EnergyPro Ltd and Low Carbon Hub lead new consortium aimed at boosting energy efficiency in Small and Medium sized Enterprises, SMEs.
Funded by the government’s BASEE competition , the partners will develop a new approach to delivering SME-friendly energy efficiency services. On progressing into the next phase of the competition, they plan to launch in Oxfordshire in 2020, with Low Carbon Hub hosting the first in a series of regional energy services companies or ESCO’s.
The new ESCO will offer guaranteed energy savings to SMEs and work with local contractors to deliver projects. Finance and insurance backing will make the projects low-risk and low-hassle for SMEs, who have traditionally found implementing efficiency and clean energy projects time consuming and uncertain. By focusing on SMEs’ specific and unique requirements, the consortium aims to dramatically boost uptake.
EnergyPro will develop the business model, marketing toolkit, financing and insurance backing, together comprising a new ‘ESCO-in-a-box’ system that can be adopted by local delivery partners throughout the country.
The consortium also includes: Oxford Brookes University’s Environmental Information Exchange, who have been working with Oxfordshire’s SMEs for many years; Switzerland’s BASE, who have successfully developed insurance-backed energy efficiency schemes in Europe and South America; and Huber Dixon Insurance (Energy Group) who provide specialist energy efficiency performance insurance.
Alex Rathmell, EnergyPro’s Managing Director for Consultancy and the ESCO-in-a-box Project Manager, says, “We’re very excited to be working with Low Carbon Hub and our other partners on this project. The EnergyPro team have set up and run several energy services businesses, and we now helping similar companies with finance and strategy. So we know what it takes to make energy efficiency an attractive proposition. This project is a great opportunity to put our experience into practice, and the partnership with Low Carbon Hub gives us a perfect route to market.”
The consortium is undertaking a detailed feasibility study until the end of November 2019, and building a pipeline of Oxfordshire SMEs who wish to participate in the pilot.
EnergyPro’s Managing Partner, Steven Fawkes, says, “The EnergyPro team has been at the forefront of energy services for many years and we believe that business model innovation is needed to unlock the full potential of the efficiency resource. We are pleased to have the support of BEIS to enable us to develop a model that addresses the difficult problem of improving energy efficiency in SMEs.”
Barbara Hammond MBE, Chief Executive at Low Carbon Hub, says, “We’re really pleased to be a part of this exciting project that has the potential to significantly increase the number of SMEs embarking on energy improvement measures. Improving the energy efficiency of our homes and businesses is at the heart of our vision for a better energy future, and it’s great to be part of an expert team to further deliver this aim.
It’s particularly exciting to be launching the pilot in Oxfordshire which is at the forefront of so many innovative businesses, home to hundreds of thriving SMEs, and is taking a lead on tackling climate change. Over the years we’re proud to have built up a strong network, along with our partners at Oxford Brookes University, with the business community and we look forward to working with them on this project.”