FREQUENTLY ASKED QUESTIONS
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Take a look at our frequently asked questions below
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Climate Change
The Energy Consultant can help you in a number of ways. We take a holistic approach, and like to look at the bigger picture of where you are and what you’re trying to achieve before agreeing an approach or focus for the project. We will discuss your objectives with you and deliver them in a comprehensive, coherent report with clear actions to help you achieve your goals.
We can provide you with a full carbon baseline assessment looking at key areas of your business such as energy, water, waste and transport. We can source a competitively priced energy contract for you, this can be 100% renewable which can help you further reduce your carbon footprint. We’re also available to help with all aspects of project management to ensure your project is a success and goes smoothly. Together we can make things happen and help your business reduce the impact of climate change.
The benefits and opportunities from taking action are significant. Not only will taking steps to reduce carbon emissions help your business become more energy efficient and sustainable, it will help you become more profitable and save on costs by increasing competitive advantage and enhancing supply chain relationships. Employee wellbeing will also be improved as a result of taking steps to make the workplace a cleaner, better place.
There are a number of simple steps you can take as a business which will make a difference. Incentives such as bike to work schemes, installing EV charging points, considering the installation of renewable technologies such as Solar PV, Biomass or heat pumps. Planting trees and ensuring that food you eat or purchase as part of your supply chain is from a sustainable source.
There will be challenges and opportunities for businesses. Solutions lie in mitigation and adaptation policies, the falling cost of technologies and the increase of new more sophisticated technologies enables businesses to accelerate their growth whilst reducing carbon emissions. It is important to take action sooner rather than later, and there are a number of ways in which this can be done.
The Committee on Climate Change (CCC) provides independent research, news and insights to Governments on building a low carbon economy and preparing for climate change.
The SDGs are 17 interdependent goals to transform our world. Built upon shared values and ethics, they aim to reduce poverty and improve health and wellbeing for all – the environment and a reduction in global emissions being at the heart of this.
Linked to the Climate Change Act, the UK was the first major economy to pass a net zero emissions law – Net Zero 2050 is the goal of the Climate Change Act.
The Climate Change Act 2008 is an act of the UK Parliament which makes it the duty of the Secretary of State to ensure that the net UK Carbon emissions (6 Kyoto GHGs) for 2050 is at least 80% lower than the 1990 baseline. The Act was amended in June 2019 to increase this to 100%.
Climate change is the biggest challenge facing our society. The scientific evidence demonstrates that the impact of climate change will be severe. The effects on human health and wellbeing, wildlife and the economy will be significant. Between 2030 and 2050 climate change is expected to cause and additional 250,000 additional deaths per year from malnutrition, disease, and heat stress.
Emissions from human activity, buildings and agriculture are a major cause of greenhouse gases which are leading to increases in global temperatures. This will have a profound impact on life as we know it. Reducing CO2 emissions is key to securing climate stabilisation at less than a global 2*C temperature rise above pre-industrial levels.
Covid -19
The Energy Consultant can help your business establish which steps would be the most beneficial initially and assist you with the implementation if required. We can give your business a carbon health check to highlight areas where improvements can be made to reduce your carbon footprint and make your business more efficient.
COVID-19 has presented great opportunity for businesses to respond, become sustainable and ultimately more profitable. There are simple steps every business can take such as introducing bike to work schemes, continuing homeworking for staff where possible, investing in technology to assist with this. Where operations on site are resuming, now is a great time to look at ways to reduce carbon emissions and become more efficient, measures such as LED lighting, updated HVAC, renewable technologies such as Solar PV will go a long way towards reducing carbon footprint and costs.
COVID-19 has demonstrated what is possible when it comes to climate change, and the findings have been really encouraging. The reduction in traffic is a major contributor to the fall in CO2 emissions. According to data provided by the World Economic Forum, cleaner air as a result of reduced activity during the pandemic has avoided 11,000 pollution related deaths in Europe. Globally, greenhouse gas emissions are expected to fall by 5.5% this year, although this would not yield a trajectory to limit global warming to 1.5*C, according to the latest science we need a 7.6% reduction per year.
With investment and support from the government it is likely that the economy will bounce back relatively quickly from COVID-19. We can all help revitalise the economy by supporting local business and gradually returning to our usual patterns of activity. It is expected that Renewable technologies will be part of the recovery from COVID-19, with greater investment and confidence in green energy and associated technology. With the fall in costs of equipment for both wind and Solar PV, we can expect to see more businesses, individuals and developers generating renewable energy. EV charging points and faster broadband will also help with the recovery and continued reduction in carbon emissions.
Energy Audits
The Energy Consultant can conduct an energy audit for your business, helping you to become more sustainable and operate in a more cost-effective way whilst reducing your carbon footprint. The whole process is straightforward and won’t interrupt to the day to day running of your business. We will take the time to analyse all the relevant data and discuss the best solution with you.
An energy audit is a good idea if you want to get a better idea of how your business is doing from an energy efficiency perspective. Combined with a sustainability report, it will give you clear actions to take in order to improve efficiency and reduce your carbon footprint. This can be really useful, not only in helping you reduce costs but it will also help you to inform a robust sustainability policy which can be shared with supply chain, making your business more attractive to new customers and increasing your competitive.
An energy audit is basically a full health check for your business in terms of its energy efficiency. We will look at everything from the fabric of your buildings, HVAC and lighting through to energy consumption, operations, waste, water and transport.
We will compile and easy to read report highlighting your carbon footprint and ‘quick wins’ for increasing your sustainability and reducing costs as well as longer term options which may require more investment but be worthwhile in the long run and provide positive returns to your business, helping you to reduce your carbon footprint and costs.
Energy Contracts
The Energy Consultant can help you get the best deal and avoid unnecessary costs. We will search the market, working with all major suppliers and some smaller ones – to get you the best possible contract for your business. We will also establish your usage, and consumption patterns to establish whether a change of meter may be beneficial. We’ll look after the whole process for you so that you can continue to focus on the day to day running of your business.
Being out of contract for your business energy is never a good idea. We’ve seen OOC standing charges of over £3.30 and unit rates over 50p, so even if your business is closed and not using much energy, you could rack up considerable costs.
There are tariffs which track the market, and it is worth looking at one of these, although most people tend to prefer a fixed price tariff as it enables you to plan and avoid potential spikes in prices. The wholesale prices are fluctuating all the time, however the costs associated with supply are generally increasing and that’s one of the main reasons lower wholesale prices don’t necessarily mean lower prices for customers. Prices tend to increase with demand so you can expect to see price rises as we come in to the winter months, therefore it’s a good idea to sort out your energy contracts before October if possible.
In addition to unit charge and standing charge, you will notice over charges such as FiTs (feed-in-tariffs) CCL (climate change Levy) and Renewables Obligation (RO) on your bill. These additional charges are Levies and taxes relating to the environment and social obligations. a half hourly meter will also have additional operating (MOP) charges and other costs associated with the network and supplier operating costs. These apply to all contracts (even 100% renewable), sometimes they are factored in to the unit rates, other times they are listed separately – it’s worth checking which applies, as it may appear you have a great deal when you could do better if the additional charges are calculated separately to your unit rate.
A half hourly electric meter is a special type of meter (usually for businesses with higher consumption)which utilises AMR (automatic Meter Readings) every half hour. This allows you to establish patterns of usage and increased demand and consider ways to become more energy efficient or balance demand with battery storage.
A power purchase agreement or PPA is an agreement between two parties, one which generates electricity and another who purchases. These can be really beneficial to high energy users wanted to source their power from a renewable source at a competitive rate. There are important considerations before entering in to a PPA including the length of contract (usually 15 years +) and also ownership of the roof, which may make selling or raising finance on the building more difficult particularly if you’re thinking about selling or moving premises.
A Renewable Energy Guarantees Origin or REGO, certificate was developed to meet an EU requirement for all member states to record an report the proportion of electricity consumption from renewable sources. One REGO issued per MWh of electricity generated. However these certificates can be purchased from generators for as little as 50p, enabling suppliers to create ‘green’ tariffs and charge a lot more for the energy, despite doing nothing significant to generate green energy or reduce carbon emissions. Also REGOs from already subsidised generation are not considered truly green by many because they do not incentivise new renewable developments
All power supplied through the Grid comes via the same pipes, however there are suppliers who have invested heavily in renewables and some who have 100% renewable tariffs (usually at a greater cost). Some suppliers simply purchase REGOs rather than investing in technologies and generating green energy themselves.
Up to 12 months – so if the wholesale markets are low and you’re within 12 months of your business energy contract end date then it pays to look at a new contract.
If you’re out of contract, it’s unlikely you’re getting a good deal. Suppliers usually take advantage of this and increase their standing charge and unit rates significantly.
Being on the ball is key to getting the best deal. There’s usually no reward for loyalty, and in contrast there are introductory offers for acquisitions so it often pays to switch. Set a reminder on your phone for 3-6 months before contract end dates and start shopping around.
Energy Performance Certificates
The Energy Consultant can conduct an EPC for your business and discuss ways in which you can improve your rating and increase energy efficiency. Resulting in a smaller carbon footprint and cost savings for your business.
You need a valid EPC for the sale or lease of commercial building. The following exemptions apply:
- Listed buildings
- Temporary buildings going to be used for less than 2 years
- Places of Worship
- Industrial sites, workshops or agricultural buildings that don’t use much energy.
- A detached building under 50 square metres.
- A building due to be demolished.
*a half hourly meter will also have additional operating (MOP) charges
An Energy Performance Certificate or EPC is a report which provides an Asset rating of a building indicating its energy efficiency (A-G with A being the most efficient). A commercial EPC involves a full survey of the building, starting with the fabric, and looking at all aspects of the building services from insulation, lighting, glazing and HVAC to provide a rating and a recommendations report highlighting ways to improve the energy efficiency of the building and improve your EPC rating
Funding
The Energy Consultant will establish what funding is available for your business, based on the location, cost and project. We will also identify what other incentives you may be entitled to and able to claim such as Renewable Heat Incentive (RHI) and the Smart Export Guarantee (SEG). We will help make sure that your project is a cost effective as possible, whilst reducing the maximum amount of carbon emissions to reduce you carbon footprint and make your business more sustainable.
The SEG Licensee is required to put processes in place to pay for the electricity exported by the eligible installation and to report to Ofgem on installations under the SEG arrangements.SEG Licensees determine the rate they will pay, contract length and other terms.
However, whilst wholesale electricity prices can sometimes fall below zero, SEG Licensees must always offer a tariff that remains above zero. SEG payments must be calculated by SEG Licensees using Export Meter Readings.
The SEG is an opportunity for anyone who has installed one of the following technology types up to a capacity of 5MW, or up to 50kW for Micro-CHP:
- Solar photovoltaic (solar PV)
- Wind
- Micro combined heat and power (CHP)
- Hydro
- Anaerobic digestion (AD)
These installations must be located in Great Britain.
The Smart Export Guarantee (SEG) is an obligation set by the government for licensed electricity suppliers to offer a tariff and make payment to small-scale low-carbon generators for electricity exported to the National Grid, providing certain criteria are met.
The SEG came into force on 1 January 2020.
The Energy Technology List (ETL) is a government list of energy efficient plant and machinery. In order for a product to be listed, it must meet the ETL’s robust energy saving criteria – typically set at the top 25% of products in the market.
The ETL features products such as boilers, electric motors, air conditioning and refrigeration equipment.
The list functions as an easy-to-use procurement tool for energy managers, procurement professionals, facilities managers and a wide variety of other professions and organisations. The ETL gives the added reassurance to purchasers of measured and verified energy performance.
The Department for Business, Energy and Industrial Strategy (BEIS) annually reviews the technologies and products that qualify for inclusion. The ETL is managed on behalf of BEIS by the Carbon Trust and ICF.
A full list of the technology categories currently on the ETL can be found below.
- air-to-air energy recovery
- automatic Monitoring and Targeting (aM&T) equipment
- boiler equipment
- combined heat and power (CHP)
- compressed air equipment
- heat pumps
- heating, ventilation and air-conditioning (HVAC) equipment
- high speed hand air dryers
- lighting
- motors and drives
- pipework insulation
- radiant and warm air heaters
- refrigeration equipment
- solar thermal systems and collectors
- uninterruptible power supplies
- waste heat to electricity conversion equipment
Enhanced allowances ended for energy and water efficient plant and machinery in April 2020 and the Energy Technology List (ETL) was updated. Prior to this once businesses had reached their maximum Annual Investment Allowance (AIA) of £200,000, a 100% allowance for certain energy saving or environmentally beneficial technologies would apply, enabling businesses to offset the full amount of eligible purchases against tax in the first year.
Across Greater Manchester, Lancashire and Cheshire there are various funding initiatives available offering support to businesses looking to implement green technologies and reduce their carbon footprint.
Depending on your business type, location and specific project, The Energy Consultant will be able to establish what funding may be available to you and help with the application process.
Renewable Energy
The Energy Consultant can help you identify which renewable technologies would be best suited to your business type and requirements. We will look at all available options and consider whether you have the right building type, space and demand for a given technology before providing with a clear breakdown demonstrating the costs and ROI/payback time.
The great thing about renewable technologies is that they save you money and reduce everyday essential energy costs, so in a relatively short space of time they tend to pay for themselves and then carry on saving you money so it’s a bit of a no brainer for most businesses who have the energy requirements and are looking to save money whilst reducing their carbon footprint
In 2019 the UK average was 46%.
When having Solar PV installed it is important to find a qualified installer who is MCS registered (this is also necessary to be able to apply for SEG payments) and NAPIT certified for extra peace of mind. They should also be registered with a governing body such as HIES, offering consumer code protection in case of any issues or dispute. It is important to ensure they are fully insured prior to commencing work on site and following health and safety regulations.
We also recommend you get 3 quotes, bearing in mind that cheapest isn’t always best and it is important to carefully review and consider what you are getting for the price in terms of quality of equipment and warranties and guarantees.
The smart export guarantee or SEG is an obligation set by the government for licensed electricity suppliers to offer a tariff and make payment to small scale low-carbon generators for electricity exported to the National Grid providing certain criteria are met.
The SEG came in to force in January 2020, it is worth checking who offers the best tariffs as it can range from just above zero to around 5p per KWh.
The following technologies are eligible:
- Solar PV
- Wind
- CHP
- Hydro
- Anaerobic Digestion (AD)
The only way to really guarantee this is to generate your own energy, due to the dramatic fall in the cost of technologies this is not much more affordable than you might expect and even without subsidy it is a worthwhile investment which will generate average returns of 8-12% in addition to reductions in your energy bills.
Whilst Feed-in-tariffs(FiTs) are no longer available for new installations of Solar PV, the Smart Export Guarantee is worth looking at if your installation is producing more energy than you currently use or can store with a battery.
Renewable Heat Incentives (RHIs) are available for Biomass and heat pump installations, the full criteria and rates for Non-Domestic RHI can be found on the Ofgem website.
Renewable energy is energy that is generated from renewable sources which are naturally replenished such as sunlight, wind, rain, tides, waves and waste.
Sustainability
The Energy Consultant can help your business become more sustainable in a number of ways. We will help you identify ways in which to improve your sustainability and have the biggest impact in the most cost effect way and in a way that works with your business, improving flow and profitability. From Energy Audits to help with the implementation of Energy Management Systems, Renewables, training and ISO standards, we will help you find a clear path for your business to follow to make a positive difference and enhance your operations and employee wellbeing.
The circular economy is an economic system aimed at eliminating waste and the continual use of resources, working on the principles of Use, re-use, recycle.
Carbon Capture and storage (CCS) is the process of capturing waste carbon dioxide, usually from a large producer such as a factory or biomass plant and transporting it to a storage site where it will not enter the atmosphere (usually deep underground) . This means that excess CO2 could be extracted right from the power plant, creating greener energy.
Carbon offsetting is a way to compensate for your carbon footprint by supporting and funding other projects around the world to reduce CO2e. These include, tree planting, renewable energy and other carbon reduction projects.
There are a number of benefits of making your business more sustainable. Having a robust sustainability policy and strategy will help your business become more resilient and economically secure. Demonstrating sustainability and actions taken to reduce carbon emissions and mitigate climate change will increase competitive advantage by naturally making you more attractive to your supply chain. Employee retention and recruitment will also be enhanced through a sustainable wellbeing policy. Overall costs of key essential expenses such as energy, water, waste and transport will be reduced, resulting in increased profitability for your business.
There are a number of ways you can make your business more sustainable. Understanding where you’re at is a really good starting point when it comes to establishing the steps needed to make your business more sustainable (we can help you with this). Focusing on reducing carbon emissions is key, and can be done through energy consumption, considering renewable technologies so you can generate your own energy on site where possible, incentives such as bike to work schemes, updating wellbeing policies so all staff feel valued and have access to affordable healthcare, which in turn will reduce absenteeism, EV charging points and sustainably sourced projects. Updating technology so employees can work remotely where possible and have virtual meetings to mitigate the carbon footprint associated with transport.
The UK government’s Streamlined Energy and Carbon Reporting (SECR) policy was implemented on 1st April 2019. The introduction of SECR coincided with the closure of the Carbon Reduction Commitment (CRC) Energy Efficiency Scheme. SECR builds on existing requirements that companies face such as mandatory greenhouse gas reporting, ESOS, CCA and ETS. Three groups of businesses are affected by the new regulations – companies fitting the following definitions must comply unless they meet certain exemption criteria;
- Quoted companies of any size required to report GHG emissions
- Unquoted companies that are considered large by the Companies Act 2006
- Large Limited Liability Partnerships (LLPs) will be required to prepare and file an Energy and Carbon Report
Sustainability is essential for long term economic growth and resilience. Without a clear and sustainable strategy, businesses will find it more difficult to thrive as the economic landscape changes or the impacts of climate change become more significant. It is essential that businesses are agile, able to adapt and mitigate key risks, applying greater though to decision making processes and supply chain, particularly considering the long term impact of any choices on the environment.
Sustainability is the ability to meet the needs of the present with compromising the ability of future generation to meet their needs. There are 3 pillars of sustainability – Economics, Environmental and Social, also referred to informally as Profits, Planet and People.