elemental Arena at InstallerSHOW 2024

elemental Arena at InstallerSHOW 2024

“We need low carbon, not low energy”

Lucy Dixon
02.07.2024

Speaking at InstallerSHOW’s panel session – What’s next for the energy innovators? – three top bosses talk decarbonisation progress, technology and the attitudes needed to get the energy transition across the line.

“There’s a cliché in the energy sector that we’ve already got all the tools we need to meet net zero,” says Guy Newey, CEO at Energy Systems Catapult. “But this is nonsense. If that was the case then it would just happen. The reality is we don’t yet have the technology at the right price point or consumer convenience.”

Enter innovation, something the panel tells session host Samira Ahmed is absolutely critical to decarbonisation. “Innovation is so important,” says Aadil Qureshi, Co-founder and CEO at Heat Geek. “We have to be doing something different every day, because plateauing is just as bad as doing nothing at all.”

Martin Fahey, Head of Sustainability at Mitsubishi Electric UK and Ireland, recounts his first job as an apprentice fridge engineer back in 1985: “The technology we had was very big, very noisy and there was absolutely no talk of energy efficiency. Back then I could never have believed the leap we’d subsequently make to electrification.”

Deep dive digitisation

Much of the innovation we’re seeing, Qureshi says, is born of the “beautiful extra layer” that digitisation brings to physical technology, which is driving lots of new business models. Newey agrees: “One area where the UK excels globally is in digital clean tech.”

The panel also agree that AI will play a driving role in the energy transition, noting that anything that supports and empowers installers will be welcomed by the industry. “There’s a lot of talk about efficiency, but often the real focus is on removing faff and simplifying the job,” says Newey. “AI has a role here, in automation, making it easier to design systems, and creating more data for interpretation and optimisation. We’re currently installing around 80,000 heat pumps a year, and we’re not going to get to the million-per-year figure we need unless we speed up, which AI can help with.”

According to the panel, this kind of innovation can help to reimagine traditional conversations around energy use. “We want a low-carbon, not a low-energy future. If we head down a low-energy avenue then we risk turning people off,” says Qureshi. “The industry is in a bit of a bubble around the transition, but we have to remember that the biggest concern for consumers is their energy bills.” Newey agrees: “Energy drives economic growth, so I don’t think using less energy should be our focus.”

Policy priorities

Indeed, consumer attitudes will be a key catalyst to action. “Right now, it’s hard to sell heat pumps to consumers as the cheaper alternative,” says Newey. “We need to set policy around costs right. Government needs to get the right incentives in place and then we’ll move on the 80,000.”

However, what Newey calls “regulatory crud” could slow things down. Citing regulatory concerns such as planning permission, noise levels and distancing, he asks: “Are we in the middle of a climate crisis or not?” Fahey notes that a lot of relevant regulation is now out of date anyway: “We don’t make noisy units, no-one is ever going to ask for a noisy unit, so it’s just unnecessary regulation to deal with.”

Qureshi takes an opposing view, however. “I’d actually say we need to stop worrying about regulation,” he says. “There’s a lot of fundamental technology missing before we can meet policymakers halfway. I think we just need to focus on getting it right at industry level. There’s a lot of innovating left to do.”