A decade of successful Triad calls for EIC

A decade of successful Triad calls for EIC

National Grid have published the three Triad dates for the 2021/22 season, which are listed in the table below. For a tenth consecutive year EIC has successfully called an alert on each of these days.

There was a reduction in the number of Triad calls this year with EIC only issuing 17 alerts in total, nearly a third less than the number called the previous winter. This compares favourably with other suppliers who called an average of 25 alerts across the Triad period.

Confirmed Triad DateHalf hour endingSettlement PeriodDemand (MW)
02/12/202117:00SP3443,748
05/01/202217:30SP3542,760
20/01/202217:30SP3543,538

Source: National Grid

Note: Settlement data published on 29/03/22

What are Triads?

Triads are three half-hour periods with the highest electricity demand between the start of November and the end of February. Each Triad must be separated by at least 10 clear days. This means consecutive days of high demand won’t result in multiple Triads. If consumers are able to respond to Triad alerts by reducing demand, then they will be able to lower their final transmission costs.

Mild winter leads to fall in demand

The Triad season started with a long period of mild weather before a cold spell at the end of November and start of December which resulted in the first Triad. Temperatures returned above seasonal normal for most of December with a particularly mild period between Christmas and New Year. The remaining two Triads occurred in January as temperatures frequently dropped below seasonal normal. In contrast, February contained long periods of mild and windy weather which resulted in a drop in peak demand. Across the Triad season 14 weekdays had an average temperature below 3°C, with 10 of these occurring in January. This compares to 24 the previous winter and only six for the 2019/20 winter.

This winter saw peak demand fall by 1.7GW from last year mainly due to the milder temperatures. There was an increase in demand-side response and a decrease in domestic consumption compared to last winter as there were less severe lockdown restrictions. Average demand also decreased and has now fallen by 9.5GW or 19% in the past 10 years. This has coincided with a 30GW decrease in baseload capacity over the same period as a number of coal, gas and nuclear power stations have closed.

It will be interesting to see whether demand continues to fall next year as baseload capacity is projected to decline further. Three coal and one nuclear power stations are set to close by next winter resulting in the loss of 4.7GW capacity. This will be partially offset by the opening of the 893MW Keady 2 gas power station and the 1GW ElecLink interconnector. However, if margins are tight on cold, still days then this will be reflected by a spike in day-ahead prices. With gas and power prices already at record levels there will be pressure on all sectors to reduce demand in the coming months to lessen the impact of energy bill rises.

Triads granted extra year

In May 2021, Ofgem launched a consultation on the Transmission Demand Residual (TDR) part of the Targeted Charging Review (TCR). The minded-to decision was to delay the implementation until April 2023 which means that there is one final chance for consumers to benefit from Triad avoidance over the 2022/23 winter period. The changes to DUoS charges will still be implemented in April 2022.

The TCR aims to introduce a charge that Ofgem considers is fair to all consumers and not just those able to reduce consumption during peak periods. For the majority of consumers these changes will lead to a reduction in transmission costs. However, sites currently taking Triad avoidance action are likely to face an increase in TNUoS costs from April 2023 as the effect of Triad avoidance is removed. Likewise, sites that have a capacity level set too high are also susceptible to DUoS and TNUoS cost increases as they are potentially placed in a higher charging band.

How EIC can help

With the confirmation that from April 2022 residual charges will be calculated using a capacity-based methodology, now is the perfect time to undertake a capacity review on all of your HH sites. EIC’s Capacity Review service is a fully managed end to end offering. We undertake detailed analysis for each of your sites, outline potential savings and offer clear advice on what action you should take. If we find that your capacity can be reduced by more than 50% it may also be possible to apply for a charging band reallocation which could significantly cut your future DUoS and TNUoS charges.

EIC can also help you accurately budget and forecast your energy prices with confidence with our Long-Term Forecast Report. Our team of specialists work hard identifying trends, examining historical figures and forecasting for the future. The Long-Term Forecast Report is a valuable tool which illustrates the annual projected increases to your energy bills and calculates your energy spend over the next 5, 10, 15 or 20 years. This allows you to confidently forward budget and avoid any nasty surprises. Whilst we can’t prevent the rise of non-commodity charges, we can ensure you are fully prepared for the increases.

Get in touch today to find out more on how EIC can help you future-proof your business.

In conversation with…John Palmer

You’ve been at EIC for eight years. You must have seen quite a lot of changes in the industry and the company as well?

My role has actually changed quite a bit during those eight years. I started out as a risk management consultant and I was responsible for the trading strategy for all of our clients. I’d support the client-facing teams with meetings. I’d go out and explain what’s happening in the markets and what we were doing with the trading, and make changes to risk management policies.

Then I took over as the manager of the flexible procurement team. I’ve got a team of six flexible account managers and it’s a really good team to manage; they’re really good people. They know what they’re doing and I’m there to support and help out when they need it.

Quite often with customers it’s sitting and working with them to understand what they are looking to get from their flexible energy contract – do they want budget certainty, do they want a market reflective price? So it’s working out what the right strategy is for them.

What do you think has been the impact of the Covid pandemic on the energy sector?

There’s been quite a few changes as a result. The biggest thing in the pandemic was the way that consumption changed, particularly early on with businesses closing down or reducing what they were doing significantly. Because we were pro-active with EIC customers, none of our flex customers were penalised for going outside of their forecast consumptions – as we were able to mitigate that.

For a lot of organisations, people aren’t returning to the office full time. Some businesses are moving entirely to remote working. So that will be a change in the way we use energy. Last winter was a good example. With more people working at home, it changed the profile of energy use over the winter.

“This year we’ve seen the bounce in energy prices, from long-term lows to record highs. This will drive people to look at how efficient they are being with their energy, and how flexible they can be with their demand”

This year we’ve seen the bounce in energy prices, from long-term lows to record highs. This will drive people to look at how efficient they are being with their energy, and how flexible they can be with their demand. There are various schemes to try to make demand flexibility pay off for customers, as well as the opportunity to avoid certain non-commodity charges.

There’s a change in the way we generate our energy in the UK, with the move away from coal generation and closures of some of the nuclear plants. Also the move towards more renewable generation, which typically is wind, wave and solar (which there’s an intermittency to) – could mean our system margins are going to be much tighter in the coming years.

Recently we saw really tight system margins, which meant that day ahead prices went up to over £500 a megawatt hour for electricity. That’s something which is going to become more of an issue for consumers and suppliers to manage; there will be that change in the volatility of market prices.

“The cheapest kilowatt hour is the one you don’t use.”

Procurement will always be important. Buying energy as efficiently and cheaply as possible is always going to be a key part of the puzzle. I think net zero and carbon reduction will become a much bigger consideration for all energy users. It will be about how you can balance your procurement alongside those wider needs of low or zero carbon energy.

What are your predictions for the energy markets over the next year?

That’s a loaded question! At the moment the big thing is obviously wholesale prices and what they might do. I think we are going to be very much driven by weather over the winter, and how much gas becomes available.

I think with Nord Stream 2 coming online, and sending gas from Russia, that might well bring prices down. Certainly if we have a mild winter, prices could come down. But if we have a horrible winter and a shortage of gas, then it will be a case of, when will this stop? Prices can’t stay where they are forever, I think there’s a point where they’re going to come down. It’s just what the drivers are going to be for that.

More generally, it certainly looks like there’s going to be a tightening of what is considered to be a green energy contract. At the moment, a Rego [Renewable Energy Guarantees of Origin] backed electricity contract may not be linked to your electricity in any way. Accusations of greenwashing suggest that there might be a tightening of those regulations. There will definitely be a push towards green contracts. Hopefully green gas will become more established or an alternative option – perhaps hydrogen in the longer-term – which is being looked at as a cleaner way of doing things.

“If we have a horrible winter and a shortage of gas, then it will be a case of, when will this stop?”

I know that there’s a project in Humberside, Zero Carbon Humber, that is looking at how they can capture carbon from a number of carbon intensive businesses including Drax power station as well as other ways to make a net zero industrial cluster in the area. That will be a really interesting project to follow, to see if other areas try to replicate it.

Generally, customers are going to be looking at how they can reduce their energy consumption or generate their own. The cheapest kilowatt hour is the one you don’t use.

What are the pros and cons of flexible contracts, and who would you recommend them to?

I think the benefits are that instead of buying all of your energy on one day, which you do with a fixed contract, you can buy over time. You can sell back energy. Whilst with a fixed contract, if you sign one now, those are the prices and you’re stuck with them for the duration.

If the way you’re using your energy onsite changes then you can reforecast, so you don’t have to worry so much about volume tolerances. In a fixed price contract everything is set up at the time that you sign the contact, so it’s more rigid.

The benefits of flex are very good, but you need to be a reasonably large energy user to do it. With a consumption of more than 2 gigawatt hours annually. You can look at baskets and, if you’re a much larger customer, stand-alone flex contracts. Baskets allow smaller energy users (who may not be able to get a standalone flex contract) to be grouped together in a basket that allows their consumption to be traded together with other organisations.

Do clients need an in-house manager to handle flexible contracts day-to-day?

Having a point of contact to discuss things with is useful but you can have as much or as little information as you want. If you’re someone who wants to see information regularly and know exactly what’s going on, then flexible is a good way to do it, because you’ll be getting a lot of information. We’ll be actively talking to you about what the market’s doing, how it’s moving and what that means for your position.

“We’ll be actively talking to you about what the market’s doing, how it’s moving and what that means for your position.”

We have customers who are really used to the energy markets and energy contracts, but we’ve also got some clients who’ve never done flex before. We can do as much or as little as you want. We can deal with all the trading and we can agree a strategy and walk you through how that works.

We’ve got customers where, initially they wanted to be really involved because we were new to them. It’s then got to a point where they know us, they trust us and they get less involved and leave more to us to do.

If you were in your clients’ shoes, what would you be thinking about when considering an energy purchase?

I would definitely go for a flexible contract, if I was big enough for one. If I was signing a fixed contract, I would sign a shorter contract at the moment and be ready to sign another one if the markets went against me. I’d take a short term position.

“Since 2014, we’ve saved £79 million for clients on flex contracts. Ben Sherbrooke and John Dawson have done a fantastic job.”

For a flex contract, I’d be looking to get things set up and look for a strategy that protected me against the market rising but also gives me flexibility to make some savings if prices fall.

What do you think is the biggest misconception or myth in energy?

The myth that’s been exploded this year is that prices always come down in the summer. That’s been a general assumption, and this year has certainly changed that.

From the flexible procurement team’s point of view, we’ve got a really experienced team. We deal with a whole range of queries – new connections, disconnections, changes of tenancy, site additions and volume queries. The team are very focussed on looking after customers and making sure they have a good experience. That is something that I think we do very well. The customer hopefully knows they can come to us with a query or a problem and we’ll work hard to try and solve that problem for them.

In terms of sustainability, what do you think clients should be focusing on?

The first thing any business should be looking at is reducing the amount of energy they use. That is going to deliver the biggest savings. Projects to replace old lighting or upgrade out-of-date equipment will bring savings on energy contracts.

For companies with the opportunity, onsite generation is something to look at. Solar is becoming more financially viable for a lot of clients and payback times are less now than they were three or four years ago. Alongside solar I suggest battery storage too.

If someone is installing solar I would definitely say consider battery storage alongside it. If your solar is generating electricity during the middle of the day, store that and use it during peak times – because that will help you avoid some of these potential price fluctuations and some of the non-commodity costs that are charged based on when you use your energy. From a green point of view, obviously looking at opportunities to buy green electricity and gas – although green gas is incredibly expensive at the moment. So potentially for some customers, carbon offsetting might be an alternative. And that’s something we can do.

What are your hobbies?

Cycling is definitely one of my main, spare time activities. I’ve got a summer bike and a winter bike. I don’t want the summer bike to get messed up in the winter! I’ve got a carbon fibre summer bike, a Canyon, and a more sturdy winter one with mud guards. I’m a member of a cycling club called ‘Chapter 2’, although we haven’t been out since the pandemic.

What was the one thing you missed during the lockdown?

Cycling with other people was one of the things I missed most. To be honest seeing friends and family, particularly as my best friend lives round the corner from me. It was a shame that we could see each other’s houses, but we couldn’t see each other. I sort of saw my mum, from a few metres away to help with shopping and was able to do more for her during the later lockdowns. I didn’t see my sister for a good six or seven months. I only saw her on video chat because she lives down in Kent. It took a long time to see her – we are very close and we get on very well.

60 seconds with John Palmer

What do you think has been the impact of the Covid pandemic on the energy sector?

There’s been quite a few changes as a result. The biggest thing in the pandemic was the way that consumption changed, particularly early on with businesses closing down or reducing what they were doing significantly. One of the big things we had to do was to react to that and reach out to customers, to reforecast their consumptions.

Because we were pro-active with EIC customers, none of our flex customers were penalised for going outside of their forecast consumptions – as we were able to mitigate that.

“This year we’ve seen the bounce in energy prices, from long-term lows to record highs. This will drive people to look at how efficient they are being with their energy, and how flexible they can be with their demand”

We are going to see a lasting shift in the way people work so, for a lot of organisations, people aren’t returning to the office full time. Some businesses are moving entirely to remote working. So that will be a change in the way we use energy.

This year we’ve seen the bounce in energy prices, from long-term lows to record highs. This will drive people to look at how efficient they are being with their energy and how flexible they can be with their demand.

Generally, customers are going to be looking at how they can reduce their energy consumption or generate their own. The cheapest kilowatt hour is the one you don’t use.

“The cheapest kilowatt hour is the one you don’t use.”

If you can generate your own energy onsite, you will be avoiding a lot of the non-commodity charges.

What are your predictions for the energy markets over the next year?

That’s a loaded question! At the moment the big thing is obviously wholesale prices and what they might do. I think we are going to be very much driven by weather over the winter, and how much gas becomes available. I think with Nord Stream 2 coming online, and sending gas from Russia, that might well bring prices down. Certainly if we have a mild winter, prices could come down.

More generally, it certainly looks like there’s going to be a tightening of what is considered to be a green energy contract. At the moment, a Rego [Renewable Energy Guarantees of Origin] backed electricity contract may not be linked to your electricity in any way. Accusations of greenwashing suggest that there might be a tightening of those regulations. There will definitely be a push towards green contracts. Hopefully green gas will become more established or an alternative option – perhaps hydrogen in the longer-term – which is being looked at as a cleaner way of doing things.

If you were in your clients’ shoes, what would you be thinking about when considering an energy purchase?

I would definitely go for a flexible contract, if I was big enough for one. If I was signing a fixed contract, I would sign a shorter contract at the moment and be ready to sign another one if the markets went against me. I’d take a short term position.

For a flex contract, I’d be looking to get things set up and look for a strategy that protected me against the market rising but also gives me flexibility to make some savings if prices fall.

From a flexible procurement point of view, our trading team is really good. They get really good results for clients. Since 2014, we’ve saved £79m for clients on flex contracts. Ben Sherbrooke and John Dawson have done a fantastic job.

“Since 2014, we’ve saved £79m for clients on flex contracts. Ben Sherbrooke and John Dawson have done a fantastic job.”

What do you think is the biggest misconception or myth in energy?

The myth that’s been exploded this year is that prices always come down in the summer. That’s been a general assumption, and this year has certainly changed that.

In terms of sustainability, what do you think clients should be focusing on?

The first thing any business should be looking at is reducing the amount of energy they use. That is going to deliver the biggest savings. Projects to replace old lighting or upgrade out-of-date equipment will bring savings on energy contracts.

For companies with the opportunity, onsite generation is something to look at. Solar is becoming more financially viable for a lot of clients and payback times are less now than they were three or four years ago. Alongside solar I suggest battery storage too.

What was the one thing you missed during the lockdown?

Cycling with other people was one of the things I missed most. I’m a member of a cycling club called ‘Chapter 2’, although we haven’t been out since the pandemic.

You can read our full interview with John Palmer here.

Lighting solutions for dark winter nights

The past year has seen the world experience incredibly detrimental weather abnormalities. And the UK’s energy supplies have also been put under considerable strain. So now that we are in the midst of darker nights, businesses are left wondering how this will affect them.

The installation of LED lighting in business premises throughout the country has shown encouraging results. But if the UK wants to continue to progress as a sustainability leader, more businesses must follow suit.

20% of electricity generated in the UK can be attributed to lighting. As we approach COP26 and net zero targets, it is essential that we cut carbon emissions wherever possible and fully embrace sustainability. And to do this, we must incorporate innovative systems such as LED lighting.

We take a look at some of the benefits of making the switch to LED lighting for the darker winter months, and beyond.

Reduce emissions

Lighting accounts for around 5% of global CO₂ emissions. If businesses across the world made the switch to LED technology, they could save a whopping 1,400 million tonnes of CO₂. And while there are many benefits to implementing green practices, the reduction of emissions and the corresponding impact on the environment are surely at the top of the list.

Before a business can understand how best to incorporate LED lighting, it must first survey its sites and practices. Once these areas of high emissions have been pinpointed, you can then focus on reducing them.

Making the switch to LED lighting can hugely reduce a business’s carbon footprint. LED lights use 90% less energy than a typical incandescent bulb. And traditional lighting loses almost 95% of its energy, through heat production alone.

Benefitting budgets

LED lighting is the most cost-effective and durable option, for both businesses and households around the world. Making the switch to a different lighting system for buildings, possibly on multiple sites, can seem daunting. But the eventual return on investment will not only be beneficial in terms of time and money, but also environmentally.

These bulbs require far less electricity power and have a much longer lifespan. Sometimes even lasting an impressive 20 years. Aside from the environmental benefits, this will also save money for businesses, as they purchase less bulbs.

Boost corporate social responsibility credentials

Becoming energy efficient will also boost your corporate social responsibility (CSR) credentials. By improving green credentials, businesses can attract new potential clients while cutting utility costs and carbon emissions. Transparency is now essential for businesses, as customers around the world place increasing value on the environmental.

By demonstrating broader interests, rather than simply focusing on generating revenue, businesses can attract a loyal customer base. Prioritising the environment and customer wellbeing can also prompt word-of-mouth referrals and entice a broader range of clients.

How can EIC help?

It is within the best interests of every business to find simple solutions, that are both efficient and effective. The energy efficiency and long lifespan of LED lighting holds the potential to revolutionise the lighting industry. Boosting efficiency across the UK, and the world.

At EIC, we provide audits and a number of services that help businesses to decide upon the most effective and efficient solution for them. Our lighting solutions have helped businesses to upgrade their systems and reduce their carbon footprints.

Get in touch today to find out how EIC can help you to integrate effective and efficient lighting solutions into your business.

A circular economy – is your business ready to benefit?

The rise in extreme weather events around the world has lit a fire under the global climate movement (quite literally). This is especially true in the UK, where COP26 will take place this October. For this reason, many consider a circular economy to be the best approach in navigating a post-Covid economic recovery.

A circular economy is based on resource efficiency and would help propel the UK’s path towards net zero. Fortunately, a research programme initiating the country’s shift to a circular economy launched in May. The initiative, encompassing 34 universities and 200 industry partners, aims to ease the transition away from taking, making and disposing.

We take a look at what the circular economy means and how UK businesses stand to gain from this approach.

What is a circular economy?

A circular economy is designed to make resources as sustainable and efficient as possible. This means reducing, reusing and recycling resources as much as possible to extend their value and reduce waste.

The main principles behind a circular economy are:

  • Design out waste and pollution.
  • Keep products and materials in use.
  • Regenerate natural systems.

While it is clear that a circular economy can benefit the UK from an environmental perspective, the advantages of this transformation aren’t just climate-related: UK businesses stand to gain as well.

A 2015 study has shown that a circular economic approach could offer costs savings of over half a billion euros by 2030 in Europe alone. It stands to reason that this approach would also benefit those businesses seeking to make financial savings through increased efficiency.

Why should we accelerate our transition to a circular economy?

Each year, Earth Overshoot Day creeps progressively closer. This is an annual milestone, marking when we have used up the natural resources that can be regenerated in a single year. In 2019 and 2021 it fell on 29 July, the earliest date on record.

This means that until the end of the year, the global economy is operating in what is being called an “ecological deficit”. Humanity currently uses 74% more resources than the planet is able to regenerate each year – the equivalent of 1.7 Earths.

In this global culture of waste and inefficiency, the UK is far from unimpeachable – our own national Overshoot Day fell on 19 May this year. The need to transition to a circular economy is becoming more urgent.

How can I prepare my business for a circular economy?

Think about which resources are critical to your business and how you could use them more efficiently. Here are a few areas to consider:

Utilities & Energy

Utilities are usually an excellent starting point, as most businesses need electricity, water and heating. Investing in metering and sub-metering technology across your sites means that you can track these resources and identify areas of waste. A study from the non-profit Club of Rome concluded that installation services for these types of improvements would be central to realising a circular economy in Europe.

Onsite generation may also be a pragmatic energy option for your business. This sustainable solution offers self-sufficiency and energy stability. Onsite generation can play a significant role on the road to net zero. Not to mention, you can avoid rising non-commodity costs which make up a large portion of energy bills.

Waste Management

Waste management is another easy and pragmatic step for businesses looking to adopt a circular approach. The UK generated 222.2 million tonnes of total waste in 2018. Of that, commercial and industrial waste accounted for almost a fifth (19%). This demonstrates the pressing responsibility on these sectors to adopt responsible waste management practices.

Sustainable Design

In November 2020, the UK government invested £22.5m into five new circular research centres. At the heart of this new funding scheme was the development of sustainable design and disposal principles. These centres will explore and improve the processes of several heavily polluting sectors in the UK.

Sectors under the microscope include textiles, metals, construction, chemical production and electronics waste. Construction alone produces a shocking 154m tonnes of mineral waste per year – enough to fill 30,000 Olympic swimming pools.

How can EIC help?

At EIC, we support the transition to a circular economy by leading our clients towards efficiency and sustainability. Our comprehensive services cover metering and monitoring, waste management, carbon compliance, and even guidance regarding onsite generation.

Whether you are looking to take the first step in becoming more circular, or revolutionising your business to be as sustainable as possible, EIC can help.

To learn more about how we can help you accelerate the shift to a circular economy, contact us at EIC today.

Mandatory display of annual energy certificates to be extended

In a new scheme proposed by the government, all larger commercial and industrial buildings will be mandated to display annual energy certificates. This will initially affect offices over 1,000m2of which there are approximately 10,000 in England and Wales. However, the proposal includes plans to extend to more varied sites in the future, including smaller buildings. So, why the change and how might it impact businesses in the UK?

What does the proposal include?

Currently, large commercial buildings are required to display an Energy Performance Certificate (EPC) only if their total useful floor area is over 500 square metres, is frequently visited by the public, and an EPC has already been produced for the building’s sale, rental or construction. EPCs measure the building emission rate (kgCO2/m² per year) and primary energy use (kWh/m² per year) for the core HVAC and building fabric assets.

EPCs are valid for 10 years, once an EPC reaches the ten year point and expires, there is no automatic requirement to produce a new one. A further EPC will only be required when the property is next sold, let or modified.

In October 2019, the Government told the Climate Change Committee that it would consult on introducing a new scheme that would rate commercial and industrial buildings based on their actual energy consumption and carbon emissions.

As a result of this, the government launched a new consultation called ‘Introducing a Performance-Based Policy Framework in large Commercial and Industrial Buildings in England and Wales’. This is the first step towards introducing a national performance-based policy framework that aims to reduce energy consumption and emissions.

How does this differ from DECs?

A Display Energy Certificate (DEC) rates public sector buildings over 250m2 based on actual energy consumption, so why not simply expand this to commercial buildings? According to the proposal, the new rating framework will look to modernise and go beyond what (DECs) currently offer.

Why the change?

Larger office buildings use over 53% of the energy used by all commercial and industrial buildings. This means that more frequent audits and stricter oversight will help to root out waste and reduce overall consumption. Success from similar policies has already been seen in countries like Australia who reduced consumption by 34% in 10 years with the National Australian Built Environment Rating System.

In this global push for energy efficiency and retrofitting, the UK is falling behind. Since 2016, similar requirements have been mandatory in all non-residential buildings over 500m2 throughout the European Union.

What are the benefits of the proposal?

Mandating more frequent energy evaluations will help to identify areas of inefficiency or, at the very least, raise awareness around energy consumption. While retrofitting the UK’s predominantly old building stock is a daunting task, the benefits could be enormous. This initiative alone is predicted to save British businesses over £1 billion annually and reduce carbon emissions by 8m tonnes when completed.

The Government is also considering including waste, water usage and air quality standards. None of these are currently required for either EPCs or DECs, and could lead to further cost savings for businesses.

How can EIC help?

The government plans to introduce the new rating system in 3 phases over the 2020s. The 1st phase is aimed at the office sector and has been planned to start in April 2022. EIC helps its clients stay informed and prepared for policy shifts such as these. In a net zero economy, staying ahead of the curve will be crucial to business resilience and growth.

As emission reduction targets become more important, energy reporting will become an essential part of managing a successful business or property. EIC can help you stay compliant with fast-changing legislation by streamlining and simplifying any and all of your energy admin. Our energy specialists have extensive experience with EPBD requirements including DECs, EPC and TM44 certification. We can go beyond mandatory reporting and certification to ensure you are as sustainable and energy-efficient as possible.

EIC can help you stay ahead of the curve. To find out more contact us today.

Learning at work week – how EIC can help

Our capacity for learning is constantly growing. As we adapt and develop, so does our desire to further educate ourselves. For this reason the Learning at Work Week campaign was created. Since launching in 1999 as Learning at Work Day, the celebrations have now been elongated to a week, and are continuing to grow each year.

The programme focuses on encouraging ‘lifelong learners’ to extend their opportunities to learn by utilising time within the work-place. This will become a vital factor in the UK’s pathway to net zero. For a company to reduce energy, costs and environmental impacts, education and teamwork is vital. While utilising renewable energy sources continues to fast track us towards our net zero targets, continuing to educate ourselves allows us to understand the world around us and what it needs to survive.

We take a look at what the national campaign consists of, how it can help in the long term and how EIC can assist you in learning at work.

What is learning at work week?

Learning at work week is an annual event that spotlights the benefits of learning within the work-place. Running from the 17th-23rd of May, the campaign aims to stimulate curiosity and deepen connections with colleagues.

This year’s theme is ‘Made for Learning’, which has been split into three strands; human = learning, human = curiosity and human = connecting. The campaign works to show that education can carry on at any age, in any place, and that there is always more to learn. The organisers of the campaign offer several online events and activities, from creative pursuits to numeracy challenges. They are also encouraging work places to set their own educational goals depending on their individual teams.

The highly celebrated week is also the perfect time to teach staff about the importance of sustainability. Following the announcement of net zero targets by many countries across the world, the focus on a green future has never been more prominent. Schools, colleges and universities are working environmental studies into their daily syllabus, so why not work-places?

Setting sustainable aims and objectives or implementing green initiatives allows workplaces to reduce energy bills at no or relatively low-cost measures. By simply educating staff on the beneficial impacts lower energy consumption could have, businesses can reduce their energy bills significantly.

EIC’s energy saving training

At EIC, we understand that education can play a huge part in paving the way for a sustainable future. Our vast experience in energy management and team training allows us to further educate employees on the importance of efficiency.

Through training in sustainable strategies, energy management and efficiency, we are able to provide our clients with a comprehensive list of educational options. These strategies allow companies to learn more about how to reduce energy usage and expenditure. We are also able to visit your organisation to train your staff (or in house trainer) on site.

Our goal at EIC is to integrate sustainability and smart energy usage into every part of your business. This is why we offer an online energy awareness course that provides education on saving energy and water in the workplace. This information comes in the form of a handy booklet, gives simple and effective ways to save energy day-to-day. Actions as simple as turning off lights when you leave a room or powering down computers overnight can make a significant difference. Whether they are big or small, every sustainable measure is helping to reduce emissions and preserve the world around us.

Some of our other available sustainable services include:

  • Assessing your businesses situation
  • Monitoring your usage
  • Setting goals
  • Creating communications
  • Measuring and displaying results

Get in touch to hear more about our energy saving training and how we can help you towards your sustainable future.

Greenwashing – what is it and why should businesses avoid it?

As the world shifts towards a more sustainable future, consumers are opting for greener alternatives. And a growing pressure to ‘get green’ means that businesses are desperate to show their values align with environmental issues. This can sometimes result in ‘greenwashing’.

Without the correct knowledge, businesses risk prioritising superficially appealing demands to satisfy conscious consumerism. But as businesses around the world pledge to sustainability, indications of greenwashing can often go unnoticed.

Persistent greenwashing can undermine the importance of sustainability. As a consumer, trying to identify eco-friendly brands can be challenging enough. And with added greenwashed businesses, this task can feel overwhelming and next to impossible.

So, what is greenwashing and how can businesses avoid it?

What is greenwashing?

Coined in 1986 by environmentalist Jay Westerveld, ‘greenwashing’ refers to misinformation provided by a business to falsely present itself as environmentally friendly.

More often than not, greenwashing happens due to a lack of knowledge. While sustainability continues to become a more prominent topic of conversation, so does the pressure to comply. This means companies are increasingly keen to exhibit their sustainable credentials, even if they don’t have environmental expertise.

Greenwashing often distracts from significant environmental issues such as climate change and pollution. It can also misdirect environmentally conscious customers towards dis-ingenuine products. This is because it can be hard to differentiate between well intentioned businesses with those that are performatively green. ‘The six sins of greenwashing’, is a list of indicators that can help consumers spot a business that has been greenwashed.

The six sins of greenwashing

The six sins of greenwashing

No proof: Claims made about a lessening of a businesses environmental impact are not verified by third party certifications.

Vagueness: Broad, insubstantial or convoluted claims such as ‘all natural’, ‘made with recycled materials’ or ‘eco-friendly’, with no further information.

The hidden trade-off: Marketing a product or service as ‘green’ by a narrow definition that disregards other environmental impacts. An example of this was fast food chain McDonald’s switch to paper straws. Although consumers may have welcomed this change initially, it was soon revealed that these straws were still unrecyclable.

Irrelevance: Although the claim may be true, it is unrelated to the company or product.

Lesser of two evils: Touting one good sustainable aspect of the business while ignoring greater environmental harm.

Fibbing: The sin of outright lying, this was seen very clearly in the case of the Volkswagen scandal of 2015. The car company admitted to cheating emissions tests by fitting defeat devices to vehicles in question. This allowed the company to use proprietary software to detect emission tests and in turn reduce levels. Whilst they were knowingly greenwashing their products, in reality they were releasing 40x the permitted limit of nitrogen oxide pollutants.

How can businesses avoid greenwashing?

In the run up to the UK’s net zero commitments, it is within everyone’s interest for businesses to become truly sustainable. Switching to renewables, incorporating low carbon tech and educating staff are some of the ways that businesses can avoid accidental greenwashing.

To promote a sustainable ethos, a business must first achieve sustainability goals. Providing customers with complete transparency not only reassures them of your reliability, but also allows for a wider range of potential clients.

Delivering real change is essential in moving towards a green future. While greenwashing allows businesses to pull in revenue in the short term, it will have serious consequences further down the line.

How can EIC help?

At EIC we prioritise sustainability and transparency. Our expert team are on hand to help your business become as green as possible.

Years of experience allow us to identify the best areas of savings for your business. We believe the future is sustainable and we are dedicated to getting our clients on the right path towards it.

Get in touch to hear how we can help you begin your sustainability journey.

What is driving corporate sustainability?

Rising interest in climate change means businesses are facing increased scrutiny over the environmental and social impacts of their practices. Mandatory carbon reporting already makes corporate sustainability obligatory for many big energy users. And securing funding in the future may entirely rely on a company’s ESG strategy thanks to financial guidelines like the TCFD.

Fortunately, there are many benefits to embracing corporate sustainability beyond ticking boxes. An organisation’s green credentials will only rise in value as the UK races towards its net zero target. Not to mention, at the heart of decarbonisation and sustainability is energy efficiency, which can uncover considerable cost savings.

There are various forces driving corporate sustainability, including a shift in consumer behaviour, policy changes and more ambitious government targets. These forecast a more permanent transformation in the business and finance sectors.

The race to net zero

The real fuel behind the environmental movement at the moment is the global race to net zero. Over the past year, the UK government has introduced new policies and plans to achieve net zero emissions by 2050. This includes new energy efficiency standards, increased renewable generation, hydrogen development, and a ban on petrol vehicles from 2030.

What is clear is that the green wave is coming.  To stay competitive, businesses will have to create sustainable strategies that prepare them for a net zero economy.

EIC can be your partner in this journey, from the first energy audit through to accreditation. Along the way, we help manage all your energy admin and take the stress out of complex carbon legislation. The path to net zero can be difficult to navigate, but our experienced in-house team of energy specialists provide end-to-end simplification. Giving you peace of mind, and your organisation a green, resilient future.

The Task Force on Climate-related Financial Disclosures (TCFD)

In November 2020, Chancellor Rishi Sunak announced plans to make alignment with the TCFD guidelines mandatory in the UK. This will apply to most sectors of the economy by 2025 including listed companies, banks, and large private businesses.

The Task Force on Climate-related Financial Disclosures was established in 2015 by the international Financial Stability Board. It is based on the growing consensus that climate change has immediate effects on economic decisions.

This new step towards mandatory transparency will require a more holistic view of a company’s environmental footprint. It also confirms that investors are growing more aware of climate-related risks and are putting more faith in organisations that plan ahead. For this reason, it can be beneficial for organisations to follow TCFD guidelines, whether they are obligated to do so or not.

Impact investing and the rise of ESG

Environmental, Social and Governance strategies are not new to the corporate sector, but they have become more important in recent years. Now with a heightened focus on climate change and social justice, ESG is becoming essential for securing future investments.

This goes hand-in-hand with the rise in impact investing, which goes beyond mitigating risks and asks – how is your organisation positively impacting the planet? This trend has seen a rise in companies with social or environmental missions.

Why choose true sustainability?

The rise in climate action has led to some companies ‘greenwashing’. This is essentially when a company markets themselves as being ‘green’ without taking real action to reduce their environmental footprint.

There are many benefits to genuine environmental sustainability. The most important being an organisation’s longevity in a changing market.

If the recent shift in policy and finance has taught us anything it is that total transparency will be essential in the future. While ‘greenwashing’ may have some rewards now, it is poor preparation for a net zero economy. And though it may be cheaper in the short term, organisations that are ignoring their energy efficiency are missing out on significant long term savings.

Why choose EIC on your journey to net zero?

At EIC we know that building an environmentally and ethically sound business is not only the smart thing to do, it is the right thing to do. Our in-house team can guide you through energy monitoring, carbon footprinting, green procurement and compliance legislation. Our aim is to provide you with holistic energy management and sustainable solutions that boost your green reputation and financial savings.

Contact us at EIC for a bespoke net zero roadmap for your organisation.

What the new Industrial Strategy means for big energy users

On March 17 2021, the UK government announced their plans for a new Industrial Decarbonisation Strategy. In efforts to reach net zero by 2050, more than £1 billion has been channelled into industry, schools and hospitals. The strategy’s blueprint plans to switch 20 Terawatt hours of the UK’s energy from fossil fuels to low carbon alternatives.

The world’s industry sector generates one quarter of global GDP every year, as well as a significant percentage of jobs. However, industry also makes up a staggering 24% of global energy related carbon emissions. It is for this reason that the decarbonisation strategy is vital in championing a sustainable industrial future.

The strategy aims to cut two-thirds of emissions by 2050, meaning a 90% cut in comparison to 2018 levels. In addition, three megatons of CO2 are expected to be captured from industry by 2030. If this is achieved, the UK would become an international leader in industrial decarbonisation and manufacturing of low carbon products. But what does this mean for big energy users?

How will the decarbonisation strategy impact big energy users?

Carbon pricing

A carbon pricing tool will be introduced that helps assist businesses take account of their emissions by providing them with investment decisions. These measuring tools could potentially save businesses £2 billion in annual costs.

This project will ensure that businesses are maintaining the correct policy framework in switching to low carbon products. New product standards will also ensure that manufacturers are able to clearly identify their products as low carbon.

Financial benefits

It is imperative that this green revolution comes with economic benefits. Through greater energy efficiency, it is predicted that businesses will be provided with commercial opportunities and the chance to save on costs. These opportunities will be available across not only the UK, but global market.

Transforming industrial processes to include low carbon technology will benefit businesses tenfold. Significant costs will be saved on raw materials following a push for more sustainable practices, such as 3D printing and AI. Following the economic downturn created by Covid-19, finding a green recovery for the economy is vital.

Green links

The revamped decarbonisation strategy is heavily linked to the Industrial Decarbonisation Challenge, in which nine green tech projects will receive a cut of a £171 million grant. Announced last year as a £139 million project, the budget was further raised once the winner’s projects were announced. This challenge was created to support low carbon innovations across nine regions in the UK including Scotland, South Wales, Humber and Teesside.

As part of the Public Sector Decarbonation Scheme, £932 million has already been granted to 429 projects across England. This will fund low carbon heating systems such as heat pumps and, solar roof installations.

The strategy has also seen the emergence of the Infrastructure Delivery Taskforce, otherwise known as ‘Project Speed’. The taskforce will ensure that land planning is fit for low carbon infrastructure. This project will focus on delivering infrastructure that is quick, efficient and sustainable. It could also generate over 80,000 green jobs.

How can EIC help?

At EIC, we provide businesses with comprehensive energy management, as well as next generation energy technology. Our in-house services range from green energy procurement to onsite solar instalment and battery storage.

On the journey towards net zero carbon emissions, it is imperative that the economy has a sustainable Covid-19 recovery. By championing both efficiency and self-sufficiency, EIC are dedicated to finding the most suitable and sustainable solutions for your business. Get in touch to learn more about how EIC can help your business work towards a profitable and environmentally friendly future.

A step-by-step guide to setting up new connections

Refurbishing your premises or expanding to new sites can add complex and time-consuming energy admin to your workload. EIC takes the stress out of this process, coordinating your organisation’s new utility connections in a seamless and hassle-free way. Here is a step-by-step guide of what to expect and prepare for on your new connections journey.

Step 1: Register

The first step is to register your requirements with the relevant parties. This is a good time to reach out to an energy specialist at EIC. We will guide you through the process, answer your questions and translate the technical jargon.

Step 2: Gather information

Moving forward, we will need some details including an idea of your estimated energy usage and your Meter point numbers. For electricity, you will need the Meter Point Administration Number (MPAN) which you can get from your local electricity distributor. For gas, you will need the Meter Point Reference Number (MPRN). For this, simply call the MPRN enquiry line. Alternatively, you can get this information from any bills you have received if it’s an existing supply.

If this is a completely new supply, you may not have received these yet, so don’t worry if you don’t have them.

At this point in the process, EIC will send a quote for the new connections service needed. If you are happy with it, we will follow up with a contract and dive in. Our goal is to power up your site or business as quickly and efficiently as possible.

Step 3: Infrastructure plans

Next, infrastructure plans will need drafting. This will mean applications, potential site work considerations, supply contracts and arranging for meter installation.

EIC provides peace of mind throughout this process by liaising with all respective parties and gathering all the necessary technical information. This includes location maps, building layouts, meter positions, and utility loading needs. If there are site works to consider, EIC can help provide temporary builder’s supply. We can also coordinate alteration or rerouting of supply with minimal disruption, and meter removals and disconnections.

setting up new connections

Step 4: Gas and power supply contracts

If you haven’t already, it is time to secure gas and electricity supply contracts. Having established relationships with a range of reputable suppliers, EIC can shop around for options that best fit your organisation’s needs. Whether you need a single connection or multi-site rollout, we can manage and deliver your power and gas requirements with ease. All the while, providing necessary updates and ensuring open communication and transparency.

Step 5: Meter Installation

After contacting the meter operator (MOP) to arrange the appropriate contracts, it is time to install meters and power up your business. EIC can simplify every aspect of this process and coordinate the design, planning and installation, upgrade or removal of your meters.

Your metering solutions will help decide the efficiency of your space and requires a thoughtful and comprehensive approach. EIC’s services extend beyond meter installations for new connections. We also provide everything from smart submetering to next-generation energy management systems. These solutions can help reduce energy costs and cut carbon emissions. Helping to build a sustainable foundation for your business from day one.

Once the meters are installed, we will make sure that they are registered and live on the national database.

Step 6: Bill validation

Once everything is up and running, it is time to run final checks and make sure you are not being overcharged. EIC helps to ensure the billing is accurate by confirming the first invoice received from the supplier reflects the agreed contract rates.

If we removed, upgraded or altered meters, we ensure the final invoice received from the supplier reflects the closing or opening meter readings respectively.

Step 7: Rest easy

By entrusting this process to EIC, project managers can now rest easy knowing that they have been provided with the most reliable, efficient and cost effective energy solutions.

Moving forward, a sustainable energy infrastructure will be essential for any growing business, especially as the UK transitions to a net zero economy. EIC can help you implement and use intelligent building strategies to cut your carbon footprint and boost your savings. This includes IoT building management systems, green lighting solutions, and carbon compliance services.

To begin, or boost, your sustainable energy journey with EIC, contact us today.

12 tips for saving energy this Christmas season

As the holiday season approaches, many will be looking forward to a little indulgence after the tumultuous year we’ve had. While embracing excess is a traditional Christmas pastime, it is often followed by having to save money. We’ve put together a list of our best energy saving tips for businesses so that you can enter the new year on a high both spiritually and financially.

Switch to LED lights

LED lighting remains one of the best energy-saving technologies for businesses but even more so during the Christmas period. Estimates show that 1/5 of all UK energy is on lighting. Combined with supporting technology, like movement sensors and timers, you could reduce your lighting bill by over 80%.

Check your heating system

Heating systems, especially boilers, are often a part of a building’s infrastructure before a business moves in. This means that data on their age and running efficiency could be a black hole until they are actively investigated. Check your boiler this winter to see if it requires maintenance or an upgrade to ensure every unit of energy used for heating is done so effectively.

Drop passive energy consumption

Vampire energy use refers to devices and appliances that draw power even when they are not in use. Get a checklist in place as soon as possible. Delegate responsibility for each employee to switch off their devices before they leave. Also, you might use a power strip or two to simplify this process in areas where a lot of devices are in use at once.

Self-reliant buildings

Building management systems (BMS) have seen a bumper of a year thanks to the pandemic and recent lockdown measures. The ability to remotely manage and monitor your utility usage has never been more valuable. Scheduling programs for light, heat and air flow can be integrated into such a system to help support your energy efficiency.

Aside from energy usage, the right BMS can also protect other utilities from the ravages of winter – frozen pipes included.

Intelligent metering

Alongside BMS, a robust metering set-up can provide a more comprehensive view of your utility usage to better inform policy. Using sub-meters in different areas of a site can also give insight into sources of waste or inefficiency. These can then be addressed before they exact a financial toll during the colder months.

Use curtains wisely

As strange as it might sound, curtains can actually provide huge benefits to a business. While open they allow for natural light to fill the office space, so you can dial back on electricity use. Granted daylight is at a minimum at this time of year, but when it gets dark outside, the curtains provide insulation and help retain residual heat.

Draft-proofing doors and windows during the holidays is also a great way to improve heat efficiency on your real estate. Given that SMEs are estimated to overspend on gas heating by as much as 30%, any improvement seems worthwhile. Also, doing this during the Christmas break will minimise disruption for employees.

Saving energy with LED lighting

Building performance

The introduction of widespread EPC use, and its requirement when leasing new buildings, means there is increased pressure to build and maintain better than we have been. However, there’s plenty of reason to go above and beyond EPC guidelines. Improving your insulation, installing double-glazing, or even just draft proofing your premises can yield significant savings on your energy bills.

Onsite generation

EIC has been shouting from the rooftops about onsite generation for years. Could your own rooftops be suitable for solar panels? If so, you could enjoy reduced energy bills and even a passive income stream. As we step closer to net zero 2050, you will be improving your carbon profile as well.

Conduct an energy audit

Like a smart meter, an energy audit will give you a clearer picture of energy usage in your business. Identifying the points of weakness, such as outdated equipment or inefficient behaviour, means you can develop individual solutions that will improve efficiency system-wide.

Make use of gadgets

Tablets use up to 70% less energy than laptops. If you have or are considering a ‘Bring Your Own Device’ policy, now is an excellent time to action it. You might also consider providing these devices to staff given how much energy it could save you.

Rethink your kitchen etiquette

As the temperature drops, making hot drinks and food become more tantalising, your staff kitchen will be working overtime. Domestic kettles are one of the biggest energy drains in homes and the same is true in office kitchens. Put up posters encouraging your staff to be more environmentally conscious. Such as only boiling enough water for the drink they make or filling a flask in the morning that can last the whole day.

Hibernate

The holiday season and continuing Covid restrictions will leave a lot of offices empty. During this time consider putting together a shutdown list. This will ensure non-critical systems aren’t left running and draining power.

At EIC, we have supported businesses in improving their energy efficiency since 1975. We currently manage around 12-TWh of energy for clients each year and provide services to support many of the strategies we’ve outlined here.

We can help you to integrate Smart Metering, Building Management Systems and Onsite Generation into your business. To find out how get in touch.