Wednesday, April 28 2010

Now that it has put on hold its Carbon Pollution Reduction Scheme (CPRS), the Government should rethink its scrapping of the Home Insulation Program, says Australia’s leading household sustainability organisation, the Alternative Technology Association (ATA).

The ATA believes insulation is a crucial part of delivering on Australia’s energy efficiency potential and needs the Government’s continuing support. Last week’s decision to abolish the home insulation component of the Renewable Energy Bonus Scheme was unfortunate.

“Now more than ever, with the delay in the CPRS, a cheap and effective technology like home insulation deserves investment,” said ATA chief executive officer Ian Porter.

“However, obviously an insulation rebate alone cannot replace the need for a carbon price mechanism.”

“To scrap the rebate is an over-reaction and inconsistent with other areas of government policy. The Prime Minister has recently set up a task force to recommend how Australia can improve energy efficiency, and yet the Government is walking away from the very technology that should be the first step in any investment directed at household energy efficiency.”

Only about half of Australian homes are insulated, and heating and cooling account for 35%-40% of home energy use at a time when domestic energy consumption is soaring.

The ATA estimates homeowners will pay 12 times the cost of insulation in wasted energy over the life of a building that is not insulated.

Research also shows that insulated homes are healthier for people, with fewer doctor visits and hospital admissions for respiratory conditions.

“Reducing support from the previous $1600 per installation to $600 or $800 to better manage the program, improve safety precautions and make homeowners take greater responsibility for their energy efficiency investments is a good move. However, no credible effort to improve energy efficiency can exist without support for home insulation,” Mr Porter said.