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(Economic Development Committee \
EDC 05-02\(p3\))Tj
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/TT0 1 Tf
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(Date:)Tj
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/TT0 1 Tf
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(6 March 2002)Tj
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(Time:)Tj
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(14.00 - 17.30)Tj
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(Venue:)Tj
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/TT0 1 Tf
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(Committee Room 1, National Assembly for Wales, Cardiff Bay)Tj
ET
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/P <>BDC
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/TT0 1 Tf
14 0 0 14 10 649.19798 Tm
(Title:)Tj
ET
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/TT0 1 Tf
14 0 0 14 86.96001 649.19798 Tm
(Local Authorities and Domestic Energy Efficiency)Tj
ET
EMC
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/TT0 1 Tf
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(Contents )Tj
ET
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/Lbl <>BDC
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/T1_0 1 Tf
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(1. )Tj
ET
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/TT0 1 Tf
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(Introduction)Tj
ET
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/T1_0 1 Tf
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(2. )Tj
ET
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/LBody <>BDC
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(The Welsh Perspective)Tj
ET
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(3. )Tj
ET
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(The technical Measures)Tj
ET
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/Lbl <>BDC
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(4. )Tj
ET
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(The Public Housing Sector)Tj
ET
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/Lbl <>BDC
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(5. )Tj
ET
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(The Private Sector)Tj
ET
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/Lbl <>BDC
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(6. )Tj
ET
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/LBody <>BDC
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(Constraints on achieving targets)Tj
ET
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/Lbl <>BDC
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/T1_0 1 Tf
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(7. )Tj
ET
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(The Way Forward)Tj
ET
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/TT0 1 Tf
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(1. Introduction)Tj
ET
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(Welsh local authorities are striving to meet the twin targets of the Hom\
e Energy Conservation )Tj
0 -1.2 TD
(Act 1997 of a 30% improvement in energy efficiency in dwellings and the \
need to eliminate fuel )Tj
T*
(poverty by 2010 as set out in the Warm Homes Bill 2000. In this respect \
Local Authorities )Tj
T*
(aspire to the same aims as the National Assembly. Much of the onus for a\
ttaining these aims )Tj
T*
(falls on the local authorities as "Energy Conservation Authorities" unde\
r the HECA.)Tj
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(Practical experience since 1997 has shown that it is likely, with contin\
ued financial support of )Tj
T*
(the Assembly, that the aims above can be met within the social housing s\
tock which accounts )Tj
T*
(for 21% of Welsh Housing. It will be considerably more difficult, even u\
nlikely, that HECA )Tj
T*
(targets can be met in the private sector especially in the private rente\
d sector. Meeting HECA )Tj
T*
(and fuel poverty targets will need continued long term financial support\
from the Assembly and )Tj
T*
(other external bodies.)Tj
ET
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(2. The Welsh Perspective)Tj
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(Poor energy efficiency of housing and the problem of fuel poverty are co\
mmon to all areas of )Tj
T*
(the UK. These problems are however made worse in Wales because of the ag\
e, type, )Tj
T*
(condition and level of fitness of the Welsh Housing stock. From the resu\
lts of the last Welsh )Tj
T*
(Housing Condition Survey in 1998 there are three main areas in particula\
r that stand out from )Tj
T*
(UK figures. )Tj
ET
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(1. )Tj
ET
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(30% of homes in Wales were built before 1919 and almost 19% are unfit, l\
acking )Tj
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(adequate central heating and sufficient insulation.)Tj
ET
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(2. )Tj
ET
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(Pre 1919 homes e.g. the terraced properties of the valleys and the many \
older detached )Tj
0 -1.2 TD
(properties in rural west and north Wales have solid walls, which are dif\
ficult or expensive )Tj
T*
(to insulate.)Tj
ET
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(3. )Tj
ET
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/LBody <>BDC
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/TT0 1 Tf
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(In rural areas there is a problem with access to alternative fuels such \
as natural gas and )Tj
T*
(housing is in poor condition.)Tj
ET
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(In the housing stock generally remedying unfitness will cost an estimate\
d at \2431100m at 1998 )Tj
T*
(prices which will include energy efficiency improvements.)Tj
ET
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(Older owner-occupiers and those on low income will rarely have sufficien\
t money to fund )Tj
T*
(repairs let alone energy efficiency improvements. )Tj
ET
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(The Assembly should therefore consider giving greater flexibility to LA\222\
s to operate the various )Tj
T*
(grant schemes to solve local problems. The Assembly could also continue \
with the longer term )Tj
T*
(development of HEES in areas such as alternative fuel sources including \
oil and funding cost-)Tj
T*
(effective solutions to insulating solid walls)Tj
ET
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/P <>BDC
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/TT1 1 Tf
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(3.The technical measures)Tj
ET
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(Technically there are few obstacles to achieving the required levels of \
energy efficiency )Tj
T*
(improvements in housing at an economic cost. A well proven basket of mea\
sures can be )Tj
T*
(applied that will achieve the targets required. These include topping up\
loft insulation to )Tj
T*
(200mm, cavity wall insulation where appropriate, draughtproofing windows\
and doors, hot )Tj
T*
(water tank insulation, heating controls and new heating systems that inc\
lude a high efficiency )Tj
T*
(condensing boiler. Replacement double glazed window units can also play \
their part.)Tj
ET
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(4. The Public Housing Sector )Tj
ET
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(In my own authority, replacement or upgrading of heating systems and dou\
ble glazing of )Tj
T*
(windows \(two of our tenants\222 most popular improvement measures\) are\
funded internally as )Tj
T*
(part of long term maintenance programmes. Energy efficiency measures suc\
h as insulation )Tj
T*
(tend to be funded with a mix of internal funds and Home Energy Efficienc\
y Scheme grants )Tj
T*
(where over 70% of tenants are eligible for HEES. This approach is common\
throughout Wales. )Tj
ET
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/TT0 1 Tf
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(It has been possible to make significant progress in improving energy ef\
ficiency of Council )Tj
T*
(homes since the passing of the HECA in 1997. There has been a significan\
t and much needed )Tj
T*
(injection of funds from HEES and the improved new HEES which now include\
s help with )Tj
T*
(heating systems and controls as well as insulation measures for targeted\
groups. In 2001, )Tj
T*
(EAGA \(managing agents for HEES\) introduced a bidding process where LA\222\
s were invited to )Tj
T*
(prepare schemes and submit a bid for matched funding. This has helped LA\
\222s focus on those )Tj
T*
(areas of special needs in Council stock within their areas.)Tj
ET
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(What is causing some confusion is the availability of Energy Efficiency \
Commitment funding )Tj
0 -1.2 TD
(from an increasing number of the energy utilities operating in Wales. A \
co-ordinated approach )Tj
T*
(would be welcome where all funding could be put into one central "pot". \
At present, each LA )Tj
T*
(has to make its own arrangements but a common approach would be useful.)Tj
ET
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(A simple model has been used by several LA\222s who set up insulation co\
ntracts during 2001/2. )Tj
T*
(The selected contractor carries out an initial survey of each property, \
which includes identifying )Tj
T*
(the appropriate funding source, thus drawing in the maximum external fun\
ds.)Tj
ET
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( )Tj
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(5. The Private Sector )Tj
ET
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(Progress here appears to have been slower than in the public sector, thi\
s may in fact be partly )Tj
T*
(because it is difficult to measure what improvements have taken place in\
private housing. )Tj
T*
(Regular surveys would prove very useful in collating this information. T\
here are five main ways )Tj
T*
(in which energy efficiency improvements are funded where Local Authoriti\
es can and do play a )Tj
T*
(part. )Tj
ET
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(These methods are as following )Tj
ET
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(1. )Tj
ET
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/LBody <>BDC
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/TT0 1 Tf
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(issuing of Housing Renovation Grants for substantial home improvements w\
hich will )Tj
T*
(normally include energy efficiency improvements such as heating, insulat\
ion and )Tj
T*
(window replacement)Tj
ET
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/Lbl <>BDC
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/T1_0 1 Tf
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(2. )Tj
ET
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/LBody <>BDC
BT
/TT0 1 Tf
14 0 0 14 50 325.41849 Tm
(declaring Renewal Areas to rejuvenate run down areas which can cover sev\
eral )Tj
T*
(hundred properties in some cases \(both commercial and domestic\) where \
grants are )Tj
T*
(made as in Housing Renovation Grants )Tj
ET
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/Lbl <>BDC
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(3. )Tj
ET
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/LBody <>BDC
BT
/TT0 1 Tf
14 0 0 14 50 275.01848 Tm
(issuing of Housing Repair Assistance grants for minor repair grants whic\
h may include )Tj
T*
(measures such as repair of /replacement heating systems)Tj
ET
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/Lbl <>BDC
BT
/T1_0 1 Tf
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(4. )Tj
ET
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/LBody <>BDC
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/TT0 1 Tf
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(the use of HEES or EEC funds for owner occupiers and private tenants to \
improve their )Tj
T*
(properties where LA\222s can set up partnership\222s to assist in promot\
ing the programmes )Tj
ET
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/T1_0 1 Tf
14 0 0 14 32.5 207.81848 Tm
(5. )Tj
ET
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/TT0 1 Tf
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(lastly owner occupiers funding measures themselves where again LA\222s c\
ould have a )Tj
T*
(promotional role to play)Tj
ET
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/TT0 1 Tf
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(However there are particular problems in achieving targets in the privat\
e sector that includes )Tj
T*
(the inability of elderly homeowners to pay for improvements and the gene\
ral apathy amongst )Tj
T*
(the public towards energy efficiency. The various grants on offer can he\
lp considerably and )Tj
T*
(more emphasis could and should be put on promoting energy efficiency. Ap\
athy is more )Tj
T*
(difficult to deal with and there is a need to look again at how interest\
can be generated )Tj
T*
(amongst the general.)Tj
ET
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(6. Constraints on achieving targets)Tj
ET
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/TT1 1 Tf
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(There a number of constraints on local authorities achieving fuel povert\
y and HECA targets. )Tj
0 -1.2 TD
(These are outlined below: )Tj
ET
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(1. )Tj
ET
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/TT1 1 Tf
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(The main constraint has been a lack of strong support and interest in en\
ergy efficiency )Tj
T*
(but this is changing. The recent increased emphasis on fuel poverty has \
shown many )Tj
T*
(councillors and senior officers that energy efficiency can provide finan\
cial and health )Tj
T*
(gains to residents. Initiatives such as the Energy Saving Trust\222s "Lo\
cal Authority Support )Tj
T*
(Programme", raising awareness of these issues to Councillors and senior \
management, )Tj
T*
(are welcome. )Tj
ET
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(2. )Tj
ET
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/TT1 1 Tf
14 0 0 14 50 564.81848 Tm
(Lack of staff resources to deal with the HECA responsibilities is a prob\
lem where )Tj
T*
(officers are expected to cope with the extra work on top of existing dut\
ies. A full time )Tj
T*
(HECA officer post needs to be funded in each authority if targets are to\
be met within )Tj
T*
(planned timescales. This would allow better design of improvement progra\
mmes, closer )Tj
T*
(supervision of schemes, more accurate reporting of the results and hence\
better use of )Tj
T*
(financial resources.)Tj
ET
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(3. )Tj
ET
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/LBody <>BDC
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/TT1 1 Tf
14 0 0 14 50 464.01848 Tm
(Lack of funds is always a problem but this has eased somewhat with the e\
xpansion of )Tj
T*
(HEES funding and the availability of EEC funding from the utilities. Int\
ernal funding to )Tj
T*
(match grants is often required and this can be problematic. One way frow\
ard would be )Tj
T*
(for the Assembly to invite applications for bids for Supplementary Credi\
t Approval for )Tj
T*
(specific energy efficiency schemes.)Tj
ET
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/Lbl <>BDC
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(4. )Tj
ET
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(A lack of detailed knowledge of the existing housing stock can hamper ac\
curate )Tj
T*
(planning and targeting for investment in improvements. One way froward w\
ould be to )Tj
T*
(carry out an annual house condition survey of a representative sample of\
housing in )Tj
T*
(each authority to determine what improvements have been carried out. Thi\
s would also )Tj
T*
(assist the Assembly in its strategic all Wales planning.)Tj
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(7. The way forward)Tj
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(A comprehensive approach is needed to tackle fuel poverty and improve po\
or energy )Tj
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(efficiency in housing. LA\222s are willing to play a major part in raisi\
ng energy standards in their )Tj
T*
(own stock and, where they, in the private sector. The Assembly has noted\
through the annual )Tj
T*
(HECA reports from authorities that progress is being made, though slowly\
. As stated earlier, )Tj
T*
(progress in Council stock is satisfactory but increased efforts are requ\
ired in the private sector.)Tj
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(To improve the situation, the following ideas are proposed for the Assem\
bly\222s consideration:- )Tj
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(1. )Tj
ET
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(Increased financial support for local authorities to carry out annual ho\
use condition )Tj
T*
(surveys )Tj
ET
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(2. )Tj
ET
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(Funding to local authorities to employ a full time HECA officer)Tj
ET
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(3. )Tj
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(Continuation of existing levels of funding under HEES)Tj
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(4. )Tj
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(Encouragement of partnerships between the Assembly, local authorities, a\
gencies, )Tj
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(suppliers and contractors)Tj
ET
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(5. )Tj
ET
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/LBody <>BDC
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/TT0 1 Tf
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(Develop a campaign to increase energy awareness and take up of grant aid\
schemes )Tj
T*
(for improvements to homes amongst the public)Tj
ET
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(6. )Tj
ET
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/TT0 1 Tf
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(Backing from the highest levels in the Assembly of the EST campaign to r\
aise )Tj
T*
(awareness of energy issues amongst Councillors and senior LA management \
and AM\222s )Tj
T*
(if appropriate)Tj
ET
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/P <>BDC
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/TT0 1 Tf
14 0 0 14 10 617.41849 Tm
(If these ideas could be taken on board and developed, they would encoura\
ge local authorities )Tj
T*
(in their own efforts and lead to increased support of the Assembly\222s \
campaign to meet HECA )Tj
T*
(targets and eliminate fuel poverty in Wales by 2010.)Tj
ET
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(J Prosser)Tj
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(Energy Manager )Tj
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(Vale of Glamorgan Council)Tj
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(On behalf of the CLAW Energy Group)Tj
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