Government gears for launch of ‘business friendly’ Renewable Heating Incentive

The price of energy increased notably over 2013’s winter months – whilst energy providers profited, many business and home owners buckled under the burden of hefty payments. In reaction, the government has put plans in action for the late-Spring launch of a Renewable Heating Incentive (RHI) aimed at cutting energy bills as well as CO2 emissions (the heat used in homes, public buildings, businesses and factories account for half of all the UK’s carbon emissions).

The scheme (covering England, Scotland and Wales) is an effort to diversify the UK’s energy supply in the face of the threats and challenges emanating from climate change; it will provide long term support for renewable heat technologies, from ground-source heat pumps to wood-chip boilers. And the RHI has business owners (both big and small) in mind. Not only is the scheme environmentally friendly (using solid biomass in place of fossil fuel can reduce harmful CO2 emissions by as much as 90 per cent) but it is also financially attractive, flexible and on a practical level, relatively easy to build into a building’s existing energy arrangement.

So, the question: if you buy into the RHI, what does it mean for your business? – How will it save your business money? And what practical steps need to be taken to implement the scheme?

Mike Hefford, Head of Renewable Technologies at Remeha Commercial, says that biomass heating offers significant fuel cost savings of between 50 to 80 per cent when used as an alternative to heating oil, LPG or electric systems. Hefford explains as follows:

Commercial end users can benefit from up to 8.8p/kWh of heat generated, depending on the size of the biomass system. The rate for large biomass plants of greater than 1MW has also recently doubled to 2p/kWh (although payments of other sizes remain unchanged). Tariffs for domestic biomass have also been confirmed at 12.2p/kWh from spring 2014. Payments, administered by Ofgem and made quarterly over a 20-year period, equate to around 15 to 20 per cent return on investment. The Government has recently introduced a degression mechanism that will trigger an automatic fall in tariff levels for biomass installation smaller than 1MWh once 120% of expected deployment is reached. This does not apply to biomass installations of 1MWh but, under the RHI, this capacity and above will be required to report quarterly on the sustainability of their biomass feedstock.

In translation: the RHI implies lower operational costs and savings for faster payback. Hefford argues that of all the possible renewable heating solutions for commercial and industrial applications, biomass is likely to bring the most important benefits and savings. Something that must, however, be noted that switching to a renewable heating system will cost you money. According to Hefford, while biomass heating is a mature, proven technology, as with all technologies it pays to employ the experts to design the appropriate low carbon system for your particular needs. In light of which, perhaps you’re a business or organisation that is interested in taking part in the scheme but are unable to raise the initial capital cost?

Firstly, the point of the RHI is to support the industrial and commercial sectors as it is these sectors provide the most cost effective way of increasing renewable heat. It is therefore crucial that renewable heat becomes a viable option for businesses. The Government expects that the RHI will stimulate the market to provide a number of different financing options, which could cover both the capital costs (e.g. cost of installing the equipment) and ongoing operational costs (e.g. fuel costs) for the lifetime of the installation. Possible finance models include:

  • Energy suppliers – providing renewable heating as an option alongside their current package of services.
  • Banks and other lenders – lenders to finance upfront capital costs for an assigned proportion of the RHI through a contractual arrangement.
  • Energy service companies – a combination of local authority, community and energy company expertise in a body that provides a finance package to deliver renewable heat technologies using RHI payments.
  • Public sector financing – local authorities are potentially able to take advantage of economies of scale.

Applications to be part of the Non-Domestic Renewable Heat Incentive, and for financial support, should be made online (to Ofgem) and can take up to six weeks to approve, depending on the complexity of the proposed heating installation. – CLICK HERE for more information, and to apply for the RHI.

If you’d like further information on the Renewable heating Initiative, feel free to contact the CH Systems team on 0208 302 8149 or info@chsystems.cc.

Sources: Gov.uk – “Renewable Heat Incentive”; Remeha.co.uk – “Turning up the heat for biomass”

Why accurate metre readings will cut business costs

One way to reduce your business overheads is to provide accurate readings from your energy meter – both gas and electricity.

Reading a meter is a quick task that might seem menial and is thus easily overlooked but if you do not supply meter readings, your supplier will work out your bill according to an estimate. Estimates are normally quite accurate but accuracy is preferable, especially when you are paying for it.

If you, the business owner or manager, are in control of the supplied readings, you’re sure to be paying only for the amount of energy you use. You’ll get up to date, accurate energy bills, without the risk of paying too much or too little (which can come along with an unwelcome surprise!).
Another good reason to submit regular meter readings is that you’ll be immediately aware of anything strange going on with the appliances that fuel the energy used by your business – perhaps your boiler is faulty or the lights are being mistakenly left on, or the like, resulting in an unusual reading, which affords you the opportunity to figure out the problem and correct it timeously.

The easiest way to submit a meter reading is online but it can be done over the phone as well (although we all know how annoying being placed on hold over a busy line can be). If there is just no way that you can allot time to meter reading, a good solution is to appoint someone to be in charge of energy consumption – and then you get the result without the hassle.
And if your micro-business does not have the time or spare bodies to read meters, what about a smart meter?

A smart meter is a ‘next generation’ energy meter that will send electronic meter readings to your energy supplier automatically – for both gas and electricity. Some of them even come with ‘in-house’ displays that give you real-time feedback on your energy usage and what it is costing, allowing for better oversight and management of your energy use.

Although the smart metre itself won’t save you money, it will save you the time it takes to submit an accurate meter reading – and it is this accuracy that will reduce your business overheads.

Your energy supplier will outfit your business premises with a smart meter, so give them a call to find out whether they are doing smart meter installations as it’s a relatively new scheme.

For more information, feel free to contact the CH Systems team on 0208 302 8149 or info@chsystems.cc

Flood safety – advice on how to keep your boiler intact

The wettest January since records began in 1766 has seen unprecedented flooding all over England. According to the Environmental Agency, since the beginning of December 5,800 homes and businesses have flooded – as reported by bbc.co.uk. Thankfully, the waters seem to have abated (although the bad weather is by no means over) and homes and businesses are cleaning up the damage.

Devastating flood scenes have left boilers and central heating an afterthought but the truth of the matter is that water and electricity are not compatible. If your business is located near floodwater and the risk of flooding is high, it’s probably best to turn off all electrical devices (before the flood waters enter the property) – remembering that your boiler will also turn off (most requiring an electrical connection to function) and thus central eating will be inoperable.

The safe operation of boiler systems is impacted when the electrical systems, controls and safety devices become inundated with water. In extreme cases such events can partially or totally submerge these systems causing malfunction or catastrophic consequences. So, although inconvenient, it’s best to just turn the electricity off to subvert any potential damage that may be done by floodwaters.

Some other safety tips are:

  • Don’t touch any electrical appliance whilst standing in water (to avoid electric shock).
  • Once the floodwater has subsided, before your electricity is turned back on the electrical system must be checked by an electrician, and the heating system should ideally be isolated until a full safety check can be conducted by a Gas Safe engineer.
  • And what about your boiler? Paul Hardy, Managing Director at Baxi, says that as a general rule, all the electrical components of the boiler should be given a once over and engineers should check the PCB for any damage or debris before conducting a full system check.

It’s important for businesses to practice ‘boiler safety’ so that minimal water damage is caused (saving money and insurance hassle) and employees and business patrons can work in a safe environment.

For any information, especially in light of recent flooding, please feel free to contact the CH Systems team on 0208 302 8149 or info@chsystems.cc

Source: hpvmag.co.uk – “What to do during the floods”

How powerflushing can make your heating service more efficient as well as save your business money

Have you noticed cold areas on office radiators, excessive noise from the boiler or the heating system pump, cloudy tap water, discoloured water when bleeding the radiators and (or) the slow warming of the heating system in general – all of which disrupt not only productivity but the general cadence of a typical working day?

If so, your heating system might be due a powerflush.

A powerflush is a cleansing process used to remove corrosive elements from a central heating system to prevent damage to the system and its components. It’s the rapid movement of water through the heating system, aided by the use of super strength cleaning chemicals (including sludge crust breaker, descaler and corrosion inhibitor), to remove deposits.

Unblocking pipes and clearing sludge minimises corrosion by constraining the build-up of debris (limescale, rust etc.) and inhibiting the growth of microbiological organisms, which will improve the efficiency of your central heating system – radiators swill be hotter and will warm up quicker, employees won’t cringe when filling the kettle with water to make a warm drink and you’ll be able to have a meeting or conduct a phone call without the intrusion of a rowdy boiler. Pumps will also last longer and radiators will have an extended life if there is no corrosion present and suitable corrosion inhibitors are used.

A system that is longer lasting and less likely to break down will result in reduced running costs, saving your business money.

Powerflushing a heating system can take up to six hours, sometimes longer if deposits are extreme, and the cost will depend on the size and location of the system.

For more information, feel free to contact the CH Systems team on 0208 302 8149 or info@chsystems.cc

Track your energy usage with power supply e-tracker – it could save your business money!

Winter is in full swing and businesses are all about cutting energy costs, especially with recent price hikes in mind. For many businesses energy usage increases significantly during the cold months of December, January and February – to give you an idea of the typical seasonal energy consumption for the retail, manufacturing and office industries during the winter months, check out the following statistics (courtesy of British Gas):

Retail: the average monthly consumption of a hardware goods retailer with average annual dual fuel usage of 210MWh showed:

  • 40% increase in gas usage from autumn to winter.
  • 30% of annual gas consumption and 25% of annual electricity consumption occurs in winter.

Manufacturers: the average monthly consumption from an industrial component manufacturer with average annual dual fuel usage of 165MWh showed:

  • 70% increase in gas usage and 38% increase in electricity usage from autumn to winter.
  • 51% of annual gas consumption and 39% of annual electricity consumption occurs in winter.

Offices: the average monthly consumption of 25 offices with an average annual dual fuel usage of 1.6GWh showed:

  • 63% increase in gas usage from autumn to winter
  • 50% of annual gas

If the aforementioned statistics are a taken as a reliable representation of commercial energy usage across the country, the increases in all industries are significant during winter, which places heightened significance on the accuracy of metre readings.

The press recently reported on a company that saved £65,000 in a week as a result of faulty metre readings; suspecting something amiss, said company installed a Marshall-Tufflex Sinergy e-Tracker sub-metering unit to get an in-depth view of its energy usage over one week. When the stats were examined the company discovered its electricity meters were making incorrect readings. The matter was taken up with the power supplier and a refund of £65,000 issued along with an assurance that future bills would be correct – as reported by HPV Magazine.

The Sinergy e-Tracker might be worth considering if you’re keen to confirm the readings being put out by the metre currently measuring your business’s energy output.

The Marshall-Tufflex Sinergy e-Tracker sub-metering unit is a portable kWh meter allowing users to monitor incoming power supply, specific circuits/equipment etc. to show the pattern of demand over an hour, day, week or month.

The unit utilises non-invasive clip-on transducer (CT) clamps that are quick to install and do not require power being turned off. They are magnetic-backed so attach easily to switch boards making them perfect for temporary monitoring. The e-Tracker measures current from 10Amps to 2500Amps, and offers 16 days of battery life or runs off mains supply. Other features include pulse input, optional voltage connections, CT amps range indicator and EV-Trac electrostatic phase identifier.

To find out about the Sinergy e-Tracker, visit Marshall-tufflex.com.

And For more information, feel free to contact the CH Systems team on 0208 302 8149 or info@chsystems.cc.

Five energy-saving tips that will help your business cut costs this winter

The recently announced energy price hikes have sent Britons into a state of slight panic as homeowners and commercial enterprises rack their brains for ideas on how to keep warm without bankrupting budgets. In fact, new research by Bristol-based sustainability company Sustain has revealed that 90 per cent of British consumers are concerned about increasing energy prices this winter.

And if you’re a business owner the stress is likely to be more severe: taking measures to curb costs (like simply turning heating off and throwing on a few jerseys) is just not feasible because if your office is cold, productivity will decrease – the same goes for factories and warehouses; and when it comes to restaurants, shops, hotels or churches, if people don’t feel that warm blast of air emanating from the doors of your establishment, chances are that your enterprise will be a few customers short.

So, the heat has got to be on and the money has got to be spent.

But there are ways to do so efficiently! Here are five tips on what you can do to save your business money this winter:

      • Control your heating system: turn heating (as well as other energy-consuming appliances – lights) off when premises aren’t in use, and reduce heating in areas that aren’t people populated.
      • Contain heat: when heating is on, make sure windows are closed and when the sun goes down close blinds and curtains to prevent heat from escaping through the windows.
      • Consider insulation: insulating windows, walls, pipes and boilers might be an initial expense but could save you money in the long term. There are also some local authorities that offer incentives for businesses that wish to insulate their premises – definitely something worth checking out if you’re keen on the idea.
      • Service boiler system and replace old equipment: inefficient heating equipment will cost your business. Old boilers are reportedly 65 to 70 per cent efficient; a new boiler should up efficiency levels to 90 per cent. There are government schemes (the Green Dead and the Enhanced Capital Allowances scheme) that offer incentives for the installation of energy efficient equipment. Otherwise, just make sure that your boiler is serviced yearly, enabling your heating contractor to find and fix any faults.
      • Position thermostats with care: in other words, not in draughty areas or areas with uneven temperatures (in direct sunlight or near machinery that gives off heat).

Reducing heating by a mere 1 per cent can cut costs by 10 per cent, which is a great incentive for further advice on how your business can get the best out of its boiler.

For more information, feel free to contact the CH Systems team on 0208 302 8149 or info@chsystems.cc

British-made bathroom fittings come out top!

If you’re looking for a commercial plumbing service to work a job on any bathroom unit(s) located on your business premises, you’ll be interested to know that the majority of tradespeople favour British-made bathroom fittings.

New research by Ukbathrooms.com has revealed that 47 per cent of tradespeople – who work with bathroom fixtures and fittings on a daily basis – believe that the UK produces the most reliable bathroom fittings and products. China ranked second on the ‘reliability-o-metre’, with 19 per cent of the votes, and Germany was third with 13 per cent of the votes.

Those tradespeople using British-made bathroom fittings felt that over and above being reliable, the products have better longevity and many preferred the design and style of the British products to those manufactured elsewhere. The British-loving plumbers who took part in the study also said that when issues arise with British bathroom fittings they tend to be easier to fix than ‘outsider products’ and that Replacement fittings are easier to source if they are ‘home-grown’.

Of the 1000+ tradespeople surveyed, 62 per cent definitely take into account where a product is manufactured before buying and 38 per cent claimed not to care “as long as it did the job”.

This is all very relevant information if you are having a plumbing job done on your property.

Reliable fittings are the most cost-effective option, as they last longer and are easier to fix or replace if necessary. It might be worth your while asking your pluming service what fittings it prefers, and why. After all – it’s your business and you are the one paying for the work (and goods), so don’t feel awkward getting involved!

Always ask questions – any good industrial plumbing service provider will be happy to answer.

For more information, feel free to contact the CH Systems team on 0208 302 8149 or info@chsystems.cc

Businesses cut water bills by recycling ‘greywater’ with new product

Statistics say that water bills are rising 5.5 per cent each year, for both consumers and businesses – which is why more and more commercial enterprises are considering ‘greywater’ recycling as a way of reducing water bills.

‘Greywater’ is the water that comes from sinks, showers, tubs, and washing machines, which usually contains traces of dirt, food, grease, hair, and certain household cleaning products. Greywater is not water that comes from the toilet or has come into contact with faecal matter from nappies (for example) and the like. In other words, it’s water that appears dirty but is ‘safe’ to use for irrigation purposes – in soil and on plants (as long as there is nothing toxic in the water – bleach, shampoo, bath salts etc.).

Which is great but if you’re running a business it’s not always easy to ensure that chemicals are kept out of the water for the sake of recyclability – especially if you’re running a hotel or B&B, or perhaps managing a care facility, restaurant or hair salon. And if you are able to control what goes down your business sink, maybe you have no garden in which to pump the used water. But there is another way to recycle greywater, other than for irrigation purposes – and that’s to use it in flushing toilets.

Water and heat recycling company Reaqua Systems has a product range that collects waste-water (greywater) from sinks, baths and showers and recycles it for use in flushing toilets – thus reducing water consumption by 30 per cent!

Reaqua Systems’ reAqua Unit takes all greywater waste and redirects it through a compact reAqua filtration unit, treating it with a proprietary disinfectant and then sending it on (via pipe) to supply all flushing water needs for multiple toilets. If one toilet is specified, gravity feed is sufficient. If two or more are connected, an electrically pumped feed is provided within the unit.

And if you feel like saving your business even more money, the reAqua+ Unit not only recycles greywater (thus saving on water bills) but reduces energy bills by recycling heat. The unit recovers the heat from the bath and shower water used, and transfers it to the building’s central heating system. The installation setup is similar, but it includes the addition of a heat exchanger located in the greywater storage tank. Recovered heat is transferred to the cold feed of a combi-boiler or hot water cylinder, reducing demand on the existing central-heating system.

The filter bag and proprietary disinfectant liquid that are installed with the units will need to be replaced annually (under normal circumstances) – which can be done at the same time as an annual service and should cost no more than £20.

With the energy and water recycling, your business is looking a 50 per cent bill reduction, which is a huge money saver!

To find out more about these products, visit Reaquasystems.com and chat to your plumber about installation probability and costs.

For more information, feel free to contact the CH Systems team on 0208 302 8149 or info@chsystems.cc

Carbon monoxide alarm law change in Scotland could spread through UK

If you’re a commercial property owner anywhere in the UK, you’ll be interested to know that as of October 1 (2013), Scottish building regulations will require carbon monoxide alarms to be fitted when a new or replacement boiler or other heating appliance is to be installed in a dwelling and other buildings with bedrooms.

In translation:

If you run a hotel, a care facility, a Bed & Breakfast (or the like) in Scotland, you will be required, by law, to install carbon monoxide alarms when new boilers or gas appliances (heaters, cookers, fires etc.) are fitted in your property.

The aim of the change in legislation is to limit both the number of fatal and non-fatal CO2 related incidents by increasing the number of detectors in Scottish properties.

Combustion heating appliances fuelled by solid fuel, oil or gas can all cause carbon monoxide poisoning. The bbc.co.uk reports that at least 50 people die every year from carbon monoxide poisoning in the UK (many of the deaths avoidable), and there are also plenty who end up in hospital suffering the effects of CO2 poisoning.

The number 50 may not sound like a big deal when considering the 63 million people populating the UK but it’s still 50 too many.

The question is – how long before the rest of the UK toughens up its respective carbon monoxide laws?

Perhaps it’s time to think ahead?

If you were just about to contact your commercial boiler service to organise a heating installation it might be a good idea to get a CO2 alarm installed (if you don’t already have one) at the same time. You could be saving yourself effort (time and money) in the long run and, although the risk is small, in the name of safety it’s the right thing to do.

For more information, feel free to contact the CH Systems team on 0208 302 8149 or info@chsystems.cc.

Sources: bbc.co.uk – “Carbon monoxide alarm law toughened” and the safetycrew.co.uk – “Scottish law makes CO alarms mandatory with new boilers.

How your business can benefit from the Green Deal

The government’s newly imposed Green Deal has been making a splash in recent headlines. The idea behind the initiative is to make energy-saving improvements to your business (or home) without having to pay all the costs up front – with the ultimate goal of reducing carbon emissions on a nationwide scale.

Here’s the question: how can you, as the owner of a commercial property, benefit from the Green Deal?

The scheme aims to help you save money and improve your environmental performance by fronting the costs of building improvements that will enhance the energy-saving features of your property. Businesses are being encouraged to use the Green Deal as a way to invest in Green Technologies to help them save money in the longer term – it’s an initiative particularly relevant to businesses that are looking to make large scale improvements, as there is no ‘upper cap’ in what companies can apply for through the Green Deal.

So, in a nutshell: loan the money (rather than save for years and rack up energy costs while you do it), make energy-saving improvements to your property, pay the money back (with possible cashback incentive) but save in the long run.

Some of the energy efficiency improvements that qualify for Green Deal finance are:

  • Insulation – e.g. loft or cavity wall insulation
  • Heating
  • Draught-proofing
  • Double glazing
  • Renewable energy technologies – e.g. solar panels or wind turbines

Here’s how to start the process:

  • Get an assessment of your property to see what improvements can be made and how much you could save on your energy bills.
  • Use the assessment to apply for the Cashback scheme if your business qualifies.
  • Choose a Green Deal provider to carry out the work. You discuss with them what work you want done and whether the Green Deal is right for your commercial venture.
  • If you go ahead with the improvements you must sign your Green Deal Plan – this is a contract between you and the provider stating what work will be done and how much it will cost. The provider will then arrange for a Green Deal installer to do the work.
  • Once the work is done, you’ll pay off the costs will be repaid through the energy bill related to the property.

And an fyi: the Green Deal operates according to a golden rule, which says that “The expected financial savings must be equal to or greater than the costs attached to the energy bill.” There is other fine print, which can be read up on greendealinitiative.co.uk.

To find out if the Green Deal is something that might be beneficial to your business in terms of cutting energy costs, download (and read) “Which Energy Improvements Qualify For Green Deal Finance?”, compiled by the Department of Energy & Climate Change.

For more information, feel free to contact the CH Systems team on 0208 302 8149 or info@chsystems.cc