Study finds £85M energy overspend by UK retailers

Small and medium sized enterprises (SMEs) in the retail sector are wasting nearly £85 million a year on unnecessary energy spending, a new study has found.

According to the analysis by the Energy Efficiency Financing (EEF) scheme, businesses are wasting energy and money through the use of inefficient technology and old equipment.

After looking at the sector’s use of lighting, heating and hot water, cooling and ventilation, among others, the EEF study found millions of pounds worth of potential energy savings through the use of more energy-efficient equipment.

The EEF scheme, a joint initiative between the Carbon Trust and Siemens Financial Services, aims to make finance for the acquisition of energy-efficient and renewable energy equipment more accessible for SMEs.

Darren Riva, head of Green Financing at EEF, said: “With funding available from innovative schemes like EEF, where expected savings pay for the investment, organisations can now act on their green endeavour without having to worry about upfront capital.”

Launched in 2011 as the first dedicated low carbon finance scheme in the UK, the EEF scheme unlocks business investment by providing finance for a wide range of green technologies, such as low energy lighting, solar PV, energy-efficient motors, low carbon air conditioning or biomass heating for UK businesses from any sector.

The scheme aligns monthly energy savings or income from energy generation with tailored monthly payments over an agreed financing period, making investment zero net cost, or even cash positive.

Businesses wishing to apply to the scheme can visit www.energyefficiencyfinancing.co.uk.