Modern energy tech could unlock more than £375m

New research has revealed that the public sector could unlock more than £375 million in cost savings every year by adopting modern energy technology.

Centrica Business Solutions says that the saving, which amounts to over £5.6 billion over a typical 15-year energy contract, is calculated by studies into the economic opportunity of the healthcare, universities and defence estate adopting green technology such as solar panels and combined heat and power units.

The company’s Powering Britain’s Public Sector report found that if just half of public sector organisations within these three sectors updated their energy infrastructure, they would reduce emissions by eight per cent and save 660,000 tonnes of carbon each year - the equivalent of taking over 435,000 cars off the road.

Furthermore, the carbon reduction savings could be doubled with the injection of approximately 20 per cent green gas – a type of gas created from biodegradable material – into the fuel mix.

Collectively, the three public sector estates are responsible for more than 7.8 million tonnes of carbon emissions each year and have been challenged by the government to reduce emissions by 30 per cent by 2020/21 and hit net zero by 2050. The NHS finds that the NHS has the majority share of potential savings, with a total annual savings opportunity of £187 million, enough to pay the salaries of more than 5,800 nurses.

Iain Conn, Centrica Group chief executive, said: “Government bodies have two very clear challenges, to operate more cost effectively and more sustainably. New energy technologies, adopted aggressively, have the potential to unlock both.  Over the last four years, Centrica has been building the capabilities in energy services and solutions to satisfy the changing needs of our customers, and to enable their transition to a lower carbon future. This report sets out how we can help our customers in these critical sectors of the UK economy.”