Social housing sector’s path to net zero outlined in new report

The report notes that as a consequence of the social housing sector’s focus on delivering affordable, high quality, energy efficient homes, properties in the sector perform relatively better than other tenures in terms of energy efficiency standards. There is, however, still huge investment needed to get to zero emissions in the social housing sector.

“Reducing demand for heat and improving the conditions of our housing stock is a crucial first step in readying homes for zero emissions heat,” it stated. “We know we face a significant challenge in upgrading all our stock to the necessary level of energy efficiency.”

Building on its social purpose, along with its strengths, skills and experience, the report said social housing is already on a strategic pathway to the decarbonisation of its housing stock.

It added: “This comes with continued problems, obstacles and barriers – not least the equally important commitment to driving down poverty and inequality, including preventing homelessness. We are aware of the challenge and commitment needed from the social housing sector to achieve this, and the financial support that will be required. This means that the programme of change must ensure that housing costs remain affordable as a core principle.”

The recommendations of ZEST aim to find a collaborative way forward through the many and significant challenges facing the sector. They set out specific, realistic and practical proposals for how social landlords, local authorities and the Scottish Government can act in partnership to address the double challenge of getting to net zero in social housing while driving down poverty.

The recommendations are:

1. The Scottish Government and social landlords should develop a collective commitment to a just transition in the social housing sector with clear metrics and sufficient budgetary investment to ensure this is successfully realised.
2. The Scottish Government should promote a Fabric First approach as an essential first step towards decarbonisation, prioritising investment accordingly, and ensure that the promotion of a Fabric First approach is reflected appropriately in its review of EESSH2.
3. The Scottish Government should work with social landlords to ensure capital investment for social housing is adequate, structured and designed in line with the needs of the sector, and supports the social housing sector’s aim for a Fabric First approach.
4. Social landlords and the Scottish Government must work together to plan ahead with certainty, including working with new partners to access and maximise funding opportunities.
5. Social landlords and the Scottish Government should commit to working together in partnership to understand the current condition and investment needs of the existing social housing stock and develop appropriate collaborative solutions.
6. Social landlords and both local and national government should work in partnership to ensure individuals and communities are fully engaged and supported in the net zero transition.
7. All partners must work together to ensure there is sufficient workforce capacity in Scotland to deliver high-quality retrofit works in the social housing sector.
8. Social housing providers should continue to evaluate their wider impacts and ongoing contribution to tackling the climate emergency, through systematic monitoring and measurement.

A number of projects from Renfrewshire Council, Southside Housing Association, River Clyde Homes, and the City of Edinburgh Council were highlighted as best practice in retrofit and renewables in the report.

ZEST was co-chaired by Sally Thomas, CEO, Scottish Federation of Housing Associations, and Aubrey Fawcett, chief executive of Inverclyde Council, and SOLACE.

Sally Thomas said: “Tackling climate change is one of the most pressing global issues, and social landlords have a key role to play by helping the Scottish Government to achieve its ambitious targets for improving homes. However, the challenge is ensuring that we can deliver a fair and just transition to zero-emissions homes that allows our sector to continue to reduce fuel poverty and keep rents affordable.

“Social landlords can work together with government to attract investment, create jobs in the green economy, and improve the warmth and comfort of homes to tackle both climate change and fuel poverty together. Achieving this will also require sufficient investment in order to realise the opportunities and ensure the costs and risks don’t fall disproportionately on social housing providers, their tenants and communities.

“Social landlords are ready to work with the Scottish Government, and other partners, to deliver this report’s actions, deliver a fair and just transition to net zero and play our part in tackling the climate emergency.”

Aubrey Fawcett said: “Heat from buildings accounts for around 20% of Scotland’s greenhouse gases and social housing has a large part to play in achieving net zero. The Scottish Government’s climate change targets are ambitious and to match that the investment and support for social landlords needs to be just as ambitious.

“There are many examples of sector-leading good practice across the country from social landlords to build on. Over half of Scotland’s social landlords housing stock already achieves a good level of energy efficiency compared with two fifths in the private rented and owner occupied, so they are starting at a good base. Working together across the sector and with national and local government, accessing proper investment that protects tenants from large rent increases and ensuring tenants have a meaningful say in developments will be crucial to getting to net zero across the sector.”

Net zero secretary Michael Matheson added: “The Scottish Government is wholly committed to ending our contribution to climate change by 2045, and to doing so in a way that is fair for everyone and leaves no-one behind.

“As work to decarbonise Scotland’s social housing accelerates, it is important that we take a localised approach and ensure that through each stage – from planning to design and delivery – the distinct needs of local communities are considered.

“I am grateful to the taskforce for this report, which we will consider carefully as we continue to engage with and work alongside local authorities, and with social housing providers and their tenants to ensure a just transition to net zero.”