Mike Foster, chief executive of the Energy and Utilities Alliance (EUA), the boiler industry’s trade association which brokered the deal, explained that the price promise is a major boost to consumers and the fight against climate change: “Our own research tells us that consumers want to do their bit to reduce the impact of their homes and help deliver a greener future, but are concerned about the cost of some low carbon technologies. This price promise from the ‘Big Four’ ensures that consumers will be able to access an affordable low carbon heat and hot water solution.”
The price–promise, delivered in a letter to Kwasi Kwarteng, the secretary of state at the Department of Business, Energy and Industrial Strategy, will force many industry experts to rethink their models, Mike stated and continues: “This is another example of British companies leading the way on net zero.”
“The manufacturers have been very clever in using existing components and technologies to keep the price of hydrogen-ready boilers down. What’s more, hydrogen-ready boilers will work in the same way as natural gas boilers with no changes required to pipework, radiators or the installation of a water tank.”
“The Committee on Climate Change, which advises the Government, assumed that a hydrogen-ready boiler would cost £100 more than a natural gas boiler and that the total cost to consumers of decarbonising their homes would be £2.3bn. The price–promise is a great deal for consumers.”
A convenient way to keep costs down
The EUA’s recent ‘Too Close to Home’ report revealed that tackling climate change is regarded as a priority for consumers, but the majority are unwilling to pay more than the cost of a new boiler.
Worcester Bosch, Vaillant, Baxi and Ideal, the four companies involved, believe that with the price promise it could save consumers up to £2.3bn according to modelling.
Hydrogen-ready boilers that can be installed to run on natural gas but easily switched to hydrogen have been successfully tested by the Health and Safety Executive, which published their findings earlier this month. The manufacturers add that any hydrogen-ready boiler that is installed initially to run off natural gas will require no more than one hour to convert it to run on hydrogen.
As Mike concludes: “The boiler manufacturers have developed a boiler that works; they support a 2025 mandatory roll-out of the technology and now they’ve found a way to keep costs down.
“The Big Four boiler companies compete ferociously against each other, but they have come together for the benefit of UK consumers and the good of the planet.”