Isra-Mart srl: Water efficiency technologies to be included in Green Deal

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Businesses keen to invest in more energy efficient water systems look set to receive a boost, after the environment secretary today confirmed a range of hot water technologies could be included in the government's flagship energy efficiency Green Deal scheme.

Caroline Spelman said hot water efficiency measures, such as new efficient boilers, might be included in the Green Deal financing scheme which is due to launch next autumn.

The comments came as Spelman launched the government's delayed white paper setting out how it intends to improve water management across the UK.

"Making sure we've got enough water for everyone is going to be one of the major challenges this country will have to deal with in the years ahead," she said. "We can already see the problems we may face with part of Britain still in drought even though we're in December."

The White Paper outlines how the government plans to drive investment in new water infrastructure and encourage water efficiency among homes and businesses through new incentives and labelling systems.

In addition to revealing that hot water efficiency measures might be available through the Green Deal, the paper also confirms government plans to develop water efficiency guidelines designed to encourage greater uptake of water butts and dual flush toilets.

It also hinted that some of these water saving measures could be promoted to businesses and homeowners applying for Green Deal financing to undertake efficiency makeovers.

The paper sets out a wide-ranging package of reforms designed to extend competition among water companies and prevent steep increases in water bills.

Responding to questions from BusinessGreen, Spelman said businesses were increasingly considering water and energy efficiency in tandem and cited Defra research which found the UK economy could save £23bn by using resources more efficiently.

"As part of the greening of our economy an increasing number of businesses taking up new technological solutions to reduce their carbon footprint and their water footprint," she said.

"Water as a resource and energy as a resource are two commodies that businesses generally are reviewing their use of as part of their own resource efficiency."

Today's wide-ranging White Paper is a precursor to a draft Water Bill which will be presented for pre-legislative scrutiny in early 2012.

Spelman said government was keen for UK businesses to take advantage of the $300bn a year global market for water products and services.

She added that Defra will launch a £3.5m innovation competition in March 2012, seeking technologies which can recover 1,000 megaliters per day from surface water and ground water cycles.

"Part of what we need to do in order to grow our economy is support science and technology, research and development into these new green technologies because they are undoubtedly growth area and also exportable technologies," she said.

"The UK already has a lot of international leadership in terms of green technologies and our commitment to reduce our carbon footprint and be more resource efficient. And the opportunities for businesses to invest go hand-in-hand with delivering those objectives."

However, experts have suggested the changes will lead to increased water bills as water companies pass on the costs of upgrades and government compensation schemes that allow abstraction licences to be changed.

Alongside the white paper, the Environment Agency published research analysing the impact of climate change and population growth on water resources.

It found that by the 2050s, under a medium emissions scenario, short duration droughts of 12 to 18 months are likely to become more frequent. It added that as a result severe droughts like that experienced in 1976 could become more common, despite the increased resilience of public water supply and more winter storage.

Commenting on the water strategy Friends of the Earth's Nature Campaigner Paul de Zylva said a national water strategy was long overdue.

"Households, farmers and wildlife across the UK are being left high and dry by Ministers' failure to properly manage our precious water supplies," he said. "We can't keep lurching between floods, droughts and hose-pipe bans - a national water strategy is long overdue.

"Fast action is needed to cut water waste, tackle floods and prevent our rivers and wildlife being sucked dry."

Shadow Environment Secretary Mary Creagh insisted the government had to take more action to help reduce water bills.

"The Tories' botched water privatisation left South West residents facing the highest bills in the UK and we welcome the Government's offer of £50 a year off their bills," she said. "The 2.4 million households across the rest of the country who spend more than five per cent of their income on water need a more robust approach from government and the water companies to ensure water remains affordable to all."