Subject
UK government energy efficiency initiative
Significance
The government had previously cooled towards environmental protection measures, but it has now introduced rules that oblige landlords to improve energy efficiency in the rented buildings sector. The initiative comes as household energy bills remain high, despite recent reductions in energy prices, and the political salience of energy affordability has risen. Fuel poverty and the potential of improved energy efficiency to mitigate it are issues across much of the EU.
Impacts
The government's initiative may encounter implementation difficulties, particularly if the new rules are not given a high public profile.
High retail energy prices will keep energy affordability as a politically salient issue, in the UK and EU.
The current slump in international oil prices has yet to feed fully into sustained reductions in retail gas and electricity prices.
A drop in retail energy prices could blunt the momentum behind policies to improve energy efficiency, and revive energy demand.