1. Monitor
Get Started and Mitigate the Impact of Increasing Energy Expenses
The escalating costs of gas and electricity are putting a strain on the operational expenses of small businesses throughout the United Kingdom. Discover proactive measures to swiftly curtail costs, factors to consider for the long term, and the available support options.
If your business operates under a non-domestic energy contract, you might qualify for automatic discounts through the Energy Bill Discount Scheme.
Keep Tabs on Your Energy Usage and Contractual Agreement
Initiate cost savings by closely monitoring your energy consumption and its corresponding expenses in accordance with your contract terms. This is particularly crucial if you haven't been consistently monitoring usage or haven't discussed your energy arrangement with us at Powerwise UK recently.
Implement Smart Meter Technology
If you haven't already, contact us at Powerwise UK about the installation of a smart meter. Eligible businesses can have a smart meter installed at no direct cost.
Smart meters offer real-time insights into energy consumption and can even send alerts upon reaching specific usage thresholds. Acquiring a smart meter opens up access to a broader range of energy plans, including 'smart tariffs.' For more comprehensive guidance on smart meters, refer to the OFGEM website.
Sub-Meter High-Usage Activities or Equipment
Deploy sub-meters to gauge energy consumption for specific business activities, areas, or types of equipment. Sub-meters provide insight into which segments of your business account for the highest costs and where potential savings lie.
Basic models for monitoring individual appliances or outlets can be obtained for as little as £20. Meanwhile, basic commercial gas meters start around £200. For more accurate data, numerous companies offer tailored services that encompass:
Designate Responsibility for Your Energy Program
Allocate your energy management program to a dedicated job role or working group, depending on your business's size. This approach elevates energy savings to a priority within the business and ensures sustained action, even in the face of staff turnover.
Switch Away from Default Energy Tariffs
If you find yourself on a 'default' energy tariff due to a new business location or the conclusion of your previous contract without a renewal plan, be aware that this type of arrangement often leads to higher energy costs. Check whether we at Powerwise UK permit a switch to a more affordable plan and if there's a notice period requirement.
Explore additional details about switching your business energy provider on the OFGEM website.
Stick with Favorable Contract Terms
If your current contract offers favorable fixed pricing, it's unlikely that a new plan or supplier will provide a lower rate. Stick with your existing contract for as long as possible. Review renewal provisions and the expiration date of your contract price.
Shop Around Near Contract Expiry
When your current energy deal is approaching its expiration and you have no intention of renewing it, make sure to discuss new business energy contracts with us at Powerwise UK and explore options from various suppliers. Failure to notify us at Powerwise UK of a renewal or intended switch might result in being moved to a pricier default plan.
For guidance on comparing suppliers, consult the OFGEM website, and consider enlisting our assistance at Powerwise UK.
2. Free!
Save using low or no-cost measures. Many energy savings measures need little or no financial cost. Build substantial savings by spending time and attention on behavioral changes and smaller-scale investments.
According to a GOV.UK energy-saving guide, you can reduce your monthly heating bill by up to 8% for every 1°C you reduce the average temperature.
Set your heat lower. Set your thermostats, if they can be adjusted by room or activity levels, to:
If you have a single thermostat for your entire premises, set it to the lowest comfortable temperature for the hours people are at work. Program it to go down or switch off after hours or set a reminder to do it manually.
The Health and Safety Executive suggests the minimum workplace temperature should be 16°C, but employers can decide what levels are best for comfort and productivity. Check the Carbon Trust’s Heating and Ventilation guide for more help with temperatures for your business type and activity levels. Your business must decide what level is best for comfort and productivity as there is no legislated maximum workplace temperature in the UK.
Avoid overcooling. To avoid overcooling, set your air conditioning to the highest comfortable temperature for the hours people are at work. Studies on office workplaces have shown that productivity starts to go down once temperatures exceed 24°C. After business hours, you can let indoor temperatures rise as high as 29°C. This is the maximum to avoid heat and humidity damage to your premises.
Create a temperature ‘dead band’. To prevent competition between your heating and cooling systems, set your thermostat to create a gap between one switching off and the other coming on. This gap where no heating and cooling is needed is called a ‘dead band’. For example, you could set your heating to shut off at 20°C and cooling to come on at 24°C. A 2016 study showed that a 4°C dead band resulted in an average of 12.7% savings on heating and cooling energy.
Get a smart thermostat. Smart thermostats control your heating and cooling systems through a digital display or app on your phone. Use smart thermostats to provide more flexibility to control and schedule temperatures. You can program a schedule manually or set it to learn when you’re present and adjust automatically.
Many have energy-saving modes that will set temperatures to the limit you’re comfortable with. If setting it manually, start by adjusting the average temperature in small increments. Most models will allow you to adjust by 0.5°C. Smart thermostats are getting cheaper. Basic models start around £100. You might be able to install a smart thermostat without hiring anyone if you have a basic heating and cooling system.
For businesses that use expensive machinery and equipment, it’s important to make it run as reliably and efficiently as possible.
Do regular operations and maintenance checks. Keeping your building equipment and systems in good working order keeps running costs down. It also reduces the risk of equipment failure and unscheduled downtime. You may be able to do easier tasks like cleaning or replacing filters. Call a technician for tasks such as tune-ups, calibration, and programming coordination between different equipment and systems.
Check the Energy Star website for more detailed advice on operation and maintenance.
Move your thermostats. Drafts or heating and cooling sources won’t work properly if thermostats are affected by sunlight. You should install thermostats on interior walls away from radiators, vents, windows, and doors. This avoids the heating or cooling switching on when it’s not needed. Install a wireless control system to avoid the expense of running wires to new locations if your current thermostats are hardwired to your heating and cooling system.
Wireless control systems use a ‘receiver’ that’s wired to your heating and cooling system. The new thermostat then wirelessly connects to the receiver to switch the system on and off. Simple thermostat and receiver bundles cost less than £100. You can usually install them yourself. Larger premises with complicated systems will cost more and require professional installation.
Draft-proof doors and windows. Older doors and windows can be a major source of heating and cooling loss in a building. Make sure seals and draft-proofing are in place and working properly. Make sure your premises are as efficient as possible by:
Check the Energy Savings Trust advice on draft-proofing for more details.
Install overhead fans. Overhead fans save on heating by recycling warm air to the ground where it is needed. In summer, they can save on cooling by moving the air to create a breeze. This can make a room feel up to 2°C cooler. Using overhead fans means you can run heating and cooling systems less often.
According to a US study, this can save up to 15% on commercial energy bills. Not every workplace is suitable for overhead fans. They need enough clearance from the ceiling and ground level to work well. Premises with vaulted or double-height ceilings are most suitable. You also need to make sure the speed and air movement rating of the fan match the size and use of your space. Upfront costs vary widely.
Simple models start around £250 and can be installed with basic electrical knowledge. Larger models can cost as much as £5000 and need integration into your current HVAC system.
Check compressors are running properly. Air compressors are essential to operations if you run a business with mechanical processes. Ensure your air compressors run as efficiently as possible by:
Most new air compressors come with digital monitoring systems, but you might be able to retrofit or improve older models using digital tools. An ultrasonic leak detector costs around £500 but will often pay back in under a year. Find more digital retrofit ideas on the Plant Services website.
Electric motors account for around two-thirds of the energy used in industrial settings. Check electric motors are running efficiently. Running electric motors can cost more than the upfront price in as little as two months, so you should check that they’re running efficiently. Reducing motor speed by 20% can cut its energy consumption in half.
No-cost steps include:
Lower cost steps include:
3. Invest
For insights on making investments for longer-term energy savings, please feel free to reach out to us at Powerwise UK. We'd be delighted to guide you.
Enhance Building Insulation: In certain instances, implementing energy-saving measures might entail higher initial expenses. However, due to elevated energy costs, these investments can yield faster returns than in the past. A smart move is to consider insulating your pipes, roof, and walls. The return on investment for improved insulation can be swift, contingent upon your building's condition and the specific measures required. For instance, applying foam insulation around exposed pipework is a minimally invasive solution that can curtail energy loss by up to 70% while averting overheating. Other insulation options encompass:
Transition to Efficient Lighting: Outdated fluorescent tubes and sodium lights are notably inefficient compared to contemporary T5 fluorescent lights and LEDs. Switching from traditional lighting to LEDs can lead to savings of up to 80% in operational expenses, contingent upon your current lighting system's efficiency. The upfront costs and payback period hinge on the nature of your existing bulbs, fixtures, and the electricity rates you pay. To gauge the time it takes for upgrades to become financially advantageous, consider utilizing the Carbon Trust’s lighting business case tool.
Implement Automated Lighting Systems: Automated lighting systems necessitate higher upfront investments but can yield rapid returns. Options for these systems encompass:
You could start by replacing traditional light switches and fixtures with motion sensor alternatives if a comprehensive workplace system proves costly. The cost for motion sensor models generally begins around £10 for a switchplate and £20 for a fixture.
Integrate Variable Speed and Frequency Drives: When you're prepared to invest in new equipment, variable speed or frequency drives can substantially enhance efficiency. Approximately 20% of the energy used to power electric motors is squandered in throttling mechanisms that regulate the flow of air and liquids. A variable drive circumvents this issue by allowing motors to operate at optimal speeds as per operational requirements. The payback period varies based on electricity costs, motor size, and the extent to which they can be optimized for peak efficiency. A mere 10% reduction in speed can translate to nearly 30% reduction in energy costs. For a rough estimate of potential savings, a variable drive payback calculator can prove useful.
Boost Refrigeration Efficiency: If refrigeration is vital for your business, consider investing in more efficient refrigeration models or maintaining your current ones optimally. Regular maintenance alone can lead to savings of up to 10%. Inexpensive and no-cost measures encompass:
Investing in curtains, blinds, or doors can yield returns in as little as 7 months, particularly for retail-style cabinet fridges or freezers. To delve into more details, including costs and benefits of replacing entire cooling units and systems, explore the refrigeration section of the Energy Technology List.
Upgrade Office Equipment: Office equipment stands as a significant contributor to energy consumption and excess heat. It's responsible for around 20% of total electricity usage in a typical office environment. A large portion of this consumption arises from computers, monitors, and other IT equipment. When it's time to replace these, consider opting for EnergyStar-certified efficient models. For additional insights on energy-saving strategies, refer to the office energy guides offered by the Carbon Trust.
If you're seeking further advice tailored to your specific situation, don't hesitate to contact us at Powerwise UK. We're here to assist you.
4. Generate
Discover the Power of Solar Panels: Are you looking to diminish your dependence on the National Grid and sidestep escalating energy expenses? Installing solar panels might be the answer. At Powerwise UK, we're here to guide you through the process.
Learn More on Our Solar Panels Page: To gain a comprehensive understanding of the available options, costs, and advantages associated with solar panels, we encourage you to visit our dedicated solar panels page. There, you'll find insights into various types of panels, cost considerations, and how these installations can positively impact your business.
Harness Wind Energy with a Turbine: In the event that your business is situated in a more secluded area devoid of dense foliage or towering structures, it might be worthwhile to explore the potential of wind energy. A wind turbine could be a viable solution to further enhance your energy sustainability. For tailored assistance and insights, don't hesitate to get in touch with Powerwise UK.
Unlock Business Rate Exemptions: Did you know that by implementing renewable energy solutions on your business premises, you might be eligible for a business rate exemption? It's a valuable consideration that can significantly impact your overall financial equation. At Powerwise UK, we can provide you with guidance on qualifying for such exemptions and help you navigate the necessary steps.
For personalized support and to delve deeper into how these energy-saving options can best serve your business, reach out to us at Powerwise UK. Your energy empowerment starts with a conversation.
5. Fund It
Navigating Finance and Support: When it comes to managing elevated energy expenses, you're not alone. At Powerwise UK, we're here to assist you every step of the way. Don't hesitate to reach out to us for tailored guidance.
Explore Short and Long-Term Support: For both short-term relief and long-term solutions to address mounting energy bills, we've got you covered. Notably, the government has extended automatic aid to businesses contending with the steepest electricity and gas rates. To understand how this assistance can directly benefit you, connect with Powerwise UK.
Uncover Business Grants and Programs: Discover a realm of financial possibilities through our finance and support page. There, you can access a trove of green business grant initiatives tailored to your region. Many of these programs are geared towards enhancing energy efficiency and provide matching investments or grants. Additionally, the Charis website offers a wealth of information on business grants that combat high energy costs. Powerwise UK is at your service to help you navigate these avenues effectively.
Embrace Green Financing: Consider exploring green loans, a purpose-driven financial tool tailored to SMEs. Designed to facilitate projects like building retrofits, these loans are often offered by several banks. To secure such funding, a solid retrofit plan and security assets, such as owned property, might be required. Incentives tied to green loans encompass waived fees, flexible repayment schedules, and variable or fixed interest rates. To learn more about these options, engage with your bank directly. It's worth noting that many banks also offer green investment avenues, enabling you to allocate funds toward sustainability-focused initiatives.
Unlock the Power of Sustainable Finance: For personalized insights into how to navigate the world of green loans, grants, and sustainable investments, reach out to us at Powerwise UK. Our expertise is your advantage.
FAQS
Where do I start?
We understand that managing energy costs and efficiency is crucial for your business's success. That is why we are excited to introduce Powerwise UK's Energy Bureau Services, a comprehensive solution designed to optimize your energy management and help you make smarter decisions. We have meticulously crafted three distinct plans—Silver, Gold, and Platinum—to cater to your unique needs. Additionally, we are thrilled to present the FlexiPlan, a tailored solution that offers you the ultimate freedom in energy management. See our Bureau Services page for more information.
For personalized insights into how to navigate the world of green loans, grants, and sustainable investments, reach out to us at Powerwise UK. Our expertise is your advantage.
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