The news that green energy and insulation company Climate Energy Ltd, which has been involved in delivering the Green Deal energy efficiency scheme in Cambridgeshire, has gone into administration has been branded the result of Tory 'vandalism' by Cambridge Labour.
The company had been the main Green Deal Communities delivery partner for the consortia of Cambridgeshire councils called 'Action on Energy'
set up to implement subsidised solid wall insulation and other energy efficiency measures for households. But it announced that it has gone into administration today. This leaves the future of the scheme in doubt, plunging residents into uncertainty about installations that are either already underway, or they have paid a deposit towards.
The news hits Cambridge particularly hard as a disproportionate number of customers of the initiative live in the city. It is widely believed that the raft of cuts to energy subsidies announced earlier in the summer by Tory Chancellor George Osborne has been a major factor behind this collapse. It has been announced at the same time as another major Green Deal provider, the Mark Group, has also gone into administration.
Executive Cllr for Finance and Resources at Cambridge City Council, George Owers, who leads on climate change, said: 'I recommend that worried customers listen to the official announcements from the administrators and Action on Energy and follow their advice. The future is currently uncertain, and we hope to be able to resolve the situation to the satisfaction of anyone who is having work done or who has paid a deposit.
‘However, it needs to be said that this is a stunning indictment of George Osborne's vicious recent cuts to the whole framework of green subsidies. Over the recent few months, not only was the plug pulled on the future of the Green Deal, but green energy feed-in-tariffs, which made solar energy generation economically viable, were slashed by 86%.
This is in addition to the government ending a range of other pro-green energy measures.
'This shows that the Tories don't care one iota about climate change or our obligations under international agreements and our own Climate Change Act, passed by the last Labour government. Climate change is a huge threat to our entire existence as a species, yet it is dismissed as “green crap” by David Cameron. The collapse of Climate Energy is symbolic of this Tory vandalism and climate change denial. It also belies the Tories' claims to back small business: they've just driven a host of thriving, innovative companies to the wall. It's a disgrace. We in Cambridge will continue to do what we can to tackle Climate Change and provide the leadership locally that is so lacking nationally.'