Tag Archives: Business energy efficiency

Clean Energy, Electricity, Energy, Energy Conservation, Energy Saving Appliances, Heating, Oil & Gas, Power Supplies, Projects, Recycling, Services, Solar Power

Npower Reports Over Half Of UK’s SMEs Failing To Realise Energy Cost Savings

Leave a comment

Npower has revealed new research that shows over half of small to medium sized businesses (SMEs) have no measures in place to monitor energy efficiency, despite many of them seeking ways to manage the bottom line in tough economic conditions.

The findings from the latest npower Business Energy Index (nBEI) show that 53% of the 4.8 million* SMEs in the UK have no methods in place to manage business energy efficiency, and nearly one in five (18%) didn’t know if they had reduced their energy consumption over the past 12 months.

This is despite figures from the report showing that where energy efficiency is being measured, 50% of SMEs reported savings of up to 10%, showing there is huge scope to make significant business savings, while also reducing carbon emissions.

Statistics from the Carbon Trust also highlight the potential for SMEs to reduce emissions further. The Trust found that SMEs have a potential energy saving opportunity of up to 20%, compared to 8% for large businesses.

Patrick Harvey, head of customer loyalty at npower, said: “This year’s npower Business Energy Index found that for SMEs, the greatest driver for increasing energy efficiency is cost, rather than the environment. This is why it is surprising that so many are still not measuring the positive impact that implementing energy efficiency measures can have on their business.

“The results of the research show the huge untapped potential for SMEs to both reduce emissions and increase savings.”

However, encouragingly, overall the nBEI found that the importance SMEs place on energy management and efficiency is at its highest level since 2005. When asked to rate the significance of energy management to their business out of 10, SMEs gave an average score of 6.7, which is up from just over 5 when the Index began.

Coupled with this, many reported to be proactively measuring their energy usage and recognising the payback of low-cost, quick-win measures such as turning equipment off, which was ranked as the most popular action over the past six months. This was followed by regularly monitoring consumption and reducing heat loss.

Patrick Harvey continued: “It is really encouraging that energy efficiency is working its way up the business agenda but there’s still a long way to go.

“More businesses need to realise that through simple to implement and low or no cost measures, they can lower their bills by around 10%. In today’s tough operating environment this is a saving that SMEs can’t afford to over overlook. This is why we’ve developed SmartStart – a toolkit and advice service which helps SMEs get energy saving measures up and running and gets them saving on their bills quickly. Smaller businesses don’t have to rely on their landlords or have a big team in place to identify and implement energy saving measures.”

For more information on how npower can support SMEs reduce emissions and cut costs please visit www.npower.com/Business/SmartStart.

Via EPR Network
More Energy press releases

Clean Energy, Electricity, Energy, Energy Conservation, Energy Saving Appliances, Heating, Oil & Gas, Power Supplies, Projects, Recycling, Services, Solar Power

npower Reports Businesses Call For Government Help To Keep The Nation’s Lights On

Leave a comment

npower has reported that energy risk – particularly in terms of security of supply and supply costs – has been identified as the top risk major business energy users are facing, above legislation, security and health & safety. Added to this, many believe it is the government’s responsibility to help reduce instability through funding for self generation projects and demand management tools to bridge the supply gap and keep the nation’s lights on.

These were some of the key findings of the npower Business Energy Index (nBEI), an annual report tracking business opinion on energy use, energy risk and carbon emissions.

According to the report, when asked what was of most concern in relation to energy within their business, supply costs came top with a risk ranking of 6.6 out of 10, followed by security of supply with a ranking of 6.1.

However, despite an energy risk being identified as a top concern, one in six major business energy users still do not have a policy in place to manage it – although 91% do have one in place for health & safety, a more ‘traditional’ business risk.

David Cockshott, director of industrial and commercial markets at npower commented: “It is worrying that while businesses have identified that risks associated with energy – from security of supply to cost – pose a real threat to their immediate and future operations, many have admitted to not having a strategy in place to manage it. While many businesses have embraced the benefits of energy management and energy efficiency, when it comes to solutions to manage risk, there is less of a focus from organisations.

“This could be because they don’t believe the two main areas of concern – cost and supply – are something within their control. However, there are ways businesses can mitigate their risk, including investing in self generation or demand management technology.”

Despite their concerns over energy risk, nearly two thirds (62%) say that investing in self generation and demand management technology is not a business priority. While 51% cite lack of finance as a barrier, and 38% say they simply do not have the resource to manage the project.

When asked who should finance investment in self generation, 61% of businesses of all sizes felt that the government should be responsible – only 18% believe it should be self funded. While the government’s proposed ‘Green Deal’ should go some way to assisting SMEs, it would not provide the same help for larger energy consumers.

David Cockshott continued: “While this year’s nBEI shows that more easy-to-implement energy efficiency measures and improvements are happening across businesses of all sizes. When it comes to large scale self generation projects or demand management initiatives, there is still some resistance.

“What is clear however, is that businesses believe that investment in these areas should come from government. While the government is keen to support smaller companies through initiatives such as the Green Deal, the report shows that larger businesses believe the government should also look at ways to help them. For instance, to mitigate risk and reduce instability through incentivising self generation and demand management tools.”

Via EPR Network
More Energy press releases