efficient improvements."

Token impact

But, some remain sceptical. A spokeswoman for Bradford & Bingley confirms the bank has looked into green mortgages but it is not something it will look to offer at present. He added: "Unless people see a definite pay-off for themselves, they are not likely to want to pay extra for it."

And, Matthew Wyles, group development director at Portman Building Society, adds: "I think the measures recently announced by the Chancellor to incentivise carbon neutral properties will have an absolutely negligible impact – it is a mere token. Borrowers are too busy worrying about minimising the cost of their mortgage and without meaningful state intervention that won't change."

James Cotton, mortgage specialist for brokers L&C concludes: "Brokers are confused – while there is understanding that a green mortgage needs to be environmentally friendly, there could also be ethical considerations. There are different needs according to the client – it could be a self-build or renovation project or the fact they have bought an energy efficient home. Is it about making loans greener or can you label a product green because a donation is made? I would like to see common agreement as to what a green mortgage is and there could also be a better lead from the Government."

With the environment looking to be a pet project of the Government, it is likely there will be a lot more focus on a green mortgage world this year. n

Rachel Green is a freelance journalist who contributes to a variety of trade publications including Post, Insurance Times and Interactive Investor

Grant Funding for Micro-Renewables Runs Dry 12 Days into the Month

Mon, 22 Jan 2007 11:04:20 -0800

If you want a mini wind turbine, a solar panel or any other piece of micro-renewable kit and need the grant - bad luck. Householders will now have to wait until 1st February to make an application.

REA members did not want householder grants to be rationed in this way. The obvious solution is to put more money in. The worst possible response is to put the brakes on spending – as it constrains the market, and threatens our members’ livelihoods.

“Small companies like ours have invested and risked a lot of money to enter this market,” said Matt Hogan of Revolution Power. “This will cripple our business, as our clients will choose to wait rather than go ahead this month. They might even get so frustrated they drop their plans altogether. We work very hard to help combat climate change, why are we being hobbled by the government over such a paltry amount of money?”

“This week we have heard that the DTI is thinking of spending hundreds of millions on a mission to the moon. A couple of tens of millions would make all the difference to this grant programme. Our Government seems keener to spend money escaping the planet than in trying to save it,” said Philip Wolfe, Chief Executive of the Renewable Energy Association.

“It wouldn’t be the first time that the householder grant programme has been topped up,” said Graham Meeks, of the REA. “It was good news when another £6.2m was put in, but the bad news was that this was taken from another element of the programme. That was robbing Peter to pay Paul, and the repercussions of that are now hitting our members”.

As of today, householders filling out the online application are told

“Thank you for your application for a Low Carbon Building Programme grant. Unfortunately funds for this month have already been fully allocated. Funding is made available from the 1st of every month until fully allocated. You are advised to reapply then.”

The DTI introduced a monthly allocation cap of £500,000 for householders wishing to apply for capital grants to install micro-generation in December last year. The money ran out on the 20th December.

BT takes steps to reduce carbon footprint by 80% in nine years

Mon, 22 Jan 2007 11:03:06 -0800

BT will strengthen its green credentials today with the renewal of the world's largest green energy contract and a pledge to slash its carbon emissions by 80% over the next nine years.

The company, which accounts for 0.7% of the UK's electricity consumption, has renewed its three-year green power deal with npower and British Gas. They will provide BT with the equivalent of enough electricity to power Liverpool and Cardiff from renewable sources such as wind and hydroelectric projects. It will also take power from accredited combined heat and power facilities.

BT reckons its emissions are already down by 60% through the original green energy deal - signed in 2004 - plus the use of energy efficient buildings and by switching its fleet of vehicles to diesel. BT reckons its environmental policies are already saving the company £100m a year.

The company is also looking at the possibility of using biofuels in its vehicles. BT's fleet at 32,500 strong is one of the UK's largest, while the company's managers have a further 10,500 company cars. BT will also persuade its suppliers to lower their carbon emissions and help its 104,000 staff to reduce their personal carbon footprint.

BT's move comes after Tesco last week pledged to cut emissions from its stores and distribution centres in half by 2020 and promised to put labels on the 70,000 products it sells so that shoppers can compare carbon costs.

BT, however, is no latecomer to the environmental cause. It set its first green targets in 1992, in response to the Earth Summit in Rio, with the publication of its inaugural Environmental report.

Paul Reynolds, head of BT's wholesale business, said "This renewal of our green energy contract demonstrates our commitment to tackling climate change. BT already has strong green credentials, but more needs to be done. Tackling climate change presents significant opportunities for businesses and those companies that take the lead will reap the rewards."

David Miliband, the environment secretary, welcomed BT's move, adding: "All parts of our society must address the need to reduce carbon emissions and we need companies like BT to demonstrate commitment and leadership."

IT firms commit to fighting carbon

Mon, 22 Jan 2007 11:01:50 -0800

Three companies in the technology space have announced carbon footprint reduction strategies within the past week.

Data storage company 3PAR announced on Monday that for every terabyte of "thin provisioning" capacity sold in 2007, the company will offset the emissions created to power and cool the storage.

3PAR says it will purchase enough carbon offsets to cover four petabytes of disk capacity, giving its customers the prospect of carbon neutral storage. The company will purchase the offsets from TerraPass, a retailer of greenhouse gas reduction programmes in the US.

Telecoms and IT services giant BT announced last Thursday that it would extend its Green Energy contract until 2010. The programme, a collaboration between BT, energy company npower and British Gas, has been running since 2004.

BT claims that the extension of the contract will save the amount of carbon released by the yearly electricity consumption of more than 300,000 households — roughly the population of Liverpool and Cardiff combined.

Under the terms of the contract, npower and British Gas Business will provide BT with one terawatt hour (TWh) of renewable energy and 1.2TWh of accredited combined heat and power per year.

BT also outlined its strategy to tackle climate change, and made a series of environmental pledges. The company claims that as it consumes 0.7 percent of the UK's entire electricity consumption, it is well placed to make a contribution to the process of reducing carbon emissions.

On-demand business services company Salesforce.com and its Salesforce.com Foundation announced on Tuesday last week its Earthforce programme — an initiative to create a carbon-neutral Salesforce.com in 2007.

The programme will work to neutralise the effects of Salesforce.com's corporate greenhouse gas emissions from its major areas of carbon consumption, namely its office locations, corporate travel and data centres.

Salesforce.com will purchase carbon offsets with the aid of Clean Air-Cool Planet, NativeEnergy and Conservation International.