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Chemicals company identifies over £1.9m savings through ESOS

At a time when energy and compliance managers in large organisations are starting to plan for ESOS Phase 2, possibly without much enthusiasm, it is worth remembering what it’s really all about.

Posted on 13 March 2018.

The objec tive of ESOS, and indeed all other energy regulation, is to reduce energy consumption and greenhouse gas emissions.  Anything that can be done to deliver reductions is beneficial to both businesses and the environment, regardless of the regulations.  But did it achieve this objective?  Well, a game of two halves, as they say.

An analysis by DECC estimates that the first phase of ESOS will actually reduce energy consumption by 3TWh each year, with businesses saving over £250m on their energy bills.  Whilst this is not to be sneezed at, this amount is a drop in the ocean compared to the estimated £2.2bn total savings identified and could obviously be massively increased if businesses progressed a greater number of improvement projects.

Those companies that committed to implementing the opportunities identified will obviously benefit the most.  JRP Solutions worked with one such company, a speciality chemicals and sustainable technologies company, and identified over £1.9m savings.  The cost of implementing these projects was predicted to be £1.5m, with an average payback of 0.8 years.   This saving goes straight onto the bottom line and it’s difficult to see what improvements could be made in procurement, manufacturing methods or any other working practice to achieve a similar level of savings.   We are working with this client to implement key improvement opportunities and to help in the delivery of their 2025 Sustainable Business Plan.

A Government report found that over 40% of complying organisations saw lack of funding as a barrier to uptake of the energy efficiency measures recommended to them through ESOS.

This recent report reflects our experience that the greatest barriers to implementing energy saving measures are lack of resources, funding and expertise.  But it need not be.   In partnership with ethical investment company, Elegen,  we have launched a unique new energy efficiency funding service that will clear the way for organisations to deliver a multitude of energy savings that otherwise would not be achieved.

The service is unique as there are no risks at all for the client and the savings are guaranteed.  There is no upper or lower limit to the project value and the funding isn’t centred around fixed assets.  Funding can be used for any energy saving initiative, from training to capital projects no matter how large or small.  And finally, there is nothing to pay until the savings have been proved. The energy saved pays for all resources needed to deliver the agreed plan – development knowledge, expertise, implementation, management, tools and equipment.  All further savings are shared.

On-going monitoring and service of the projects delivered ensures that energy savings are sustained and where possible further improvements are “We believe this funding service is a real game-changer for energy efficiency and for unlocking the opportunities identified by ESOS audits,” comments Jes Rutter, Managing Director of JRP Solutions.

If you would like more information about any of the above please don’t hesitate to contact email@example.com or call 0800 6127 567.


