Conducting an energy audit ahead of a refurbishment programme can help find ways to cut costs and boost bottom-line profits while doing something to help the environment.
One organisation which carries out such audits is the Carbon Trust, a government-funded organisation that aims to help businesses cut their carbon emissions and be more efficient.
The trust also offers interest-free loans and a host of other services such as consultancy, design information, technical drawing/modelling and training programmes. It will even compensate you if your staff have to take time off work to support its technical team.
According to the trust, a well-planned refurbishment can reduce energy use by up to 40%, and upgrading to equipment that's more energy efficient can trim more than 20% off a company's energy bill.
The savings can be significant, resulting in a relatively swift return on investment (ROI). When the Carbon Trust carried out an energy audit on the Best Western Deans Place hotel in Alfriston, East Sussex, for example, it identified possible utility savings of £19,100 a year, representing a 44% reduction in spend. While this required an investment outlay of £25,530 it still meant that the hotel would receive a full ROI in about 17 months, and the bulk of the money was provided in the shape of an interest-free loan from the trust.
Another benefit of pursuing energy-saving projects is they qualify for tax relief under the Enhanced Capital Allowance scheme (go to www.eca.gov.uk for more details).
Some savings cost nothing. The trust advisers identified a potential £990 saving to the hotel simply through turning off equipment. Another quick win is to replace regular lightbulbs with those designed to save energy. Such lightbulbs also produce less heat, which reduces the need for expensive air-conditioning. Other energy-saving measures, such as replacing old, inefficient boilers with modern models, have the added benefit of freeing up space.
To qualify for help from the Carbon Trust, businesses should have a strong desire to implement low-carbon technologies and operational methods.
Source: Caterer & Hotelkeeper magazine, 14 April 2005