MERSEYSIDE: The Mineral Wool Insulation Manufacturers Association (MIMA) welcomed the publication of the Government's consultation paper on the Green Deal and Energy Company Obligation (ECO) but cautioned that government needs to better understand the significant shift in the insulation market that will result as a consequence of the current proposals.

Responding to Chris Huhne’s comments on the Green Deal and ECO in his Annual Energy Statement, MIMA executive director Syed Ahmed stated: “We strongly welcome the Government’s commitment to increasing the energy efficiency of the nation’s building stock. Concerns over increasing energy costs, energy security and the rise in the number of fuel poor households all strongly point to an urgent need to make our homes and businesses more energy efficient.

“Analysis undertaken by government for the Green Deal and Energy Company Obligation (ECO) show that the vast majority of the benefits delivered through these programmes will be attributable to insulation measures.

“However, government must recognise that a virtual overnight transition from a market dominated by loft and cavity wall insulation to one primarily delivering solid wall insulation (SWI) – with a potential tenfold increase over existing levels of SWI installation as is being proposed in today’s consultation paper – holds great risks for the quality of installation, the level of Green Deal uptake, and to the insulation industry as a whole.

“Recent research has identified that over 7 million solid walls, 6 million cavity walls, and 10 million lofts still need to be insulated. From these figures and from the many discussions that have taken place over the year, it is clear that more drivers and greater incentives are required to ensure the Green Deal is an attractive proposition to householders, especially during the roll-out stages next autumn.”