The lived experience of energy vulnerability and social ... · The lived experience of energy...

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The lived experience of energy vulnerability and social housing competitionpolicy.ac.uk High quality independent research into competition policy and regulation competitionpolicy.ac.uk Twitter: @noellonghurst; @tom_hargreaves1 Fuel poverty, household experiences and policy seminar York, 7 th June 2018 Noel Longhurst and Tom Hargreaves University of East Anglia

Transcript of The lived experience of energy vulnerability and social ... · The lived experience of energy...

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The lived experience of energy vulnerability and social housing

competitionpolicy.ac.uk

High quality independent research into competition policy and regulationcompetitionpolicy.ac.uk

Twitter: @noellonghurst; @tom_hargreaves1

Fuel poverty, household experiences and policy seminarYork, 7th June 2018

Noel Longhurst and Tom HargreavesUniversity of East Anglia

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Structure of the presentation

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1.Overview of key findings2.The role of emotions in fuel poverty 3.Summary and recommendations

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1. Overview of key findings

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Equity and justice in energy markets

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• Origin and motivations: the most vulnerable groups, who could benefit the most from switching supplier, are among the least likely to do so.

• Multidisciplinary (NBS, LAW, ENV, PPL) project exploring interactions between retail energy markets and their distributional impacts on vulnerable and under-researched groups

• Seven Research Packages (2016-2018): i) Statutory and institutional contextii) Impact of devolved administrationsiii) Consequences of non-engagementiv) Energy expenditure shares in the long-runv) Subjective vs. objective indicators of affordabilityvi) SME engagement and satisfactionvii) Lived experience of energy vulnerability

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Research Questions

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1. What is the lived experience of energy vulnerability for social housing tenants and in what ways do they express agency in relation to their energy usage? What factors support or undermine their agency?

2. In what ways do housing associations intervene in the energy consumption of their tenants, and why? What impacts do different kinds of intervention have on the lived experience of energy vulnerability?

3. What are the wider implications for the role of housing associations and other actors in tackling energy vulnerability?

Methods• 5 telephone interviews with expert stakeholders• 15 in-depth interviews with tenants• 9 interviews with Housing Association staff

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Expensive Warmth and Unaffordable Warmth

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EXPENSIVE WARMTH“Objective” fuel poverty

based on modelled affordability based on ratio

of energy: income expenditure

UNAFFORDABLE WARMTHInability to secure desired

level of energy services(Subjective fuel poverty)

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Pseudonym Gender Age Adults ChildrenEconomic situation Income EPC Ex

pens

ive

War

mth

Unaf

ford

able

War

mth

PPM

Ener

gy

debt

Prob

lem

de

bt

Colin Male 60 - 69 1 0 Unemployed Under 10K B ü ü ü

Barbara Female 30 - 39 1 2 Full time Under 10K D ü ü ü ü

Susan Female 1 1 P/t self employed

None (D?) ü ü ü ü

Tony Male 30 - 39 1 0 Unemployed / medical Under 10K None (C?) ü ü ü ü

Janet and Steve

Male 40 - 49 2 0 Medical Under 10K C ü ü ü

Michael Male 1 4 Unemployed Under 10K C ü ü ü ü

Lucy Female 20 - 29 1 0 Unemployed Under 10K C ü

Glenda Female 60 - 69 1 0 Retired 10 - 15K C

Fran Female - - - - - C - ü ü ü

Annette Female 20-29 2 3 Homemaker 10 - 15K B ü

Paulette Female 30 - 39 1 1 Unemployed 10 - 15K D ü

Rob Male 30 - 39 1 0 Unemployed Under 10K None (C?) ü ü ü

Sybil and Arthur

Female 60 - 69 2 0 Retired £15 - 20K None

Francis Female 60 -69 1 0 voluntary worker

£15 - 20K C

Bob Male 60 - 69 2 0 Full time Over £25K B

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Employment status

State benefits

Private pensions

Savings and assets

Level of consumption

Payment method

Tariff

Heating system

Occupancy patterns

Thermal efficiency of home

Health

Household size and structure

Dispostition and attitude

Lifestyle and habits

Climate

Energy DebtTenure

Infrastructure

1.Energy

technology

2.Market

participation

3.Managing

income

4.Managing

consumption

Qualifications and skills

Local economy

Transport

Smart technology

Knowledge

Otherexpenditure

Energy expenditureIncome

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Fuel poverty as a complex problem

Debt

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Unemployment

State benefits

Under consumption of energy services

PPM

Tariff

Gas central heating but self disconnection of gas led to use

of electrici panel heater

Home a lot during the day

Relatively efficient home but no carpets or curtains

Mental health

problems

Single

Energy debt build up on

PPM

Requested to go on a PPM but not permitted until debt had accumulated. Trusts British Gas as a known brand and doesn’t really understand how to switch.

Debt built up on PPM which is then subtracted when payment is made.

Not able to work due to mental health issues

Increasing debt leads to self-disconnection of gas. Use of electric panel heater. Spatial and temporal

rationing.

O t h e r

e x p e n d it u r e

E n e r g y

e x p e n d it u r eIn c o m e

Other debt

“Mark” – debt spiral leading to self-disconnection

Financial abuse

No EPC but fairly modern property

• Mental health issues as a risk factor for energy deprivation• Role of debt as a key driver • Example of ‘hidden’ fuel poverty?

Savings

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Self employed childminder

State benefits

Managed Underconsumption

PPM Tariff

Storage heaters plus electric panel heaters.

Works from home

Sap rated D property

Single parent with one child at home

SAP rating D house. Off gas grid. Stoage

heaters

Chose to switch to quarterly arrears to save £20 per month

Self employed childminder means that income is variable. Current client recently lost her job so may

stop needing Anna’s services soon

Spatial and temporal rationing: No heating on upstairs. Using washing

machine after midnight (for economy 7). Batch cooking. Limited usage of

storage heaters. Topped up with panel heaters.

Local economy O t h e r

e x p e n d it u r e

E n e r g y

e x p e n d it u r eIn c o m e

“Anna” storage heaters and switching

Energy audit

Knowledge

Quarterly arrears

Martin Lewis

Time

• Storage heaters are a key risk factor• Example of energy rationing• Unusual because of switch away from PPM

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Qualifications and skills

Employment status

Private pensions

Savings and assets

Level of consumption

Payment method

Occupancy patterns

Health

Household size and structure

Dispostitionand attitude

Lifestyle and habits

Climate

Tenure

Infrastructure

1.Energy

technology

2.Market

participation3.Managing

income

4.Managing

consumption

Qualifications and skills

Local economy

Transport

Smart technologyO t h e r

e x p e n d it u r e

E n e r g y

e x p e n d it u r eIn c o m e

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State benefits

Where does BHA intervene?

Tariff

Heating system

Thermal efficiency of home

Energy Debt

Knowledge

State benefits

Tariff

Energy Debt

Heating system

Thermal efficiency of home

Knowledge

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FUEL POOR(Thermal inefficiency

and low income)

1. Energytechnologies

2. Market participation

3. Managing income

4. Managing consumption

Housing Association

• Retrofit• Boiler

replacement • Fabric First /

Passivhaus• Asset disposal

• Limited advice on switching

• Benefits checks • Support with

W HD• Grant

applications • Employability• Support with

debt management

• Energy conservation tips

Tenants • Limited marketparticipation due to debt / preference for PPMs / lack of knowledge / confidence / trust

• Limited opportunities to improve income (in short term)

• Some control over level of (under) consumption

Activity in different spaces of agency

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2. The role of emotions in fuel poverty

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The role of emotions • Fuel poverty is predominantly understood as resulting

from technical (and market) failures: • Energy efficiency and switching are thus positioned as core

solutions. • For tenants energy vulnerability is an intensely

emotional experience, yet this has been neglected to date.• Energy vulnerability shapes and is shaped by multiple

emotions.• Emotions can cause energy vulnerability and hinder

attempts to address it.

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Fear, worry and control…Due to fear over bills, participants lives were marked by constant worry and active vigilance over their energy expenditure: • “If I’ve got my money coming then that’s alright, I can do

all my washing over the next 3 days…Whereas [if] it’s like ”I’ve got 2 weeks until I’ve got my money coming!”, my washing starts to pile up and stuff like that!” (Paulette)

This led many to choose Pre-Payment Meters to manage risk and gain control:• “Why people go on the key is they’re worried of getting in

big debt…if we hadn’t been on the key we probably would have done to be honest.” (Susan)

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Relations of care…Care relationships can both exacerbate or ameliorate energy vulnerability.

Using energy to care for others:• “If it was just me I’d probably have [the heating] switched off

during the night, but at her age, she can’t keep herself warm.” (Glenda, referring to her elderly cat)

Drawing on care relations for help with bills:• “Another single Mum….she’s got her nan always bailing her

out…where I don’t have family that can do that for me, so we suffer!” (Paulette)

Those with an absence of care relations seemed to be the worst cases, leading to both self-disconnection and social isolation.

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Stigma, embarrassment and trust…Embarrassment and stigma prevented people asking for help…• “Even if I go to my Mum…and say “Mum, can I borrow £20 for some

electric?” I find that embarrassing. So I try not to put myself in that situation.” (Barbara)

Lack of faith or trust in energy companies or housing associations prevented people from receiving potential help earlier: • “I just can’t see the point of swap, change, swap, change, keep trying

to find the best deal…they’re [Energy companies] all basically the same. They’re all in it for the same reasons.” (Annette and Pete)

• “You’re asking someone to actually divulge information with a complete stranger. We explain we’re tenancy support, we’re not the neighbourhood officer, we’re not the rent officer…we are there to offer support, but even with that, they still see you as somebody in authority, bureaucracy, whatever…you’ve got to chip that away and that takes ages.” (Tenancy Support Officer)

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5. Summary and Recommendations

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Summary • Dominant approaches to fuel poverty often adopt a

technical, ‘expensive warmth’ framing with energy efficiency as the prime solution. • A focus on lived experience uncovers broader

issues of affordable warmth / energy vulnerability.• Energy vulnerability is a more complex problem

shaped by interrelations between technologies, energy markets, income and consumption. • Emotions shape and are shaped by energy

vulnerability and can significantly hamper attempts to address it.

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Recommendations

1. New tenancies (void management, more tenant support)

2. Switching and tariffs (collective switching, competitive PPM rates)

3. Develop separate economic inclusion and affordable warmth strategies.

4. Find ways to achieve earlier intervention.

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Discussion questions

1. In your role / organization can you think of any examples of how emotions have shaped experiences of energy vulnerability?

2. What do you think could or should be done to account for emotions in attempts to address energy vulnerability?

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