NHS Trusts' CRC liability may exceed £26m for 2012

Published on Tuesday, 06 December 2011 11:11
Posted by Scott Buckler

NHS Trusts' face a potential CRC liability exceeding £26m by mid-2012.Trusts are obliged to purchase allowances to cover their emissions from the preceding April to March compliance year i.e. 12 months to March 30th 2011

Allowances, set at £12/t and with NHS trusts reporting a combined total of three million tonnes of carbon dioxide, the average liability exceeds £200,000, creating a significant budget management issue for many trusts.

But, according to NHS sustainable development unit data, 65% of this cost could be averted by focusing on available buildings-emissions reductions.To help combat your liability, Envido’s opportunity division provides the following short, medium and long term advice:

1. Short-term actions: with less than four months of the compliance remaining non-CAPEX measures  are the only real alternative that will impact the volume of allowances you’ll need to buy in 2012. This effectively means focusing on  staff engagement initiatives as they are quick to set up and can make a 10% dent in total energy consumed if implemented professionally. Activity should look to educate and change behaviour around heating controls during the winter months as this will deliver the greatest energy saving benefit to you. Installing metering, an early action metric will not generate a benefit on the CRC league table anymore as it is effectively frozen, but we highly recommend sub-metering as fundamental building block that will enable you to target energy saving effort and measures and act as the basis for medium term energy reduction planning.

2. Medium term actions: Consider projects that will deliver the optimum kWh abatement per pound of expenditure to optimise year-on-year carbon savings. Your energy action plan may include a mix of significant projects such as CHP installation alongside low-cost projects that provide more rapid paybacks such as BMS scheduling and boiler optimisation project to make sure the carbon reduction trajectory stays delivers annual benefits to your emissions profile.

3. Long term actions: Larger more strategic issues should address how your Trust will decarbonise from its operations to meet the 2050 targets.  Here you’ll need to consider green procurement and renewables feasibility and installation should be considered as part of a wider reduction plan.

Source: Envido


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