Energy Matters 5 June 2008 for SWWMG Tim Linford TJL Associates

Fuel Prices Fuel Prices Energy saving Tips Energy saving Tips Help from the Carbon Trust Help from the Carbon Trust Enhanced Capital Allowances Enhanced Capital Allowances Energy Performance Certificates Energy Performance Certificates

Rise in electricity prices

Rise in gas prices

Top tips to reduce energy use Monitor use – monthly readings, analyse data Monitor use – monthly readings, analyse data Make all staff aware – publicise performance Make all staff aware – publicise performance Efficient lighting and controls Efficient lighting and controls IT – Energy Star and switch off IT – Energy Star and switch off Reduce heating by 1C (raise air con by 1C) Reduce heating by 1C (raise air con by 1C) EFF1 motors, VSDs EFF1 motors, VSDs Compressed air leaks Compressed air leaks

Example of gas use over 3 years

Gas analysis

Electricity analysis

The Carbon Trust (financed by Government) Publications – paper and downloadable Publications – paper and downloadable Telephone advice Telephone advice Available to all businesses Available to all businesses

The Carbon Trust Free Energy Surveys Free Energy Surveys Free Carbon Foot Printing Free Carbon Foot Printing NB. Fuel >£50,000pa

The Carbon Trust Design Advice for new build Design Advice for new build Design Advice for refurbishment Design Advice for refurbishment > 2,500m2

Carbon Trust Loans for energy saving investment Loan - £5,000 to £100,000. Loan - £5,000 to £100,000. For SMEs trading for more than 1 year For SMEs trading for more than 1 year Unsecured, interest free Unsecured, interest free Repayable over a period of up to 4 years. Repayable over a period of up to 4 years. Expected savings 0.7T Carbon/annum per £1,000 loaned Expected savings 0.7T Carbon/annum per £1,000 loaned (note this is Carbon not Carbon Dioxide).(note this is Carbon not Carbon Dioxide).

The Carbon Trust Opportunities for R&D and help with getting products to market for business innovating low carbon products Opportunities for R&D and help with getting products to market for business innovating low carbon products

Enhanced Capital Allowances Enhanced Capital Allowances Apply to approved energy and water saving equipment Apply to approved energy and water saving equipment 100 per cent first-year ECA allows the full cost to be written off against the taxable profits in the year. 100 per cent first-year ECA allows the full cost to be written off against the taxable profits in the year. NB. The general rate of capital allowances for spending on plant and machinery is 20% a year on the reducing balance basis NB. The general rate of capital allowances for spending on plant and machinery is 20% a year on the reducing balance basis

Enhanced Capital Allowances Enhanced Capital Allowances From April 2008 applies to companies that make a loss. From April 2008 applies to companies that make a loss. The payable ECA will be expressed as 19% of the loss that is surrendered. The payable ECA will be expressed as 19% of the loss that is surrendered.

Envision Envision Envision is the South West environmental mentoring programme Envision is the South West environmental mentoring programme carbon management resource efficiency eco marketing training and workshops.

ENVISION In 5 years, Envision has worked with 2200 businesses In 5 years, Envision has worked with 2200 businesses saving 106 million litres of water saving 106 million litres of water reducing waste to landfill by over 23,000 tonnes reducing waste to landfill by over 23,000 tonnes saved GWh of energy saved GWh of energy reduced fuel use by 27,000 litres reduced fuel use by 27,000 litres saved over 22,000 tones of CO2 saved over 22,000 tones of CO2 generated £51 million of additional sales. generated £51 million of additional sales.

ENVISION days of support to look at a range of initiatives including lowering resource use and providing a carbon footprint 2-10 days of support to look at a range of initiatives including lowering resource use and providing a carbon footprint 2 hours of FREE advice and guidance includes gaining an understanding of premises and systems 2 hours of FREE advice and guidance includes gaining an understanding of premises and systems Ideas on saving costs/generating growth and calculating time needed for any further activities. Ideas on saving costs/generating growth and calculating time needed for any further activities.

Energy Performance Certificates "The purpose of providing an EPC during the sale or letting process is to enable potential buyers, tenants or building occupiers to consider energy performance of a building as part of their investment." "The purpose of providing an EPC during the sale or letting process is to enable potential buyers, tenants or building occupiers to consider energy performance of a building as part of their investment." Market transformation: Market transformation: Highly successful in the white goods market and the food marketHighly successful in the white goods market and the food market Leveraging the importance of carbon and energy performance: do you buy an A-rated fridge because it saves you £18 a year??Leveraging the importance of carbon and energy performance: do you buy an A-rated fridge because it saves you £18 a year??

Do you know what you're getting You can spend... You can spend... £200 on a fridge - and it must be rated for energy efficiency£200 on a fridge - and it must be rated for energy efficiency £20,000 on a car - and it must be rated for energy efficiency£20,000 on a car - and it must be rated for energy efficiency £2,000,000 on a building - and without EPCs£2,000,000 on a building - and without EPCs you don't know if it's a Tree-hugger or a Gas-guzzler; a Prius or a Range Roveryou don't know if it's a Tree-hugger or a Gas-guzzler; a Prius or a Range Rover

Energy Performance of Buildings Regulations background Energy Performance of Buildings Directive 2002/91/EC (January 2003) Energy Performance of Buildings Directive 2002/91/EC (January 2003) England and Wales legislation England and Wales legislation - Building Regulations Part L (April 2006) - Energy Performance of Buildings Regulations (Dec 2007) CLG Guide to energy performance certificates for the construction, sale, and let of non-dwellings- (January 2008) CLG Guide to energy performance certificates for the construction, sale, and let of non-dwellings- (January 2008) ng/guidancenondwellings

Introduction dates [1.3] - From 6 April 2008 those buildings with a total useful floor area greater than 10,000m2 will require an Energy Performance Certificate on construction, sale or let - From 6 April 2008 those buildings with a total useful floor area greater than 10,000m2 will require an Energy Performance Certificate on construction, sale or let - From 1 July 2008 those buildings with a total useful floor area greater than 2,500m2 will require an Energy Performance Certificate on construction, sale or let - From 1 July 2008 those buildings with a total useful floor area greater than 2,500m2 will require an Energy Performance Certificate on construction, sale or let - From 1 October 2008, all remaining buildings that are not dwellings will require an Energy Performance Certificate on construction, sale or let - From 1 October 2008, all remaining buildings that are not dwellings will require an Energy Performance Certificate on construction, sale or let

Implications for building owners/landlords The person commissioning the EPC must receive a copy of the certificate which records the reference number and the accreditation body to allow checking. The person commissioning the EPC must receive a copy of the certificate which records the reference number and the accreditation body to allow checking.

Penalties for not having an EPC [6.5] The penalty for failing to make an EPC available to any prospective buyer or tenant when selling or letting non dwellings is 12.5 per cent of the rateable value of the building, The penalty for failing to make an EPC available to any prospective buyer or tenant when selling or letting non dwellings is 12.5 per cent of the rateable value of the building, a default penalty of £750 applies where the formula cannot be applied.a default penalty of £750 applies where the formula cannot be applied. penalties £500 - £5,000.penalties £500 - £5,000.

Collecting the necessary data [3.6]... The information that will be required to produce an EPC includes: The information that will be required to produce an EPC includes: the individual spaces or zones in use within the building, and their dimensions (either as verified from plans or as measured).the individual spaces or zones in use within the building, and their dimensions (either as verified from plans or as measured). the activities conducted within the zones. ie retail space, office space, kitchens, storage etcthe activities conducted within the zones. ie retail space, office space, kitchens, storage etc the heating and ventilation services for each zonethe heating and ventilation services for each zone the lighting and controls used for each zonethe lighting and controls used for each zone the construction of the fabric of the building and thermal efficiency of : roof, floors, walls and glazing.the construction of the fabric of the building and thermal efficiency of : roof, floors, walls and glazing.

Summary Fuel prices almost doubling in a year Fuel prices almost doubling in a year Monitor and analyse consumption Monitor and analyse consumption Raise awareness Raise awareness Carbon Trust – surveys -loans publications Carbon Trust – surveys -loans publications ENVISION - site visits - advice ENVISION - site visits - advice Use Enhanced Capital Allowances Use Enhanced Capital Allowances Energy Performance Certificates Energy Performance Certificates