Will domestic consumers take up the renewable heat incentive? An analysis of the barriers to heat pump adoption using agent-based modelling

Snape, J. Richard; Boait, Peter; Rylatt, R. M.

doi:10.1016/j.enpol.2015.05.008

Cited by 58 publications

(20 citation statements)

References 3 publications

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“…Low customer demand is perhaps the biggest challenge for the upscaling of whole-house retrofit. A lack of visibility and knowledge of retrofit measures can be a key barrier (Marchand et al 2015), as well as the hassle for the occupants (Snape et al 2015). Indeed, retrofit interventions may also affect current practices in the home (such as heating behaviour), the inherent qualities of the property and other competing needs and desires (Gram-Hanssen 2014; Wilson et al 2015).…”

Section: Discussionmentioning

confidence: 99%

“…Studies identify problems with a value proposition focused on estimated, rather than guaranteed energy performance (Pettifor et al 2015), and final energy services, such as temperature and comfort (Roelich et al 2015). Further barriers to uptake are identified as a customer interface that is ineffective in engaging consumers (Owen et al 2014;Wilson et al 2015), poorly developed supply chains and retrofit performance gaps (where modelled savings are not realised) (Gupta and Chandiwala 2010;Kelly et al 2012;Snape et al 2015) and a lack of appeal in the financial model (Marchand et al 2015). Other studies have identified the importance of intermediary actors in the governance of retrofit (Bleyl et al 2013;Kivimaa and Martiskainen 2017) and as a means of reducing transaction costs for ESCO BMs (Nolden et al 2016).…”

Section: Business Models Energy Services and Residential Retrofitmentioning

confidence: 99%

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Business models for residential retrofit in the UK: a critical assessment of five key archetypes

Brown

2018

Energy Efficiency

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The comprehensive retrofit of residential buildings has significant potential to reduce carbon emissions and provide additional heath and economic benefits. However, in countries such as the UK, much of this potential is yet to be realised. This paper shows how the concept of 'business models' (BMs) can be a powerful tool for understanding the challenge of improving energy performance and reducing carbon emissions in residential buildings. Through a review of contemporary literature and 18 semi-structured interviews, the paper describes and compares five distinct BM archetypes: the atomised market model, market intermediation model, one-stop-shop, energy services agreement and managed energy services agreement. These models range from the traditional approach to highly innovative energy service contracts. The paper further illustrates how the UK and EU market for retrofitting residential buildings is beginning to trial the more innovative BMs. These emerging BMs are characterised by increasingly industrialised processes and integrated supply chains, a holistic customer offering and single point of sale, longterm energy-saving performance contracts (ESPC) and integral project finance. It is argued that whilst the traditional BM is suitable for the implementation of single or piecemeal energy-saving measures, BM innovation will be required to meet the UK's ambitious climate change targets. Keywords Energy efficiency. Retrofit. Housing. Business models. ESCO. ESPC. Value proposition. Supply chain. Customer interface. Financial model. Governance 1 SAP quantifies a dwelling's performance in terms of energy use per unit floor area, a fuel-cost-based energy efficiency rating (the SAP Rating) and emissions of CO2 (the Environmental Impact Rating) (GOV.UK 2017).

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Section: Discussionmentioning

confidence: 99%

Section: Business Models Energy Services and Residential Retrofitmentioning

confidence: 99%

Business models for residential retrofit in the UK: a critical assessment of five key archetypes

Brown

2018

Energy Efficiency

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“…The evaluation of technical issues depends on the utilization context of the heating system since choice factors have different weights depending on the target user. For example, a number of recent studies on heat pump uptake highlighted that residential users are keener on choosing the heating technique based on perceived reliability and ease of installation rather than financial criteria [62,63] which, on the other hand, are the most important driver for heating choices in the commercial and industrial sectors [13]. Literature in this field agrees on the fact that large installation costs are a strong drawback for heating technologies, even in the case of substantial reduction of the operational costs and reasonable payback times [13,62,63].…”

Section: Discussionmentioning

confidence: 99%

Environmental and Economic Benefits from the Phase-out of Residential Oil Heating: A Study from the Aosta Valley Region (Italy)

et al. 2019

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Although its use is declining, oil heating is still used in areas not covered by the methane grid. Oil heating is becoming more and more expensive, requires frequent tank refill operations, and has high emissions of greenhouse gas (GHG) and air pollutants such as SOx. In addition, spills from oil underground storage tanks (USTs) represent a serious environmental threat to soil and groundwater quality. In this paper, we present a comprehensive analysis on technical alternatives to oil heating with reference to the Aosta Valley (NW Italy), where this fuel is still often used and numerous UST spills have been reported in the last 20 years. We assess operational issues, GHG and pollutant emissions, and unit costs of the heat produced for several techniques: LPG boilers, wood boilers (logs, chips, pellets) and heat pumps (air-source, geothermal closed-loop and open-loop systems). We examine the investment to implement such solutions in two typical cases, a detached house and a block of flats, deriving payback times of about 3–8 years. Wood log boilers turn out to be the most economically convenient solutions; however, heat pumps provide several benefits from the operational and environmental points of view. In addition, including solar thermal panels for domestic hot water or a photovoltaic plant would have payback times of about 6–9 years. The results highlight the economic feasibility and the multiple benefits of a rapid phase-out of oil heating in Italy.

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“…Proportionally, the increases are slower and overall adoption is lower as of 2015. The RHI was put in place 3 years after the Feed in Tariff and only available in a domestic context in 2014 (Snape, et al, 2015), and as social housing has a limited number of properties with roofs that are appropriate for solar thermal and PV, the early adoption of PV may have limited the opportunities for new solar thermal installs. Solar thermal, providing hot water and photovoltaics (PV), providing electricity, are both roof mounted technologies relying on energy from solar radiation and may represent something of a trade-off for social housing providers.…”

Section: Levels Of Adoptionmentioning

confidence: 99%

Adoption of sustainable retrofit in UK social housing 2010-2015

Swan

Fitton

Smith

et al. 2017

IJBPA

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Purpose The Retrofit State of the Nation Survey has tracked the perceptions of social housing sector professionals’ views of retrofit since 2010. It has taken the form of three surveys conducted in 2010, 2013 and 2015. Here, the authors bring together the three surveys to specifically address the adoption and perceived effectiveness of retrofit technology in social housing projects. The purpose of this paper is to identify the changing perceptions of social housing professionals over a period of significant policy change within in the sector. Design/methodology/approach The research takes the form of a cross-sectional attitudinal, self-completion survey, covering sections considering the adoption levels and perceived effectiveness of different retrofit technologies. The target sample was medium to larger scale registered social housing providers. The surveys were conducted in 2010, 2013 and 2015. Findings In terms of effectiveness, the reliance on tried and tested technologies is apparent. Emerging or more complex technologies have declined in perceived effectiveness over the period. It is clear that social housing has adopted a wide range of technologies, and the larger providers, with whom this survey is undertaken, potentially represent a significant pool of UK retrofit experience. Originality/value The survey provides a record of the changing attitudes of social housing providers to specific technologies over the period of 2010-2015, which has seen significant changes in the energy and social housing policy. The findings show the link between policy instruments and adoption, with policy instruments mapping to adoption in the sector. Perceived effectiveness reflects a preference for more established technologies, an issue that is highlighted in the recent Bonfield Review.

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Will domestic consumers take up the renewable heat incentive? An analysis of the barriers to heat pump adoption using agent-based modelling

Cited by 58 publications

References 3 publications

Business models for residential retrofit in the UK: a critical assessment of five key archetypes

Business models for residential retrofit in the UK: a critical assessment of five key archetypes

Environmental and Economic Benefits from the Phase-out of Residential Oil Heating: A Study from the Aosta Valley Region (Italy)

Adoption of sustainable retrofit in UK social housing 2010-2015

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