Insulation industry news from Global Insulation

UK: Advanced Insulation (AI) has acquired Manuplas, which specialises in the manufacture and supply of floatation and protection products for the global marine and offshore energy markets.

"The acquisition of Manuplas enhances AI's market diversification by providing further penetration into our existing offshore markets while simultaneously increasing our presence and breadth of product offerings in the marine sector," said AI's managing director Andrew Bennion. AI's turnover has increased from Euro3.68m in 2008 to Euro24.5m in 2013.

Manuplas has over 50 employees at its two manufacturing plants in Plymouth, Devon, the second of which was acquired in early 2013 to accommodate the increase in production of offshore products and to further improve general productivity. As a result of the acquisition, Manuplas has dissolved its commercial reseller and distribution agreements with Fendercare Marine.

UK: The Construction Products Association (CPA) has appointed John Sinfield as its new chairman. Sinfield is managing director of Knauf Insulation in Northern Europe. The CPA represents the Euro48.6bn-turnover UK construction products and materials sector.

Sinfield replaces Geoff Cooper, chief executive of Travis Perkins, in the role. Sinfield said, "Given all the political uncertainty over the coming year, with regulatory doubt over energy security, costs and carbon measures, we need manufacturing to be underpinned by a vibrant, long-term, cross-party industrial strategy which enables the UK to capture supply chain advantages for firms here in this country. I look forward to leading efforts to help bring key players together to find a way forward."

UK: A Salford housing association has begun a pilot project to trial a new type of party cavity wall insulation. The project will see the new mineral wool insulation fitted to separating walls between terraced and semi-detached houses in City West Housing Trust's properties in Greater Manchester, UK.

The housing association, which owns and manages 14,600 homes in Salford, is undertaking the project with Knauf Insulation using the company's ECOSE Technology, which creates insulation using formaldehyde-free binder technology and naturally occurring and recycled raw materials.

If the pilot is successful, customers could save Euro73 - 109/yr on their energy bills. Additionally, household carbon emissions will be reduced by between 0.33 - 0.50t/yr per home. The performance of the insulation will be monitored by Leeds Metropolitan University, the Mineral Wool Insulation Manufacturers Association and Knauf Insulation.

"Through our commitment to the green agenda we are ensuring our properties can be as energy efficient as possible and offer value for money for our customers," said City West head of supply chain and sustainability Garry Vaughan.

UK: Energy savings of 63% have been achieved following the installation of multiple Saint-Gobain systems in a world-first retrofit research project.

Saint-Gobain worked with the Energy House at Salford University, Greater Manchester, UK to prove that whole-house, fabric first retrofitting of homes can deliver significantly reduced energy costs, lower CO₂ emissions and remove 50% of air leakage.

The Energy House at Salford University is a typical 1919 terraced house that has been reconstructed in a fully environmentally controllable chamber, in which climatic conditions can be maintained, varied, repeated and patterns monitored. The type of building used in the study represents 21% of UK housing stock and is classed as a hard-to-treat property due to its poor energy efficiency derived from solid wall construction.

The Energy House at Salford University included Saint-Gobain systems from British Gypsum, Glassolutions, Isover and Weber to bring high levels of thermal efficiency. The approach of the project was to measure the whole-house performance post-installation using off-the-shelf Saint-Gobain systems and standard installation techniques, making the results repeatable across the UK's hard-to-treat housing stock.

UK: Superglass Holdings reported that its revenue fell by 25% year-on-year to Euro29m in its financial year that ended on 31 August 2013. In the UK-based mineral wool producer's preliminary results statement, chief executive Alex McLeod conceded that the company had faced 'extremely challenging trading conditions'.

"The transition from CERT to ECO/Green Deal has caused a major gap in activity within the retrofit market for both loft and cavity insulation. Combined with abnormally low levels of house-building activity in the UK by historical standards of new unit construction despite recent early signs of recovery, the net effect has been a surplus of UK-based insulation manufacturing capacity and highly competitive market conditions," said McLeod. In Superglass' fiscal 2013 its operating loss grew to Euro13.2m from Euro2.98m in the fiscal 2012.

Both McLeod and chairman John Colley highlighted Superglass' capital investment programme, Project Phoenix, which delivered cost savings in reduced energy consumption and waste of Euro3.36m in the 2012 – 2013 financial year. Superglass expects revenues to recover slowly in 2014.

UK: Superglass Holdings has reported in a period-end trading update that its financial year that ended on 31 August 2013 was in line with market expectations.

The mineral wool producer reported that sales volumes had been volatile throughout the summer of 2013 and overall market demand remained depressed, especially in the retrofit segment where the uptake of insulation measures under the Green Deal initiative remained very low. Insulation measures completed in 2013 under the Green Deal and the Energy Company Obligation (ECO) combined are running at between 80% and 90% below 2012 levels.

Superglass also announced the resignation of its Chief Finance Officer, Allan Clow, and the appointment of Declan George Billington as a non-executive Director.

UK: Knauf Insulation has announced that from August 2013 all four of its UK manufacturing plants will send zero waste to landfill.

The achievement marks a significant milestone in the manufacturer's sustainability journey, in which it is constantly developing its products and processes to contribute towards greener and more energy efficient environments.

At its glass mineral wool sites in St Helens (where the company's headquarters are also based) and at Cwmbran in Wales, Knauf Insulation has introduced a number of measures to divert both production and office-generated waste. Baled glass wool waste is re-used by a ceiling tile manufacturer, while mixed glass wool and incidental packaging waste is collected by a recycling partner and re-processed for use as underground bedding.

Other waste is segregated at source to enable efficient recycling. A 'Bin the Bin' campaign was introduced as part of EcoWorks, an employee initiative designed to encourage best practice techniques and education around sustainable behaviour. Clearly marked recycling bins, desktop recycling folders and skips for cardboard and polythene have been distributed throughout the facilities, so that the waste can then be collected and recycled.

Kevin West, Health, Safety, Security and Environmental Manager at Knauf Insulation's St Helen's plant, commented, "As the UK's leading insulation manufacturer and the third largest manufacturer of insulation in the world, we take our social and environmental responsibilities seriously. True sustainability is about much more than simply producing 'green' products. It must be an integral part of the business, which is what we have sought to accomplish with our waste management strategy. Reaching zero waste to landfill is a fantastic achievement and is a clear demonstration of Knauf Insulation's commitment to improving our environmental performance."

UK: Building materials supplier SIG expects its profit for the first half of 2013 to fall year-on-year due to the extended winter, according to a trading update. In the first half of 2012 SIG reported a profit before tax of Euro41m. In the first half of 2013 it is likely to be Euro34 – 36m. The company plans to reduce costs to support full-year profit.

SIG reported that in mainland Europe sales per day fell by around 4% in constant currency. Sales in the UK more than halved, falling by around 1%, due to the end of the Carbon Emissions Reduction Target (CERT) scheme and the slow start of the Green Deal.

"There are signs that market conditions are starting to improve in the UK, although construction activity in mainland Europe remains weak," said SIG in its report.

UK: Experts have warned that the UK's Green Deal scheme to promote higher levels of insulation in buildings could inadvertently generate potentially lethal overheating in some residences.

Researchers from Loughborough University and the University of Reading have highlighted that Green Deal-inspired changes may be unsuitable for top-floor flats (especially in 1960s constructions) and modern detached houses. In both cases, southerly aspects could add even more to summer temperatures, creating potentially unbearable conditions for occupants.

Speaking to the BBC's website, Professor Chris Goodier of Loughborough University said that it was 'vital' that the UK improved insulation in its housing stock for the sake of lower fuel costs and carbon emissions, but said that the 'big rush to insulation and make homes airtight' risked overheating.

"Overheating is like the little boy at the back of the class waving his hand," he told the BBC website. "It is forgotten about because the other challenges are so big."

Goodier, along with Professor Li Shao of the University of Reading, said that the elderly were among the most at risk of overheating effects as they are more likely to remain indoors during the day and are more susceptible to the effects of extreme temperatures.

The Department for Energy and Climate has now said that it has issued new guidelines regarding overheating to its Green Deal partners in the insulation industry.

The Green Deal has come in for much criticism in the UK since it launch at the start of 2013. The scheme targets the insulation of 14 million homes by 2020 but so far only 38,259 assessments have been carried out. Of these, only 241 homes have committed to proceeding with the installation of insulation.

UK: Superglass Holdings PLC (SPGH.LN), an independent UK manufacturer of glass wool and mineral fibre insulation solutions, has said that current trading conditions continue to be extremely challenging and it plans to explore options to strengthen the company's balance sheet, including a further equity issue.

Superglass said that the company continues to operate within the terms of its bank facilities and its bankers continue to be supportive. However, debt amortisation payments are due to resume in November 2013 and Superglass is scheduled to repay Euro9.5m of debt over the three years to November 2016. It warned that, as long as market conditions remain as they are now, these debt service obligations will become unsustainable.

Superglass said that the delays in the recent transition from CERT standards to the new Green Deal framework had caused a major gap in activity within the retrofit market for both loft and cavity insulation. This, combined with abnormally low levels of housebuilding activity in the UK by historical standards, has caused a surplus of UK insulation capacity and highly competitive market conditions. This, Superglass said that this was detrimentally impacting the company's operating profit and cashflow.