At Noble Green Energy, we want to ensure that you have as much information as possible about how renewable energy can help your business. With energy prices forecast to rise by around 30% between 2016 and 2020, it’s becoming of interest for businesses to look into other sources of energy that will provide a cost saving. Here’s what you need to know about energy....
Cutting electricity costs
Almost a third of businesses highlight the cost of energy as a barrier to the growth and success of their business.
There are ways that you can cut your electricity bills with only a small upfront cost, ensuring that your pipework is properly insulated, for example, can reduce energy losses by 70%. Increasing the energy efficiency of your workplace is where you’ll see savings straight away, you can find out more about these measures here.
While investing in renewable energy can require a high initial cost, the income that you will generate from your investment is far greater. In fact, investing in renewable energy can rival the returns that you could generate from stock or bond investments.
By installing a system, you could generate an additional income for the next 20 years through the Government funded FiT scheme and surplus electricity sold to the National Grid. Add to this the savings that you will make by reducing the amount of electricity you need to purchase from a supplier and the system will soon pay for itself.
You can learn more about this here.
Traditional, fossil fuel methods of generating electric power causes over a third of all greenhouse gas emissions. Reducing the dependency of drawing electric from the National Grid and by making use of renewable energy technologies, carbon emissions are also reduced.
Sustainability and CSR regulations are almost becoming as important in a business as the product that you sell, not only to the Government but also to your customers. Many consumers are becoming increasingly aware of ethics, sustainability and the environment, and some have taken issue with companies that aren’t doing things the ‘right’ way.
Renewable energy gives you the opportunity to comply with regulations, and to enhance your brand. Businesses that have chosen to invest in renewable energy have also found it to be a powerful driver of consumer purchasing decisions, which has improved business results.
ESOS and CRC
ESOS is a mandatory Energy Savings Opportunity Scheme that applies to large corporations, which aren’t fully covered by ISO 50001. The scheme requires businesses to carry out assessments every four years to identify cost-effective energy saving measures that they can implement to comply with ESOS obligations.
The CRC Energy Efficiency Scheme is a UK government scheme that is designed to improve energy efficiency and cut carbon dioxide emissions within organisations that are high energy users. Organisations that are registered for the CRC have to do the following:
- Collect information and submit a report on its energy supplies
- Buy and surrender allowances equal to CO2 emissions generated
- Inform the Environmental Agency of changes to its organisation
- Keep records about its energy supplies and organisation in an evidence pack
How are you paid
The feed-in tariff (FiT) is a government guaranteed scheme that everyone generating electricity receives. It is split into two tariffs:
- The generation tariff – payable on every unit (Kilowatt hours (KWh)) of electricity produced.
- The export tariff – this is for the electricity generated but is not used, it is sold back to the grid, for which you will receive a payment.
Your FiT rate is determined by the size of the system that you’ve installed and the extent of usage on your site. Once your system has been registered on the Central FiT register, you’ll receive the same payment for 20 years, regardless of future changes to the tariff.
If you’re using heat pumps or ground source heating, you could be eligible for the Renewable Heat Incentive (RHI). Eligible incentives for this scheme receive quarterly payments over 20 years based on the amount of heat generated.