In a four-part series we've been researching the barriers to generating independent renewable energy, and here we suggest some potential solutions to the problems.

Week 4 - Access to Information & Consumer confidence

Anyone investing in microgeneration will need between £4,000 and £25,000 to get set up. This is significant expenditure for any household and the homeowner wants peace of mind that they are opting for the right technology at the right scale and the right people to install it.

Our survey confirmed our perception that people found it difficult to access detailed, informative, impartial and reliable information on microgeneration.

Homeowners find it hard to understand which technology they will benefit from most, because they don’t necessarily know how a home uses, conserves and wastes heat and power. They’re also concerned that the most detailed and useful information comes from microgeneration installers that they could not view as impartial because they were selling a product.

Good Energy, despite having a commercial interest, has tried to fill the information vacuum through our website. This recommends a stepped approach for homeowners to follow guiding them through decision making on technology, identifying installers, identifying products, accessing finance and grants and getting paid for the energy generated.

The Energy Saving Trust has also recently expanded its resources on microgeneration to help homeowners with their decision making.

As companies in this industry establish their brands and certifying bodies such as the Microgeneration Certification Scheme become more recognisable, the information they provide should be more trusted by homeowners.  

Keep an eye out around June as Good Energy will be launching an online forum giving people an opportunity to share knowledge and experience in this field.

Consumer Confidence

Closely linked to the access of information about microgeneration is the confidence - or lack of confidence - consumers have in microgeneration in relation to the products and the installers. Our  awareness of this lack of confidence was a motivator for providing a service in the market. Good Energy’s customers were expressing an interest in microgeneration but also a concern that it was difficult for a homeowner to identify which installers in the market had the skill and experience to provide excellent service. Good Energy undertook independent research to evaluate a number of installers and, through our website, recommends a shortlist.

Accreditation of products and installation companies is essential and is being delivered through the Microgeneration Certification Scheme (MCS).  While the value of this accreditation process is understood and appreciated within the industry, it will take time for consumers to develop the requisite trust and understanding for the MCS to deliver widespread consumer confidence in microgeneration.

A concern that Good Energy has noted several times is the cost of the accreditation process for both installers and products. These costs present obstacles for start-up companies and some homeowners believe the cost of accreditation is reflected in the price they pay. This is causing some consumers to opt for non-accredited products and installers. This directly contravenes what the MCS should be achieving and is pushing some homeowners away instead of towards accredited products and services. This may result in some homeowners paying for bad products, badly installed.

This is not what we want to see.

While it is likely that the MCS will help to safeguard most homeowners, the costs of accreditation must be kept to a minimum to ensure fairness for new microgeneration market entrants and affordability for homeowners.

Conclusion

Over the last four weeks we have looked at the barriers to independent renewable energy generation and made some suggestions for how they can be resolved. Please let us know what you think too. If you’re interested in generating your own energy the best place to start is on our website.