Vaillant Group

A Message from Lord Pickles and Lord Blunkett, followed by Vaillant Group's best practice article

The ability to listen and learn from one another has always been vital in parliament, in business and in most aspects of daily life. But at this particular moment in time, as national and global events continue to reiterate, it is uncommonly crucial that we forge new channels of communication and reinforce existing ones. The following article from Vaillant Group is an attempt to do just that. We would welcome your thoughts on this or any other Parliamentary Review article.

Rt Hon The Lord David Blunkett

Rt Hon The Lord Eric Pickles

www.vaillant.co.uk

THE PARLIAMENTARY REVIEW

Highlighting best practice

28 | VAILLANT GROUP

KlausJesse, managing director UK

& Ireland

aroTHERM heat pump

For more than 140 years, Vaillant has been setting the

standards in the heating market by creating products that

have revolutionised the industry. These span from the very

first iteration of the water heater, first produced in the early

1900s, all the way through to their pioneering of the “combi”

boiler over 35 years ago. Managing director Klaus Jesse elaborates

on Vaillant’s journey, and looks at where they want to go next.

We are proud to be leading the way in low-carbon technologies and developing

systems that utilise sustainable energy sources. As a result, our customers can enjoy

simple, healthy and energy-efficient solutions to their heating and hot-water needs.

As one of Europe’s leading heating technology manufacturers, “thinking ahead”

is a culture that we embrace across all levels of the business. Our products match

high efficiency with low emissions to both conserve energy and improve air quality.

The entire Vaillant range comes with an enviable reputation for performance,

quality and reliability.

We invest heavily in new technologies to support the UK government’s ambitious

target to reduce carbon emissions, and recognise that there is no “silver bullet”

when it comes to mitigating the environmental impact of burning fossil fuels.

Instead, we are now focusing on a range of varied heating and hot-water solutions,

which can be paired with the specific needs of each building.

New focus

We believe that the decarbonisation of heating and hot water will prove to be an

integral part of meeting carbon reduction targets.

FACTS ABOUT

VAILLANT GROUP

»Managing director UK &

Ireland: KlausJesse

»Established in 1874

»UK headquarters in Belper,

Derbyshire

»Services: Manufacture of hot-

water and heating solutions

for domestic and commercial

markets

»No. of employees: Over

12,000 worldwide

»Introduced the combi boiler to

the UK market

»www.vaillant.co.uk

Vaillant Group

29VAILLANT GROUP |

BEST PRACTICE REPRESENTATIVE 2018

The process towards a future low-

carbon energy mix will be a transitional

journey that will embrace a range

of solutions. One such example is

that of green gas, which will utilise

the existing nationwide distribution

infrastructure to provide a flexible

energy source. To truly change things,

however, we will also have to look

at an increasing number of electric

solutions: the use of heat pumps,

forexample.

The drive towards low-carbon heating

and hot water will naturally have to

involve buildings in both the domestic

and commercial sectors, and, for this

reason, we are looking to provide

system-based solutions that cater

for private and social housing, new

builds and existing building stock

across both the residential and light

commercialmarkets.

Low-carbon solutions are no longer

seen as a niche option, and their

growing adoption, both on and off

gas, requires a flexible, system-based

approach. This will become more

prevalent as technology develops

further; solutions such as heat pumps

will become more regularly installed

alongside solar photovoltaic and

battery storage systems, with home

energy management and different

types of tariff emerging within the

energy supply market.

Innovations geared towards lowering

the environmental impact of energy

usage are being developed across

our product portfolio, to ensure

that we can offer efficient, fresh

and sustainable solutions for our

customers. Our development of the

geoTHERM mini – the world’s first

wall-hung ground source heat pump –

is testament to this.

New product development alone,

however, will not achieve our national

decarbonisation targets, and future

policies must be underpinned by

certain guiding principles:

1. Reducing waste energy and energy

consumption

2. Utilising energy generated from

sustainable low-carbon sources

3. Future-proofing new-build

properties to save expensive and

difficult refits in future.

Integrated energy solutions

A fixation on a single technology in the

heating sector, such as an “all-electric

scenario”, is the wrong approach.

This attitude does not easily provide

cost-effective and convenient solutions

across the wide variety of building

types that exist in the UK.

Instead, the future lies in a variety

of solutions, including biofuels, the

use of hydrogen for heating and

industrial processes, and, of course,

the electrification of heating. At this

time, though, it would be foolhardy

to opt for a single “silver bullet”; to

truly achieve a national integrated

energy solution, our sector needs an

open, technology-agnostic approach

and a policy framework that supports

UK manufacturing to become a world

leader in this area.

Vaillant UK HQ

A true,

integrated

energy system is

necessary, and

only through

smart

technology will

we be able to

achieve this

“

THE PARLIAMENTARY REVIEW

Highlighting best practice

30 | VAILLANT GROUP

Energy management for

system optimisation

Digitalisation and interoperable

communication are vital within heating

systems of the future, and are equally

as important to the success of the

decarbonisation process. Through

the “internet of things” and product

digitisation, systems and services

can be optimised for both efficiency

and comfort within buildings. New

business models and tariff structures

will also help to shape the future of

decarbonised home heating.

Of course, the future will also see

greater integration of energy systems

as we come to terms with a veritable

plethora of ways to heat our home,

power our industry and fuel our cars.

A true, integrated energy system

is necessary, and only through

smart technology will we be able to

achievethis.

Low-carbon policy

There are many challenges in our

present energy situation which

require a secure, affordable and

sustainable supply, and a clear policy

framework will facilitate investment

in technology and manufacturing.

This is vital if decarbonisation of

heat, transport and industry is

to be appropriately supported

goingforwards.

As a business, we are fully behind

the UK government’s “Clean Growth

Strategy”, and are actively involved

in shaping the heating sector for

the future, focusing, of course, on

efficient, low-carbon and consumer-

centred solutions. As policies in

this regard are further developed,

we must remember to put the

customer at the heart of all we do,

and bring them along on the road to

decarbonisation, as partners, rather

than end users.

Final thoughts

We fully support efforts to

decarbonise heating and hot water,

and believe this is vital if we are to

achieve targets set out by the UK

government. These targets can only

be achieved through industry and

government working in collaboration

to bring forward policy, incentives and

solutions that match the needs of UK

buildings and consumers.

Above all else, we must remember

that the pursuit of a new heating

solution is often left until an

incumbent system fails; going

forwards, industry and government

alike have to ensure that there is a

raft of products available, and that

the consumer is educated to recognise

that our common goal is achieved

with a simplicity that does not

inconvenience the end user.

Our common

goal is

achieved with

a simplicity

that does not

inconvenience

the end user

“

ecoTEC exclusive with

Green iQ combi

www.vaillant.co.uk

This article was sponsored by Vaillant Group. The Parliamentary Review is wholly funded by the representatives who write for it. The publication in which this article originally appeared contained the following foreword from Rt Hon Kwasi Kwarteng.

Rt Hon Kwasi Kwarteng's Foreword For The Parliamentary Review

By Rt Hon Kwasi Kwarteng

This year’s Parliamentary Review reflects on a tumultuous and extraordinary year, globally and nationally. As well as being an MP, I am a keen student of history, and I am conscious that 2020 would mark the end of an era. It will be remembered as the year in which we concluded Brexit negotiations and finally left the European Union. Above all, it will be remembered as the year of Covid-19.

In our fight against the pandemic, I am delighted that our vaccination programme is beginning to turn the tide – and I pay tribute to the British businesses, scientists and all those who have helped us to achieve this. But the virus has dealt enormous damage, and we now have a duty to rebuild our economy.

We must ensure that businesses are protected. We have made more than £350 billion available to that end, with grants, business rates relief and our furlough scheme supporting more than 11 million people and jobs in every corner of the country, maintaining livelihoods while easing the pressure on employers. The next step is to work with business to build back better and greener, putting the net zero carbon challenge at the heart of our recovery. This is a complex undertaking, but one which I hope will be recognised as a once in a lifetime opportunity.

Through the prime minister’s ten point plan for a green industrial revolution, we can level up every region of the UK, supporting 250,000 green jobs while we accelerate our progress towards net zero carbon emissions.

With our commitment to raise R&D spending to 2.4% of GDP and the creation of the Advanced Research & Invention Agency, we are empowering our fantastic researchers to take on groundbreaking research, delivering funding with flexibility and speed. With this approach, innovators will be able to work with our traditional industrial heartlands to explore new technologies, and design and manufacture the products on which the future will be built – ready for export around the globe.

And I believe trade will flourish. We are a leading nation in the fight against climate change. As the host of COP26 this year, we have an incredible opportunity to market our low-carbon products and expertise. Our departure from the EU gives us the chance to be a champion of truly global free trade; we have already signed trade deals with more than 60 countries around the world.

As we turn the page and leave 2020 behind, I am excited about the new chapter which Britain is now writing for itself, and for the opportunities which lie ahead of us.

Rt Hon Kwasi Kwarteng
Secretary of State for Business, Energy and Industrial Strategy