Read about how one company in Worcester who engaged the services of a Commcial Energy Consultant to lower their energy bills by over £140,000 per annum. All of the work was funded by a loan which meant that the company in question was saving thousands of pounds from the very first month.
2. Brixsus Energy Consultants work with commercial
occupiers to lower their energy costs.
This case study provides an example of the sort of savings that
are achievable following the implementation of a successful
energy audit.
It shows how one business identified over £140,000 in
annual savings.
How?
By focusing on the right improvements in
combination with specialist finance, energy
costs were lowered enough to pay for the works
and associated costs AND make a positive cash
contribution from month one.
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3. The Property
Specification: 10,000 Sq M industrial premises around 25 years old, with ancillary office
accommodation totalling 10% of the Gross Internal Area.
Use: The property is owned by a company involved in high quality precision manufacturing
and engineering and the office premises serve as a headquarters location for approximately
75 staff.
The Problem: Spend on electricity and gas represented a significant proportion of the client’s
overheads and their increasing energy use was beginning to put pressure on their profit margins.
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4. ENERGY USE
Spend on Gas and Electric totalled £550,000 (£400,000 Electric, £150,000 Gas)
A full energy survey was carried out which highlighted that substantial savings could be made in the areas of
lighting and industrial process.
Works with long payback periods were discounted in favour of focusing on the “quick wins” which could drive
down costs and increase profitability in the short term.
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5. Lighting
Replacement of High Pressure Sodium / Florescent Strip Lighting and some Compact
Fluorescent sources with lower wattage equivalents and LED’s where economical to
do so.
Projected Cost: £80,000
Annual Savings
(excluding loan cost): £45,000
Payback Period: 1.77 years
Installation Costs Finance Costs
Monthly Cost (£80,000 Repayment Loan over 5 years @6%):
£1,580
Monthly Energy Savings: £3,750
Cashflow: +£2,170 per month
Induastrial Process
Out of Hours Audit
Projected annual savings of 10% (£55,000) achievable from consumption analysis, awareness training and
eliminating waste from equipment not in use such as heating, lighting, ventilation, cooling and compressed air.
Machinery Power Usage Audit
Fitting inverters to process equipment with projected savings of
£19,000 per annum.
Gas Consumption Audit
Highlighted potential reduction in gas consumption of
approximately £21,000.
TOTAL ANNAUL SAVINGS
(excluding loan costs)
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6. Longer Term Savings
The figures below show the savings on the Lighting works over a longer period of
time building in energy inflation and accounting for the cost of the loan.
The key figures to look at are the savings made over 5,10 and 20 years! This figure
factors in the the cost of the loan and interest payments.
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7. Further Savings
A further 20 observations were noted which warranted further
investigation once the high value works had been completed.
A concise report is provided to each client to prioritise measures which not only provide the quickest payback but
cause the least disruption to staff and are easiest to implement.
Once savings start accumulating on higher value projects, an energy efficiency project fund can be set aside to
start recycling savings back into other projects. Small incremental improvements start to compound in a short
space of time to lower energy bills even further.
As Energy Bills continue to rise these savings are amplified even further over the long term.
To discuss any aspect of this report, or for more details on this case study, please contact Brixsus Energy
Consultants.
Website: http://www.brixsus.com/energy_consultants
Email: info@brixsus.com
Telephone: 0121 562 1723
Address: 69 Steward Street, Birmingham, B18 7AF
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