FOR IMMEDIATE RELEASE

Grey Power expresses dismay at the dumping of government subsidies for heat pumps and other efficient heating appliances.

The Grey President Roy Reid has expressed dismay that the Government is dumping the subsidy for heat pumps and efficient wood burners because it says a recent cost-benefit analysis report showed no clear economic benefits from efficient heating, compared to the large health benefits of insulation.

The report says" this might be because 'clean' (efficient) heating improved health only if people were able and willing to pay the ongoing energy bills."

Grey Power believes that an increasing number of its members are not able to pay ever-increasing energy bills. Instead they keep heaters off, wrap up in blankets, and even go to bed early to keep warm. This harms their health. Nevertheless the government’s report fails to recognise that for optimum health benefits a warm home requires an affordable efficient heat source as well as effective insulation. Insulation reduces heat loss, but it cannot heat the house, that is why heating and insulation must go hand in hand. Thus the remaining insulation subsidy alone will do little to improve the health outcomes for the elderly and other low-income consumers.

The Government's decision to remove the subsidy to assist people to purchase efficient heating appliances will cost the country dearly in increased health costs and the quality of life, especially for elderly people and the very young, who are the most susceptible to harm from cold houses.

Roy Reid
President

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