Agenda and draft minutes

(1)          Both Robert Jeffery and Cian Fitzgerald were welcomed to the Committee by the Chairman. Robert Jeffery introduced himself as the Government Relations Lead for OVO energy. He had been in this post for 18 months and prior to this was advising energy clients as a consultant. Cian Fitzgerald introduced himself as an Economist for OVO energy who had been working there just under a year and had previously been employed by SSE.

Q - How do you ensure that use of nuclear energy is avoided?

(2)          Robert emphasised the impact OVO energy had on actual energy generation was limited as they are a supplier as opposed to a generator themselves. OVO can however control the fuel make-up of the tariffs they offer customers. For example, OVO pays renewable generators a top up to ensure that a set proportion of their fuel mix comes from renewable sources. Customers can purchase a 100% Green Tariff to ensure that 100% of their electricity comes from renewable sources. OVO’s core, and cheapest tariff also has a minimum 33% renewable electricity content. An announcement was made in August 2015 which removed coal from their fuel mix, replacing this with more gas. This ensured that the carbon intensity of OVO’s fuel mix was dramatically reduced (gas has half the carbon intensity of coal) and the tariffs remained competitive. . OVO believes gas is an essential transition fuel to a carbon free world, acting as a reliable and flexible back up to variable renewable generation.

(3)          On nuclear energy specifically OVO believes the one planned future nuclear project, EDF’s Hinkley Point C does not represent a  good deal for consumers.

Q - Your USP at OVO energy is ensuring electricity provided has a high element of renewable resources as its source. However, surely all the actual electricity comes off the grid and is the same as any other provider?

(4)          Robert confirmed the physical electrons are the same as this all comes from the grid. However, by paying top payments to renewable and gas generators, OVO can send a market signal to these forms of generation over others (for example coal).

Q - Is OVO energy essentially a more expensive provider for the customer to ensure more renewable energy in the market? If OVO energy was to be searched on the internet do you believe you would be recommended supplier?

(5) Robert confirmed the green tariff OVO energy offer is more expensive. But the core tariff at 33% renewable is still one of the cheapest. In the UK OVO is consistently in the top 10 of the pricing list and was the first supplier to offer a sub £1000/year tariff last year. Robert said that a 100% green energy system isn’t realistic at this time, at least while some forms of low carbon technology are too expensive and thus not representing a good deal for the consumer.

(6)       In regards to the USP mentioned in the previous question; if OVO has a USP it is their  ...  view the full minutes text for item 5.

(1)          The Committee welcomed Mr Jelly to the meeting and invited him to give a brief introduction before answering questions from members of the Committee.

(2)          Mr Jelly referred to the briefing paper that he had provided for the Committee.  This set out the background to and details of the Elham Going Green brand and provided answers to the questions circulated with the papers for the meeting. 

(3)          Mr Jelly explained that Elham was 11 miles south of Canterbury in  the Elham Valley. The valley was 21 miles long connecting Folkestone with Canterbury.. Elham was a small village of 620 households with 1500 residents mainly reliant on oil for heating.  Elham was essentially a retirement village which comprised 70% of residents over 60 year of age. His role within the Group had been to facilitate a range of projects, such as a community energy saving project, 3 eco fairs and 2 renewable energy feasibility studies. The group had also initiated a sustainable food project comprising 24 allotments now run by the Elham allotment society.   Elham Going Green had a website and a column in the “Elham news” which covered government, and KCC energy initiatives, together with energy saving tips.

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Q - What reasons led you to establish Elham Going Green?

(4)          Mr Jelly stated that the Church was well supported in Elham and had organised a Frequently Asked Questions meeting in 2007 held in the local pub with the topic of “how green is our valley”  attended by 60 – 70 people.  This was the start of Elham Going Green which, following this meeting, resulted in the formation of the Elham Environment Group with the support of KCC.  Shortly after its formation, the group was appointed by KCC to conduct a Low Carbon community project targeting a 20% reduction in Elham’s carbon footprint.

Q – In southern Austria areas use biomass/cooking oil/ pig manure to produce biogas, in the information that you have provided, it is suggested that the momentum has gone out of this movement. Can you explain?

(5)          Mr Jelly stated that the Group had managed to undertake high level feasibility studies of the village in relation to a) biomass b) wind turbine c) solar systems and d) heat pumps.  In relation to biomass they had gone so far as to scope a small district heating system driven by a wood pellet fired boiler which could feed the Church/school/homes.  When they looked at the idea in more detail the group approached the Church, which was the most in need of an upgraded system.  The church was struggling for finance and they made it clear for financial reasons that they were not ready to go down this route so they are still using the existing oil fired boiler for heating.

(6)          In relation to houses many of the residents were over 60 and although in the mind-set of being environmentally friendly, value for money and cost effectiveness, including “am I going to be here long enough to  ...  view the full minutes text for item 6.