PLANNING AND ENVIRONMENT DEPARTMENT
ENVIRONMENT DIVISION
Jersey Energy Trust – Terms of Reference
(Public)
1.0 Summary
The Minister for Planning and Environment is recommended to establish the Jersey Energy Trust (JET) as a non-political body to provide an oversight function to support the programmes and objectives of an Energy Efficiency Service (EES). In its first phase during 2009 the Energy Efficiency Service will deliver an energy efficiency programme to targeted low income groups.
Funding for Phase 1 is from the States of Jersey (£1M) and a voluntary contribution of £0.5M from the Jersey Electricity Company. During Phase 1 the EES will be based within the Environment Department of the States of Jersey.
The intention is to continue and expand the work of JET and its delivery arm, the EES but this is dependent on securing long-term funding from 2010 onwards.
This is most likely from a revenue stream arising from the introduction of an environmental tax which will be debated by the States later in 20093. Part of the Phase 1 remit of JET will include creating a persuasive case for continuing and expanding the role of the Trust in subsequent years i.e. 2010 and beyond.
On securing long-term funding it is expected that the EES and JET will migrate to an arms-length position from Government.
2.0 Objectives:
The objectives of the ‘Jersey Energy Trust’ will be to:
During Phase 1:
- Oversee the delivery of improvements in comfort and warmth for low income and vulnerable consumers;
- Assist low income customers with advice and the distribution of grants for a number of energy efficiency measures such as loft and cavity wall insulation, temperature controls, lagging and draught proofing;
- Assist in the development of a persuasive case for continuing and expanding the role of the Trust in subsequent years.
In addition during Phase 2:
- Expand the programme to assist the domestic, industry and governmental sectors to stabilise their energy use in the built environment at 2005 levels, so avoiding a predicted 20% increase in energy demand by 2030 (as described by the Energy policy Green Paper ‘Fuel for Thought’);
- Assist the domestic, industry and governmental sector in reducing carbon emissions from the built environment to achieve carbon reduction targets (as described by the Energy policy Green Paper ‘Fuel for Thought’);
- Promote the use of energy efficiency measures and potentially renewable energy in schools as a learning tool linked in with the curriculum;
- Promote and assist with the uptake of small scale renewable technologies.
3.0 Membership
The Jersey Energy Trust will comprise of 6-8 Members. Members are appointed on an unpaid basis, for an initial term of 3 years.
Members will be appointed to represent the following skills and experience: Chairing public or voluntary bodies; Providing energy services; Assisting vulnerable groups; Assessing the impact of grant programmes. There will be an expert independent advisor from the UK who has previous experience in this area. Technical expertise will be provided by the Programme Director and the Departmental Sponsor (Environment Director and Assistant Director for Environmental policy).
It is expected that there will be approx 6 meetings per year, which will take place during normal working hours. Meetings will take place approx monthly in the set-up phase which is expected to last until the summer of 2009.
4.0 Action
It is envisaged that the Jersey Energy Trust shall provide and deliver a programme of work within the energy related environment, which will achieve behavioural change and energy savings in the specific groups and users of energy targeted by the Trust.
4.1 Delivery – Phase 1
The EES will provide beneficial energy efficiency services and practical measures to targeted low income households so as to:
- Deliver at least a 15 % reduction in energy use;
- Achieve household energy saving targets of £70 to £250;
- Reduce carbon dioxide emissions by 15% across the range of measures delivered by the scheme;
- Improve SAP rating of dwellings in the target group by an average of 20 Points (based upon a selected assessment of generic types within the target groups);
- Tackle and provide improvement to the end use of heating energy to at least 800 households during Phase 1, from the identified target group.
The Jersey Energy Trust shall oversee and guide the operation of the ‘Energy Efficiency Service’. In future phases of the scheme it is likely that the Energy Efficiency Service will become an integral part of the Jersey Energy Trust, working as part of the body, responsible for the outreach & delivery programmes.
4.2 Delivery – Phase 2
The Jersey Energy Trust from 2010 onwards will, inter alia:
- Expand the delivery and remit of the phase 1 programme of grant aid to low income groups and other appropriate target groups;
- Develop a range of energy efficiency initiatives that will be delivered sector-by-sector;
- Implement ‘Green schools’ programme – comprehensive programme based around input metering and remedial measures linked with school’s science programme
- Prepare and manage the funding of multiple outreach programmes in support of energy saving & carbon reduction initiatives.
- Provide impartial advice and assistance to the consumer and construction industry regarding microgeneration technologies to existing buildings and other applications such as the heating of outdoor swimming pools;
- Engage in discussion with the local microgeneration industry and investigate opportunities for assistance in increasing the local skill base required to market and service microgeneration industry. This might include the introduction of a regulatory system for installers to increase consumer confidence and maintain standards;
- Review biennially the need to provide grant aid to address market failures in the uptake of microgeneration technologies.
- Co-ordination and implementation of purchasing programmes
5.0 Accountability
During Phase 1 the Jersey Energy Trust will provide an oversight function to support the activities of the Energy Efficiency Service. It will also scope the establishment of an appropriately funded and independent body to take on the challenges outlined above and to move the Jersey Energy Trust into a strategic role, whilst still maintaining the operational delivery of the Energy Efficiency Service. This will include putting forward a proposal to Government for the longer term functions of the Jersey Energy Trust and its’ funding, governance and terms of reference. A Government committee shall monitor, review and report on the operation of the Jersey Energy Trust bi-annually.
6.0 Funding
Phase 1 : £1M direct support from the States of Jersey for 2009 plus £0.5M arising from a voluntary contribution from the Jersey Electricity Company. This spend can be rolled over to 2010 if it is not possible to roll out full delivery of the whole programme in 2009;
Phase 2 : Funding beyond 2009 will be from the revenue from the introduction of an environmental tax which will be debated by the States in the Autumn of 2009. It is proposed that this revenue stream will increase to £3M over the development of the work streams to 2015.
7.0 Structure
Phase 1 – JET will oversee and advise the work of the EES. The placement of the EES will be within the Planning and Environment Department and supported by 2 full time posts as well as the secondment of specialist expertise as required (as diagram below). JET will be apolitical but report its findings in the first instance to the Minister for Planning and Environment
Phase 2 - It is expected that the EES and JET will migrate to an arms-length position from Government but reporting its findings in the first instance for the Minister for Planning and Environment (as diagram below).
Recommendation
The Minister is asked to agree the outlined establishment, membership and terms of reference for Jersey Energy Trust.
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Written by: | Assistant Director for Environmental Policy |
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Approved by: | Chief Executive Officer |
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Decision ref: MD-PE-2009-0114
10th June 2009
gov.je