Energy Efficiency Standard for Social Housing post 2020: interim guidance for social landlords

1. Background

1.1 In Housing to 2040, the Scottish Government made a commitment to seek the agreement of the social housing sector to bring forward the review of the Energy Efficiency Standard for Social Housing post 2020 (EESSH2) to begin in 2023, with a view to strengthening and realigning the standard with net zero requirements so that social housing leads the transition to clean heating.^[3]

1.2 Landlords are conscious of financial pressures due to inflation, and rising energy bills. Landlords are experiencing increased costs for construction and maintenance, adding pressure to the need for investment to be affordable, and are mindful of the cost impact on tenants. Within these constraints, action is still needed to progress towards net zero to meet Climate Change targets and to reduce fuel poverty.

1.3 The Zero Emissions Social Housing Taskforce (ZEST) report recommended that the Scottish Government bring forward the review of EESSH2 to align with net zero targets and our guiding principles of a just transition that is fair to everyone and leaves no one behind.^[4] In our response to the ZEST Report we agreed to bring forward and accelerate the review of EESSH2, to commence in summer 2022, undertaking this review jointly with the social housing sector.^[5]

1.4 The review commenced in September 2022, with the consultation on the proposals launched in November 2023. The consultation on the SHNZS had suggested that its first reporting year would be 2025/26. The time needed to consider and confirm next steps on the Heat in Buildings (HiBs) Bill and any consequent impacts on the SHNZS has meant that this timescale has been extended. Final proposals for a new standard will be submitted for consideration and decision by Scottish Ministers, taking into account the views of the sector.

1.5 The ZEST report also made the following recommendation (Recommendation 4, Action 3): In order that time is not wasted planning for the requirements as they currently stand, if it is now likely the goalposts will shift, the Scottish Government and Scottish Housing Regulator should issue interim guidance on what measures should be prioritised during the review period.

1.6 This interim guidance delivers this recommendation. This is the second iteration of the interim guidance given the extended period of the review process. The interim guidance has been updated to reflect some of the anticipated changes expected within the SHNZS (i.e. gypsy/traveller sites) and to ensure that it aligns with the current policy landscape.