Martin Horner

Partner Article

Smart about energy use – audits could save businesses thousands

Businesses could benefit from thousands of pounds of savings on their energy bill thanks to a new Energy Audit programme from NatWest and RBS.

The audit programme, run in partnership with Mentor, RBS Group’s business consultancy service, has been rolled out across the UK this week following a pilot in the north of England.

Over 60 businesses with an annual energy spend of between £10,000 and £200,000 a year took part in the pilot, achieving an average projected potential saving of £23,000. This includes annual savings on payments as well as potential refunds from overpaid energy bills.

Ian Burrow, head of renewable energy for commercial banking at NatWest and RBS, said: “We are committed to supporting a sustainable future for our customers, suppliers and communities.

“The audits look at the behaviours of businesses from helping them tackle the small things like encouraging staff to switch off lights and appliances, as well as implementing energy saving initiatives such as better insulation and equipment to regulate energy flow into buildings.

A survey carried out by the bank at the end of 2013 showed that although 85% of businesses agree that the rise of energy costs is a concern, less than a quarter carry out regular reviews of their energy (every 7-12 months).

The research also showed that 96% of respondents were on the standard energy tariff with only 11% generating their own energy through renewable technology.

Ian added: “Businesses could be spending more than required on energy, which is why we are rolling out the programme to all businesses across the UK and helping them to make more informed decisions about their energy use.

“Something as simple as checking your business is on the correct energy tariff could make a huge difference. We saved one of our manufacturing businesses over £11,000 by just switching them from the standard tariff.”

Audits look at three main areas of energy including efficiency and use, how businesses are buying their energy – are they on the correct tariff – and whether there is an opportunity for them to produce their own energy through renewable technology. Audits aim to highlight immediate, medium and long-term opportunities for businesses, guidance on what to do next and estimated costs, savings and payback periods.

John Muncey, head of mentor said: “Our Energy Auditors have been trained in Energy Management by the Energy Institute and are highly experienced in audit work. The RBS Mentor Energy Audits provide a range of benefits to businesses, which includes helping them to run their business more efficiently and save money, demonstrate green credentials when bidding for contracts, build a positive culture among employees and even increase their income.”

Energy-award winning pub, restaurant and hotel, the Borough in Lancaster, identified a host of changes totalling an anticipated saving of £7,655 through an energy audit.

The Borough’s director, Martin Horner, said: “The Energy Audit report made a range of recommendations, including adding an additional skin to external walls to allow for extra insulation to be installed.”

Clever use of lighting has also been a major consideration. “The report highlighted that the rooms were over-lit, relying on dimmer switches to produce atmospheric lighting effects. As these switches still use energy even when turned low, the audit recommended that the business should remove some lighting fittings, including three chandeliers. They look pretty, but they use a lot of energy.”

Martin adds that the great thing about an Energy Audit is that it encourages you to look at your business in a different way. “When the cleaners used to come into the building in the morning, they used to turn on all the lights at 6am and leave them on until we served at 12pm. The simple act of asking them to switch off all lights when they leave has saved us 20% on our power bill.

“We now produce 200 litres of biodiesel for our vehicle from our used cooking oil, and have installed a more efficient boiler and ovens. All in all, our changes save us £450 a month, which represents a 20% reduction in our energy costs. We are continuing to look at ways we can improve, at a rate of a couple of small things a month, and it’s this commitment that’s led to us winning a local LESS ‘Energy Saver’ Award recently.”

This was posted in Bdaily's Members' News section by NatWest and RBS .

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