Build Magazine September 2015

Build Magazine 26 Energy prices are a highly topical subject right now and there is little wonder why. As bills continue to rise across the country for homes and businesses everywhere, everyone is feeling the squeeze. But one industry that may be feeling it more than most is con- struction, given the large amounts of energy it must use in order to operate. There is no realistic way to avoid using energy and with ambitious government targets requiring an 80% reduction in greenhouse gas emissions by 2050, becoming more energy ef- ficient is certainly a top priority for building firms. An emergency Budget was delivered by the Chancellor of the Exchequer, George Osborne, in early July, and those who were watching in the hopes of hearing about energy were left a little empty handed. However, there was one rather significant announcement made: the Climate Change Levy will be scrapped. The Climate Change Levy (CCL) was a tax exemption incentive introduced for business- es, applied if their energy was sourced from renewables such as wind, solar and tidal. On the other hand, those who sourced their energy from fossil fuels were subject to paying the Levy. The removal of this charge means that those who source their energy from both renewables and fossil fuels will have to pay. All businesses and all sectors were subject to the Levy, providing a much needed incentive for more companies to become more energy efficient. But there is little doubt that it’s a tough time for the energy industry, with the highly publicised hike in prices and this scrap- ping of the Levy, it is little wonder businesses have been doing their best to curb their energy consumption, for the sake of their bills and the environment. But have their efforts been paying off? Who’s leading the charge? Every industry in the UK will use different amounts of energy, and the Department of Energy and Climate Change released a report earlier this year that revealed just how much energy different sectors consume. As expected, transport came out on top as the country’s largest consumer of energy, however the most surprising aspect of the report was those who came in second and third. Domestic was revealed to be the second highest user with 27%, with industry following in third with just 17%. No doubt many people would automat- ically assume that more energy would be consumed by businesses, but these figures certainly negate that view. In fact, it shows quite the opposite and that industries are leading the charge when it comes to being more energy efficient. Clearly, businesses up and down the country are taking bills and environmen- tal effects into their own hands. The dif- ferent measures being implemented can each have profound effects, from using more sustainable construction methods, ‘green-proofing’ offices or switching business energy tariffs. There’s certainly plenty of pressure being put on businesses, particularly those in the construction industry. If the targets of the Climate Change Act weren’t enough already, there is also a more pressing goal of a 34% reduction in greenhouse gases by the year 2020 to bear in mind. On top of that, the Energy Performance of Buildings Directive also announced that all new buildings being constructed were to be, by the end of 2020, “nearly zero energy”. An efficient future It appears to be good news all round for How is the Construction Industry Leading on Energy Efficiency?