Initial energy assessment & strategy

The first point to make is that sustainable energy supply does not always mean increased costs and in many cases results in the reduction of cost. For example, considering the prioritisation of energy demand reduction when matching energy supply with demand, there can be straightforward changes in temperature control that can save significant energy with minimal expenditure.

The installation of renewable energy generation such as wind energy or solar photovoltaics (PV) can give a payback on investment and lower cost per unit of energy supplied than fossil fuel energy generation and nuclear energy generation.

The true cost of fossil fuels and nuclear power are not included in the price paid by the consumer. For example, the price for fossil fuel energy does not cover the cost of repair or mitigation of the impacts of climate change. In addition, for years, fossil fuels have received greater subsidies globally than renewables. In the case of nuclear power, the price paid does not include the cost of full insurance against accidents or the full cost of long term management of waste over successive generations. These costs that are not included in the price are known as ‘external costs’. It may be argued that over time, with the impact of these external costs being felt by society, they will be internalised, thereby giving renewables a greater market advantage.

Renewable energy systems are typically capital intensive, but have a lower cost than fossil fuel power systems in their operation. This means that there is typically less volatility in their pricing than with fossil fuels. This greater predictability of cost can allow better business planning and a related market advantage.

With the increased drive towards Net Zero greenhouse gas emissions, backed up by Government legislation in the UK and other countries, companies are setting their own emissions targets and formulating related plans. They are then putting pressure on the supply chain to support them with this. Therefore for companies in the supply chain, avoiding sustainable energy measures can mean loss of business.

Sites vary in complexity and the time that needs to be spent on energy systems to arrive at a meaningful outcome varies accordingly. However, from the commercial perspective of the client, the investment in energy consultancy should be more than paid back by the resulting savings. If you have not had an energy assessment done already, it may be expected that over 10% energy savings should be achievable. If the value of these savings over the period of a year is greater than that cost of the consultancy to achieve them, then you may consider that the investment is worthwhile.

An energy feasibility assessment should result in options for improving the sustainability of energy use and cost savings. An analysis of the site energy data, energy systems, energy use, site characteristics and business priorities is required to arrive at the outcome of the assessment.

The work required to do this will depend on the complexity of the site and in general there is a correlation between the complexity and the size of the energy bills.

A minimum amount of time has to be spent on client communications, data gathering, site surveying, analysis and reporting. Taking all this into account a Wattcraft feasibility assessment for a single site could cost anything between £2,000 and £50,000. We generally propose that a larger assessment would be broken down into stages, with a review at each stage to ensure that subsequent stages are focused on high priority areas with the greatest opportunity for improvement.