Strategic energy procurement & funding services
With ambitious government targets for 2050 Net Zero carbon emissions across all sectors, including the academy one, we all have a role to play.
There are carbon reporting responsibilities in the form of Streamlined Energy Carbon Report (SECR), where trusts will need to baseline and report future measures taken to reduce their carbon emissions.
Government and market routes for the funding of sustainable renewable energy installations are also available to help meet these targets.
All of this activity within an unregulated energy market.
1. Energy Procurement
The academy school sector operates within the commercial arena and as a result, are not afforded the protection from Ofgem in this unregulated marketplace.
Whether through local authority frameworks or via the unregulated energy broker, the vast majority of energy contracts are procured without meeting ESFA guidelines on “strong governance and good financial management.”
The lack of visibility over the tendering process fails to meet the most basic of procurement best practice rules, leaving schools with no cost certainty, limited control over the start and end dates of the contract and all too often only an ‘agreement’ between the school and the broker as opposed to a physical contract with its terms and conditions between the school and the energy provider.
Schools need a trusted and transparent broker who will secure the best and most appropriate contract based on your future energy strategy, one that is very likely to include installing new renewable energy measures.
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2. Energy Usage
Due to the opaque nature of the energy market, schools are not always afforded visibility of where, when and how their estate uses its energy.
By installing ‘loggers’ orsub-meters to record the data of energy use, it is possible to identify where and when buildings are being lit and heated when they do not need to be.
Very simple adjustments to programmes, installation of low cost sensors and other intelligent building systems can reduce carbon use and simultaneously, save on energy costs.
The data captured can simultaneously be used as part of the SECR and used as a baseline to measure future carbon reduction improvements.
3. Renewable Energy Options Appraisal
An energy audit can further be used to structure an options appraisal for potential renewable energy installations appropriate to each individual school.
Whilst Solar PV and LED lighting are likely to be relevant for the vast majority of schools, alternatively, a minority of school estates will have the available space for installations such a bio-mass boilers or be suitable for ground/air source heat pumps.
We will advise, recommend and provide you and your trustees with the evidence as part of your due diligence process.
4. Funding Routes
The renewable energy options appraisal will provide a list of appropriate installations and the funding of these measures can then be cross referenced with available and suitable funding routes.
SALIX Energy Efficiency Fund (SEEF)
Project value capped at £150,000 and came with a hierarchy of renewable funding measures. Short timeframe for heavily over-subscribed funding.
From April 2021, SEEF will be replaced by:
Public Sector Decarbonisation Scheme (PSDS)
£1 Billion made available for qualifying sectors with a focus on specific types of renewable installation such as Ground and Air Source Heat Pumps.
It is estimated that the school sector was awarded circa £30 million.
Operating Leases (OL)
Operating Leases offer schools the opportunity to use savings to offset upfront costs for installations such as LED lighting and Solar PV.
Power Purchase Agreements (PPA)
PPA’s offer zero CAPEX & OPEX for the life time of the Solar PV installation. Academy Trust Handbook compliant.
Warneford Consulting and our accredited and approved specialist energy services partners can advise you on your funding routes, collect the data required to prepare a submission and provide you with all necessary support.
“The trust are delighted to have been awarded CIF for the renewal of much of the school’s life expired roofing. The trust were very happy with the scope and all round quality of the bid. We are now using Warneford Consulting for energy related services too.”
Mark Stebon School Business Manager
“The trust is delighted with the recent solar pv installation and are looking forward to achieving both electricity cost savings and reducing our carbon emissions. Our thanks to all parties who have contributed to make this happen.”
Mark Midgley Head of School