Ethical Pulse - from the Ethical Junction membership

Posts Tagged ‘energy’

Solar PV may add premium to house price

Thursday, May 19th, 2011

There is strong evidence that homes with solar PV systems have sold for a premium over comparable homes without solar PV. Researchers at the University of California, Berkeley found that a 3.1kW PV system added an average premium of $17,000 (just over £10,000) to house prices.

A study done in San Diego in 2010 also found similar results.

As far as I can see, no similar study has been done in the UK. However, this research gives early adopters optimism, that they may be able to more or less recoup their investment if they sell their home only a short time after installing solar panels.

My view is, that for this to happen we still need greater understanding about renewable energy and its benefits among the general population. Estate agents have a role to play in this, and anecdotal evidence indicates that they unless they improve their understanding of solar PV and other renewable technologies, they won’t promote them to potential buyers.

There’s plenty of people out there giving advice on how to make your house more saleable – but mostly it’s about (often quite superficial) visual aspects. How about a campaign to increase the understanding of a house’s energy performance certificate and what it means for the comfort of a house, and the expense of heating it.

About the Author: Cathy Debenham, Founder of YouGen

First published on YouGen blog. For more information on renewable energy visit the YouGen website.

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CEO’s Embrace Sustainability

Tuesday, May 10th, 2011

This article presents a vision for corporate sustainability and highlights how organisations can add value to not only their bottom line but also to the environment and society at large. With current examples of organisations putting their corporate sustainability strategy into action, this article provides a run down of who’s doing what and the skills and people required to initiate and maintain the drive to a low carbon economy.

Highlighting the increase in auditing and tighter sustainability regulation, this article also provides some useful advice on how to avoid the association with ‘green washing’ and ways in which an organisation can really embed sustainability within the heart of their corporate culture. Investors are becoming increasingly receptive to sustainability.

Corporate sustainability is coming of age. An overwhelming majority of FTSE 500 companies now voluntarily measure, manage, and publicly disclose their carbon emissions; and a collection of hi-tech solutions, clean technologies, and market tools have evolved in recent years to meet these demands. Examples of successful corporate sustainability reporting can be attributed to Siemens and GE, recording environmental revenues of £16bn and £11bn respectively, and M&S showing how a CEO-led sustainability strategy can account for 10% of profit at a FTSE100 retailer. The Co-Operative Group has also launched an ambitious sustainability plan at the beginning of March 2011, which promises to cut carbon emissions by 35% by 2017 and deploy over £1 billion of green energy finance by 2013. By 2017, the Co-op wants to generate an equivalent of a quarter of its energy needs from renewables but aims to be carbon neutral in its operations by next year. The Group also pledges to reduce its water consumption by 10% over the next three years.

Driving change to a corporate sustainability strategy is a constant challenge, however an impressive 81% of the CEOs surveyed by The Guardian stated that sustainability issues are now ‘fully embedded’ into their companies’ strategy and operations, with many extending this focus to their subsidiaries and supply chains. It is clear that sustainability is no longer seen as a marketing fad and is now embraced at Board Level within leading corporations. This is also reflected in recruitment trends witnessed by Allen & York, leading international sustainability Recruiters. Boardroom commitment to sustainability helps build a framework for robust corporate governance.

Writing in Ethical Corporation, Raffaello Raimondi, Principal Search Consultant at Allen & York comments on the rise of the Chief Sustainability Officer (CSO), “The first job on a CSO’s list is often to challenge accepted norms and radically change a corporation’s culture”. Describing the ideal CSO’s background, Raimondi highlights that several years industry experience coupled with a MBA/Masters Degree and quite possibly experience in a leading strategic or environmental position features high on his check list. By employing a dedicated CSO, Sustainability Director or Head of Sustainability, organisations can ensure the corporate sustainability strategy is not only overseen and managed accordingly but is also implemented to the highest standard so that oversights are not made. When discussing his role at UPS, Scott Wicker, CSO at UPS highlights that: “The long-term success of our company absolutely requires a balance of the environmental, economic and social aspects of the business. Sustainability encompasses all of those areas.” Sustainability offers a proven and legitimate framework for exploiting new avenues for innovation and growth. Initiatives such as the Carbon Plan, Green Investment Bank and the Electricity Market Reform demonstrate how the UK coalition government is well on the way up the regulatory escalator towards encouraging zero-carbon emissions within business. The Carbon Plan, being a Government-wide plan of action on climate change and the Green Investment Bank are primed to invest in low-carbon infrastructure such as renewable energy and the development of new, clean technologies. Both, along with the Electricity Market Reform point towards a movement to monitor and regulate sustainability within business.

In addition, the UK government’s CRC Energy Efficiency scheme which came into effect in 2010 is a mandatory carbon emissions reporting and pricing scheme, with the first report due from organisations, which use more than 6,000MWh per year of electricity, in July 2011. Whilst there has been some controversy about the scheme, it still remains that from 2012, participants will be required to buy allowances from the Government, each year, to cover their emissions in the previous year. This means that organisations that decrease their emissions can lower their costs under the CRC. Companies better positioned to improve their energy efficiency, and save on CRC costs, will be those with a CSO or Head of Sustainability in place, who is able to oversee energy management, sustainable procurement and corporate social responsibility issues, coupled with implementing accurate carbon reporting. A severe management deficit exists in the governance of climate change and sustainability risks and opportunities. Being a key driver to corporate innovation and growth, a top down approach to corporate sustainability is required. Regulation, the role of the CSO and embedding sustainability into business practices also ensures that ‘green washing’ is avoided. Green washing is the team used for the deceptive use of green PR to embellish a company’s green credentials. With a firm policy and strategy in place run by a dedicated CSO or Head of Sustainability, the company is able to produce clear and transparent evidence of their sustainable measures.

Further trends that Allen & York predict for 2011 include:

  • The embedding of sustainability as a core business strategy
  • Establishment of a consensus on the role of the sustainable development professional
  • The rise of the Chief Sustainability Officer
  • Increased transparency, an open society and a decrease in green washing
  • Supply chain engagement, where supplier’s performance is also monitored and reported on, forming part of the corporate sustainability strategy
  • IT for green purposes growing at an exponential rate

Allen & York are a leading international Sustainability Recruitment consultancy, offering jobs and candidates in; Energy & Environmental Management, CSR & Sustainability, Low Carbon and Climate Change, Renewable Energy and Health and Safety Management. For further information, please visit: www.allen-york.com

Allen & York is an active member of Ethical Junction, learn more

Sust-it adds water usage to it’s efficiency rankings

Thursday, April 21st, 2011

It’s now possible to rank dishwashers, washer driers and washing machines by water usage as well as energy usage thanks to Sust-it. With nearly 40 per cent of homes now having a water meter, saving money by saving water is an important issue.

We’ve taken OFWAT’s average price for a cubic metre of water, and fed this into our calculations to give an overall running cost. For dishwashers there is very little difference in water consumption between models, they use on average 10 litres per wash, or cost about £3 per year. The real baddies are the washer dryers, some can use over 130 litres per wash – double the water consumption of a washing machine and can cost as much as £45 per year.

Sust-it is an active member of Ethical Junction, learn more

Nu-Heat’s success in South West Business Awards

Wednesday, April 13th, 2011

Nu-Heat was delighted to achieve a win at the inaugural Exeter Business Awards at Sandy Park, home to the Exeter Chiefs Rugby Club. There were eight categories, including Young Entrepreneur of the Year and Innovation of the Year. Nu-Heat was entered for the Small Business of the Year (for businesses with up to 200 employees that have increased their potential over the last financial year, taking into account innovative products, services and processes as well as expansion into new markets and looking at the ‘personality’ of the business).

Dragon’s Den personality Deborah Meaden was Guest of Honour, and spoke about how businesses in the South West have to work harder to be successful as customers are not always on the doorstep as they are in London.. Deborah also asked for support for the South West Child’s Voice Appeal, for which she is currently Chairperson.

There were 11 shortlisted in our category, including Otter Brewery (who did win the Environmental Award) and the South West Children’s Hospice. We were thrilled to receive the award, and to learn that the judges had been unanimous in their choice. Director Adrian Troop said it was great to receive such an acknowledgement.

We shared a table with the Jack in the Green who won Best Tourism/Hospitality Business Award and Flybe, who won Business of the Year. A victorious evening for Table 10!

Nu-Heat is an active member of Ethical Junction, learn more

Sust-it calls for tougher Energy Label enforcement

Monday, March 28th, 2011

 

The National Measurement Office (NMO), took over the role of enforcing the EU’s energy efficiency standards and labels, from Trading Standards, after Defra research showed the rate of non-compliance with the energy efficiency regulations was at least 15% – and for some products was 25% or higher. In one case, John Gillman and Sons (Electrical) Limited of Gloucester, pleaded guilty to advertising and selling chest freezers with incorrect energy ratings. The Ice King DM-35 chest freezer, made in China, was advertised online as having a B energy rating, but arrived with labels showing an A+ energy rating and an energy consumption of 215 kilowatt hours per year. Subsequent tests carried out on the appliances found the energy rating to be E or F and that on average the energy consumption was 382 kilowatt hours per year – some 77% higher than shown on the label provided with the appliance. This could cost consumers £22.03 extra per year, which over the products lifecycle could end up costing more to run than it did to buy! The company had to pay a £5,400 fine and £9,400 in costs. More recently, tests carried out by Which? found Beko’s claim that its WMB81445L washing machine used 50% less energy than a standard A-rated machine, making it, they said, an ‘A+++++’ was not all it was cracked up to be. The energy used per kg of washing on a small load was the second highest of all the Beko washing machines Which? tested last year, and only got an average rating of three stars for energy efficiency.

Energy Labelling and eco-design standards have been crucial in getting manufacturers and retailers to recognise the value of energy efficiency and in raising consumer awareness, but if the predicted environmental benefits are to be achieved, it is vital that it is properly enforced, especially as brands feature their eco credentials so heavily in marketing.

At last year’s International Energy Agency Conference, Defra Parliamentary Under-Secretary, Lord Henley said “Consumers who are choosing more efficient products – to either save money or to reduce their emissions or both – deserve to be 100% sure that the product they are buying delivers the standard it promises.”

And, as energy labelling on TV’s comes into force later this year, (it’s currently a voluntary scheme), stiff penalties for non-compliance and rigorous market surveillance are vital. The NMO will soon have an additional range of civil sanctions at its disposal, without needing to go to court, including imposing fines which will reflect the harm caused to consumers and the environment.

Sust-it is an active member of Ethical Junction, learn more

Would you consider renewable heat for your home?

Wednesday, March 16th, 2011

If your boiler broke down tomorrow, would you just get another one? Or might you consider one of the various types of renewable heat that are now available?

I ask, because the final details of the renewable heat incentive are due to be released. This is the government’s scheme to encourage us to adopt renewable forms of heating such as solar panels, heat pumps and biomass boilers, by giving us a financial boost to choose them.

But renewable heat is a bit more complicated than just getting a new boiler, and I’m interested in finding out how successful they are being in raising interest and awareness. You can help find out how much people know about renewable heat by doing a quick survey. It will only take a minute or two. Click here to do the survey.

YouGen is an active member of Ethical Junction, learn more

Is New Energy Policy Just Around the Corner?

Thursday, February 17th, 2011

There’s more support than ever before from consumers for environmentally-friendly policy. This can be seen simply from the ever-growing number of news articles about global warming to the amount of advertising promoting green products. From this, one would think that the market itself would be enough to change the current standards to ones with higher-efficiency.

However, in a a 2011 report from Bloomberg Businessweek Research Services funded by ABB, a power and automation technologies corporation, they found that, “Only 14% of energy industry stakeholders indicate that governments should leave development of alternative energy sources to market forces.” 1

The research from Bloomberg Businessweek is based on a survey of over 450 energy industry leaders and stakeholders, focusing the questions on all areas of the energy industry, from generation to distribution to policy. The following chart from their study is an extremely informative look into the mindset of the energy industry.

All policies related to improving environmental standards and renewable energy easily had the majority in favor of implementing them. The only policy that did not have majority support was for relaxed environmental standards.

Based on this chart, the first things to happen are grid improvement programs. After that, support fell mostly for implementing standards for both the industry and consumer’s energy use. This also follows later evidence from the ABB funded report that 80% of energy experts believe both consumers and the energy industry are responsible for improving and reducing their energy use. 2

Bloomfield Businessweek also reports that, “when it comes to adopting energy efficient practices the energy industry stakeholders believe they need to be incentivized to change their behavior.”3

With a predicted 30% increase in energy use over the next 20 years, 4 policies are sure to come into play to ensure that this energy is available. The groundwork is already being laid in countries around the world, and, as energy industry leaders think that it shouldn’t be left up to market forces, new and improved energy policy is sure to come.

To learn more about the future of the energy industry and policy, visit ABB’s research site and watch the video below.

Citations

1, 2, 3. Bloomberg Businessweek Research Services (2011). “Lowering Emissions (or Minimizing Climate Impact): Energy Efficiency and Renewable Energy” p.5

4. International Energy Agency (2010). “World Energy Outlook 2010 Factsheet: What will the global energy outlook to 2035 look like?” p. 1

Bio

Jeremy Jones is a eco web designer and committed activist for environmental change. He is the cofounder of the nonprofit The Kirksville Permaculture Education Center and writes for ABB.

Syndication Information:

Content syndicated by Nathan Brown, the sustainable building careers recruiter for Dancing Rabbit Ecovillage and provider of information on building your own solar energy systems for your home.

Photo Credits

1. Energy Policy Opinions Chart: Bloomberg Businessweek Research Services (2011). “Lowering Emissions (or Minimizing Climate Impact): Energy Efficiency and Renewable Energy” p.6

2. Power Lines. http://www.freefoto.com/preview/13-09-57?ffid=13-09-57

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Recruitment trends within the Wind Energy Sector

Thursday, February 17th, 2011

Within the following article, Vicky Kenrick at International Sustainable Recruitment Specialist, Allen & York explore current recruitment trends within the wind energy sector, including an in depth look at where the latest job roles exist within Europe, what job types are on the increase and the transferable skills that exist for professionals wanting to make their career move into the wind energy industry.

Europe has a challenge ahead, in terms of renewable energy targets.  The UK government has signed up to a commitment which states that by 2020, 15% of energy production will come from renewable sources. Quite a target for any government to achieve, but in a climate where purse strings are being tightened, this challenge is ever more complex.  However, the UK in particular has made incredible headway in wind power and in fact is now known as the flagship nation for harnessing the power of wind, on an industrial scale.

The wind energy sector is one of the key employment sectors for Allen & York in Europe, with the industry as a whole employing 154,000 people (Wind Energy Assoc. data). In 2015 this figure is forecast to grow to 212,000 and in 2020 to 328,000, the current top 4 EU member country employers are: Germany with 38,000, Denmark with 23,000, Spain with 20,000 and France with 7000.

Recruitment in the wind energy industry will be significant in terms of accessibility to potential employers and employees.

According to research by RenewableUK, the number of staff employed full-time on large-scale offshore and onshore green energy projects increased from 4,800 in 2007 to around 9,200 last year.  In addition, it is expected that there will be strong growth within the European wind energy sector over the next decade, with over 250,000 new jobs created.  According to David Blake, Renewable Energy Manager at Allen & York, “this pattern could be attributable to the increase in larger organisations setting up regional offices close to wind projects across Europe”. Therefore, more vacancies are becoming available – with the aim to improve the efficiency, quality, reliability and safety of each wind energy project.   This development will benefit the renewable energy sector as a whole by raising the awareness and interest from stakeholders at a regional and national level; in turn this will itself increase investment within the sector, leading to more jobs and positive economic impact.

There is sizeable potential for development in Wind Energy in Central and Eastern Europe.

The looming challenge of the 2020 European Union directive on boosting renewable energy to 20% by 2020 made the CEE (Central and Eastern Europe) countries take on the challenge of developing their indigenous energy sources. According to Christian Kjaer, Chief Executive Officer of the European Wind Energy Association (EWEA), it is onshore wind which is set to be the star technology in helping the EU’s 27 Member States to meet this mandatory target.

We have also seen large growth within Central and Eastern Europe and at Allen & York we have worked with major utility companies that have been hiring in this area, this is particularly in comparison to Western Europe. For example we have recently seen large developers in France withdraw greatly from the offshore wind energy market following an announcement of Grenele2 founded on their research regarding environmental concerns for the preservation of the marine ecosystem.

Alternately, although there are many challenges to surmount within the market, Poland has seen the most expansion in the region, due to great wind potential and government support. It is the increase of the general awareness of Polish wind energy potential that has induced interest from investors and manufacturers. Banks and private equity investors are becoming more attentive to available possibilities, despite slowed down activity produced by the financial crisis. Likewise, all major European wind turbine manufacturers are active in Poland, as well as component manufacturers from western and northern Europe.  However, Poland must overcome high stakes if it is to attain its 2020 renewable energy targets. The country will need to install 863 MW – 1,002 MW yearly until 2020 to achieve the desired 10,500-12,500 MW. Nevertheless, this looks achievable with the renewable energy market in the CEE region becoming more and more attractive to investors from Western Europe and the rest of the World.

In turn, wind energy professionals from Western Europe, such as Germany and France are recognising the demand for work within Eastern Europe and, if holding experience within offshore wind or onshore wind, they are able to take advantage of the growing number of job opportunities. It is interesting to note this reversal in migration patterns; this is reflected by presence of some of the biggest infrastructure projects for wind energy in the world taking place in Eastern Europe, such as in Romania, which is host to Europe’s largest onshore wind farm.

Barbara Szlajnda, at Allen & York, who focuses on recruiting for the Renewables market within Europe, has specifically witnessed an increase in engineering job opportunities within offshore wind energy across Central and Eastern Europe. As the cheapest renewable electricity technology, onshore wind will be the largest contributor to meeting the 34% share of renewable electricity needed by 2020 in the EU, as envisaged by the 2009 EU Renewable Energy Directive.

The UK’s wind power sector has seen employment rise by 91% in three years.

A report commissioned by industry association RenewableUK and EU Skills, the Sector Skills Council for the power sector, revealed that the number of full-time positions at wind energy companies had almost doubled from 4,800 full-time equivalent staff in 2007/8 to 9,200 during 2009/10.

The European Wind Energy Association (EWEA) has also recently published its forecast for wind power installations in 2011, predicting the UK will closely follow Germany as the largest market this year.  In the UK in particular, it has become clear that individuals, especially graduates, are seeing work in the wind energy sector as a ‘stable’ career move, and even going as far as to retrain in their spare time in further wind related qualifications.  It could be that wind power can help breathe hope into the UK’s jobless recovery.

According to EWEA figures, the wind energy sector had employed 192,000 people in Europe by the end of 2009.  Christian Kjaer, chief executive of the EWEA, said: “The European Wind Energy Association expects strong growth in wind energy employment in Europe over the coming years to 280,000 by 2015 and 450,000 by 2020. That’s on average, 450 new European wind energy jobs per week over the next decade!

More specifically, Renewable Energy Recruitment Consultant, Georgina Hurst, who specialises in wind energy recruitment identified that currently Developers are recruiting in mass for Project Managers due to a rise in wind farm sites being identified and in the planning stages. However, Georgina then comments that in the future “we expect to see an increase in the demand for Windfarm Construction / Operation Managers, rather than those involved in gaining planning consent” as more windfarms are granted planning permission.  Therefore, although there appears to be an increase in the number of roles available within the project development phase of wind energy, here at Allen & York we envisage there to be a subtle change in demand over the coming years towards the construction phase of wind energy.

Another key trend within the wind energy sector is the increased demand for the grid integration of wind energy onto the network. The expected high levels of wind energy can impact on grid stability, congestion management, transmission efficiency and transmission adequacy. In many parts of the world, substantial upgrades of grid infrastructure will be required to allow for the levels of grid integration

Grid operators in a number of European countries, including Spain and Portugal, have now introduced central control centres which can monitor and manage efficiently the entire national fleet of wind turbines.

Recruitment Consultant at Allen & York, Tom Wolsey, specialises in Power Networks comments;

“The transmission market is an increasing focus for many companies involved in the sector. Due to a shortage of suitably skilled people in the market, candidates in this sector are rare and highly valued. Managing the technical, regulatory and risk related issues of grid integration projects are an essential part of any successful wind farm development.  Design and engineering of transmission systems as well as management of grid code compliance are all key issues that must be addressed”.

As these changes take place, wind energy practitioners may have to adopt additional skills in order to more closely match the job descriptions. 

Currently, there is a candidate shortage within the wind energy sector in Europe and fierce competition exists amongst businesses for the best candidates.  In turn, this is naturally having an affect on salary trends in the industry, but it also means organisations have to be flexible and consider transferable skill sets to meet the growing demands of the sector. Therefore, suggesting compromise from both the candidate and organisation in order to best fill the job role.  

Georgina Hurst, Wind Energy Recruiter at Allen & York goes on to comment that;

“Candidates are able to best match job roles by emphasising their transferable skills. There are lots of useful skills gained within planning related industry sectors as these candidates have key experience with local planning authorities.  Therefore, if organisations are prepared to take into account non-specific wind experience then they are able to employ excellent ‘all round’ candidates, enabling them to fill their vacancies more quickly”.

With additional training it will also be possible to open up job opportunities to more people coming from declining and traditional sectors such as automotive, aerospace and shipbuilding.  Meanwhile current workers within the wind energy sector should always keep up to date with the new technologies and training in the latest tools and regulations on the EIA side is compulsory.

Wind has been the world’s fastest growing renewable energy source for the last eight years.  As the costs of generating wind energy fall and the urgent international need to tackle CO2 emissions and prevent climate change grows, it’s a trend that’s set to continue. As the windiest country in Europe and world leader in off-shore technology, the potential exists to meet the UK’s energy needs several times over.  Job opportunities within wind energy are predominately within the project development area, and with strong growth within the wind energy market continue to grow within Central and Eastern European in particular, wind employment could withstand the recession whilst offshore wind farm development, port refits and supply chain manufacturing set to further boost sector employment in the years ahead.

As a market leading Energy Recruitment Consultancy Allen & York are able to provide a huge selection of wind energy jobs throughout Europe and within onshore and offshore wind, and at all levels from Wind Engineer and Business Development Manager to Project Developer and Wind Analyst.

Please visit us today at: www.allen-york.com

Allen & York is an active member of Ethical Junction, learn more

Can Algae Become the new Petroleum?

Tuesday, February 15th, 2011

According to a new report from green website Treehugger, it just might be possible to commercially produce Algae oil in enough quantity to replace diesel, gasoline, jet fuel, plastics and solvents. The wonder of algae oil is that is can be produced and burned without the harmful global warming effects of petroleum. Farming and producing algae oil as a replacement for petroleum does not take away vital land from rainforests and farmland in the same way as other replacement oil like corn or palm oil can do.

According to Treehugger a company based in California, OriginOil have been contracted by the Mexican Government to produce 1% of the nations jet fuel from algae over the next 5 years. Their aims are much higher however as they plan to produce 20times that amount by the end of the decade!

Treehugger explains:

What’s significant here is a move to demonstrate industrial algae production. If it succeeds, Mexico may invest in large-scale jet fuels production. OriginOil is seen as a leader in the algae biofuel industry, and had success last year in an algae pilot project with MBD Energy of Australia.

“Much of the world’s oil and gas is made up of ancient algae deposits,” OriginOil reps explain.

“Today, our technology will produce ‘new oil’ from algae, through a cost-effective, high-speed manufacturing process. This endless supply of new oil can be used for many products such as diesel, gasoline, jet fuel, plastics and solvents without the global warming effects of petroleum.

We wish OriginOil well in this exciting and earth saving endeavour

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Sustainable Energy Procurement Recommendations for Schools

Tuesday, January 18th, 2011

Within this article, Vicky Kenrick at Sustainability Recruitment Specialists, Allen & York provides valuable insight into energy procurement within the public sector and explore energy initiatives such as the Carbon Reduction Commitment (CRC) and The Pan Government Energy Project, and how these can benefit energy procurement for the public sector, with particular reference to schools. 

Energy procurement represents a significant percentage of public sector expenditure, accounting for some £3.25 billion annually. Clearly, an effective approach to collaborative purchasing offers the scope for real savings for the public purse.

The public sector is potentially a very powerful purchaser and is uniquely placed to play a leading role in sustainable procurement and in helping the UK to meet its targets of reducing CO2 emissions by 80 per cent by 2050.  Furthermore, with the UK public sector faced with a growing need to provide greater operational efficiencies as well as demonstrate their commitment to be among the leaders in the European Union (EU) for sustainable procurement, the need to secure best value through collaborative working has also become ever more critical.

Sustainability was recognised by the former government as a core component of good procurement, and in 2008 significant steps were taken by the Office of Government Commerce (OGC) and other departments to improve their leadership and governance on the issue. A number of developments since 2008, such as The Pan Government Energy Project (PGEP) have kept sustainability at the forefront of current issues in procurement practice.  

It is schools and higher education establishments that have been one of the last sectors to actively move from a fixed price, fixed term contract to a flexible, risk managed contract as recommended by government.  The Energy Consortium (TEC), whom contract for over 70% of the higher education sector, are actively working with the PGEP to help educational establishments understand the benefits of moving from a fixed price contract to a government recommended flexible solution.  As a result, the PGEP have an excellent understanding of a school’s energy requirements, and allow schools the opportunity to access increased benefits when following their recommendations and working with a central purchasing body. The PGEP, sponsored and chaired by the Ministry of Defence, has developed best practice recommendations for energy procurement in consultation with customers and public sector buying organisations.

If done incorrectly, energy procurement can cost a school thousands of pounds that could have been avoided. For schools, the cost of employing an energy specialist is often not feasible, and this can leave schools open to higher supplier margins and increased costs. In light of this, schools are currently being urged to access the benefits of using this government recommended solution for energy procurement.

By following the two recommendations outlined in the PGEP, schools can firstly benefit from making substantial financial savings through aggregation, for example, because a central purchasing body can purchase larger portfolios of energy and attract lower supplier margins, some by up to 5%.  In addition, schools that follow this government recommendation can also take advantage of market prices throughout the duration of the energy contract and have access to greater transparency of costs that make up the delivered energy price.

Mark Vidler, Energy Group Manager at Allen & York comments that:

“Purchasing energy in this way could also see organisations and schools mitigate against price rises and deliver savings.  Organisations can further benefit from the advice of skilled Energy Managers, who play a vital role in ensuring sustainable cost savings throughout the energy procurement process”

The second recommendation of the PGEP highlights how schools need to reduce their energy consumption.  If the purchasing of energy is carried out by experts in energy procurement then schools are able to benefit from experienced team management of all portfolio needs as well as have access to new products and initiatives, which include tools such as Automated Meter Reading (AMR) and advice, guidance and tool kits which can also assist with their Carbon Reduction Commitment (CRC).

In fact, 15% of public sector carbon emissions arise from activities in the English schools system and about a third of this is directly from energy usage in school buildings. In light of this, the Government aims to make all schools, sustainable schools, by 2020, by not just promoting sustainability through teaching methods but also by encouraging schools to participate in local authority carbon reduction commitment opportunities and other initiatives in order to reduce their energy consumption.  There is a clear need for public sector organisations, such as schools, to seek the support of Energy professionals and consultancies in order to work towards sustainability targets. 

Sustainability Recruitment Specialists, Allen & York, are witnessing a large increase in the demand for sustainable Energy professionals and the growing variety of roles within this sector.

Allen & York Energy Group Manager, Mark Vidler, comments:

“It is increasingly necessary for schools to recognise the importance of sustainability and its application in every aspect of energy management.  In particular, the renewable energy sector plays a vital role in this, it is now more important than ever before that we look to alternative sources of energy to meet our demands. By embracing and fulfilling its renewable energy potential, the UK’s public sector has the opportunity to not only demonstrate strong leadership domestically, in the fight against climate change but it also has the opportunity to set the standard for public sector organisations to follow globally.  Here at Allen & York we have almost 20 years of experience within the Sustainability industry, we recruit Energy sector professionals at all levels for both private and public sector organisations, nationally and internationally”.

It is clear that sustainability and environmental considerations are playing a bigger role in outsourcing energy procurement decisions.  Looking at the economic reasons for the move to sustainable energy procurement – large cost savings can be made by establishing a robust and effective energy management policy.  In addition, the development of the CRC scheme and PGEP stresses the importance of reducing carbon emissions and encourages public sector establishments to improve their energy efficiency, and ultimately save money, something which is particularly relevant today, as the public sector cuts begin to take shape.

Allen & York are a leading international Sustainability Recruitment consultancy, offering jobs in Environment, CSR & Sustainability, Renewable Energy and Carbon Management, plus Health and Safety Management. 

To explore the latest career opportunities and Allen & York’s services to employers, please visit the website at: http://www.allen-york.com

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