Scottish Energy Efficiency Office The Scottish Energy Efficiency Office Peter Cullen

Scottish Energy Efficiency Office SCOTTISH EXECUTIVE'S SUSTAINABLE DEVELOPMENT POLICY "We have concluded that our main priority areas are: Resource use: Resource use: we need to understand where our materials come from; how they are replaced; what happens to the community which supplied them; how they were brought to our use; what we did with them and how they went to their next use. Energy: " the excessive use of fossil fuels is at the core of many sustainable development problems. We can use less energy and generate power from renewable sources. " Energy: " the excessive use of fossil fuels is at the core of many sustainable development problems. We can use less energy and generate power from renewable sources. " We must ensure that the quality of our housing stock provides affordable warmth to the poorest in our communities. Travel:." Travel: moving people and goods, and delivering services generate transport demands. Better land use planning; alternative service delivery and sustainable transport systems can reduce our impacts." Jack McConnell, First Minister 2002

Scottish Energy Efficiency Office SCOTTISH CLIMATE CHANGE PROGRAMME Launched November 2000 Energy Energy Transport Transport Business Business Domestic Domestic Agriculture Agriculture Public Sector Public Sector

Scottish Energy Efficiency Office UK ENERGY CONSUMPTION Annual spend £65 billion Annual spend £65 billion Estimated that 20% (£13 billion) is wasted each year Estimated that 20% (£13 billion) is wasted each year In Scottish terms, in excess of £1.3 billion lost annually to the economy In Scottish terms, in excess of £1.3 billion lost annually to the economy Equivalent to 50% of the total income from North Sea oil or one third of the total tourism spend in Scotland Equivalent to 50% of the total income from North Sea oil or one third of the total tourism spend in Scotland

Scottish Energy Efficiency Office PIU :ENERGY REVIEW PIU :ENERGY REVIEW White Paper in February, key Issues – Energy Efficiency should be at the centre of any low carbon strategy – Much can be achieved at very low cost with minimum regrets – The long term potential for improved energy efficiency is significant

Scottish Energy Efficiency Office Potential impact of incremental low carbon technologies in the UK to 2050 Energy Efficiency : The fast lane to a low carbon economy

Scottish Energy Efficiency Office CURRENT BUSINESS PERCEPTIONS B usiness customers view energy and environment as a business issue rather than an environmental one. B usiness customers view energy and environment as a business issue rather than an environmental one. The "Save the Planet " message does not play well with this audience. The "Save the Planet " message does not play well with this audience. The manufacturing sector see CCL as just another burden on business The manufacturing sector see CCL as just another burden on business Of the 34% of small businesses paying CCL, 88% are losers. Of the 34% of small businesses paying CCL, 88% are losers.

Scottish Energy Efficiency Office BUSINESS AND SUSTAINABLE DEVELOPMENT " " It is increasingly evident that business and industry's current patterns of consumption and production are not sustainable. Perhaps the single most influential factor that is beginning to emerge is the realisation that waste reduction, energy efficiency and pollution prevention make economic sense. Companies are beginning to understand that sustainability involves more than an ethical consideration - it can improve the bottom line and is an integral part of good business." The Smart Communities Network (USA)

Scottish Energy Efficiency Office WHY SAVE ENERGY? Government Strategy on Climate Change Government Strategy on Climate Change The Climate Change Levy The Climate Change Levy Insurance policy against rising fuel costs Insurance policy against rising fuel costs Improved environmental image Improved environmental image Increased profitability through better resource productivity Increased profitability through better resource productivity

Scottish Energy Efficiency Office Enhanced competitiveness and profitability Enhanced competitiveness and profitability Improve environmental performance Improve environmental performance Better Image Better Image Compliance with regulation Compliance with regulation Avoidance of fines Avoidance of fines Avoid constraints on future business growth arising from impact of climate change Avoid constraints on future business growth arising from impact of climate change HOW DO COMPANIES BENEFIT?

Scottish Energy Efficiency Office ENERGY EFFICIENCY – The bottom line Simple low cost energy saving measures can produce savings of 10-20% on fuel bills Simple low cost energy saving measures can produce savings of 10-20% on fuel bills 20% cut in energy costs can represent the same bottom line benefit as 5% increase in sales 20% cut in energy costs can represent the same bottom line benefit as 5% increase in sales

Scottish Energy Efficiency Office SCOTTISH ENERGY EFFICIENCY OFFICE ROLE ROLE – To promote energy efficiency and environmental management good practice to business and public sectors. – To help Scottish business in to be smart and successful KEY DRIVERS KEY DRIVERS – Financial savings – Competitiveness – Climate change

Scottish Energy Efficiency Office

SCOTTISH ENERGY EFFICIENCY OFFICE Funds Carbon Trust and Energy Saving Trust Funds Carbon Trust and Energy Saving Trust Promotes energy and environmental best practice Promotes energy and environmental best practice – Actionenergy Programme – Envirowise programme – Powershift vehicle programme – Free site visits to businesses – Seminars and workshops – publications

Scottish Energy Efficiency Office TARGET CUSTOMERS SMEs SMEs Key Industrial Sectors Key Industrial Sectors Public Sector Public Sector Domestic energy user Domestic energy user

Scottish Energy Efficiency Office WHAT CAN SEEO DO FOR YOU? Commission site audits by Energy Efficiency consultants Commission site audits by Energy Efficiency consultants Provide a programme of training seminars and workshops Provide a programme of training seminars and workshops Financial assistance (Loan Action Scotland) Financial assistance (Loan Action Scotland) Free Best Practice publications & case studies Free Best Practice publications & case studies Free Energy and Environment Helpline: Free Energy and Environment Helpline:

Scottish Energy Efficiency Office Case Study: Superglass Insulation Limited, Stirling On site advice from Action Energy + LAS interest free loan Total cost of measures £47,000 Measures taken by company Installation of a new compressor management system. Installation of a new compressor management system. Installation of 5 Air Knife systems. Installation of 5 Air Knife systems. Bypassing three air dryers. Bypassing three air dryers. Configuring the compressor management system to optimise use of the more efficient compressors. Configuring the compressor management system to optimise use of the more efficient compressors. Repair of compressed air leaks. Repair of compressed air leaks. Estimated energy cost savings: £128,000 annually

Scottish Energy Efficiency Office Case Study: Highland Galvanisers Limited, Elgin, Moray On site advice from Action Energy + LAS interest free loan. Total cost of measures £14,950 Measure taken by company Utility cost re-negotiation. Utility cost re-negotiation. Installation of retractable hose reels for compressed air and universal ball joint connectors to air tools. Installation of retractable hose reels for compressed air and universal ball joint connectors to air tools. Replacement of existing air compressor with new variable speed air compressor. Replacement of existing air compressor with new variable speed air compressor. Installation of an inverter and a timer to the galvanising bath extract fan. Installation of an inverter and a timer to the galvanising bath extract fan. Estimated energy cost savings: £21,000 annually

Free waste minimisation audit services Free waste minimisation audit services Specialist guidance and training Specialist guidance and training Fast track counselling visits Fast track counselling visits Best Practice publications Best Practice publications Practical case study examples Practical case study examples Promotional software for staff awareness Promotional software for staff awareness Helpline Helpline

FINANCIAL ASSISTANCE Interest Free Loan Administered through the Energy Saving Trust Interest Free Loan Administered through the Energy Saving Trust Applicable to Scottish based Companies Applicable to Scottish based Companies Must have up to 250 employees Must have up to 250 employees Must have been trading for over 12 months Must have been trading for over 12 months Loans to be used for the installation of energy efficiency measures Loans to be used for the installation of energy efficiency measures Loans are between £5,000 and £50,000 Loans are between £5,000 and £50,000

Scottish Energy Efficiency Office SEEO WEBSITE

Scottish Energy Efficiency Office Examples of recent SEEO Initiatives SCEDS now superseded by SCRI SCEDS now superseded by SCRI Launch of Autogas+ to augment Powershift programme Launch of Autogas+ to augment Powershift programme Establishment of a local network of SEEO project officers Establishment of a local network of SEEO project officers Environmental Management projects Allied Supplier Chain event and DEMI Environmental Management projects Allied Supplier Chain event and DEMI Working with partners: Working with partners: – Scottish Water – Scottish Whisky Association – Scottish Food and Drink Federation – Hotel and leisure sector – Scottish Enterprise network, – Federation of Small Business etc,

Scottish Energy Efficiency Office More examples of recent SEEO Initiatives Supporting uptake of energy technology, ground source heat pump, community heating and community renewables etc Supporting uptake of energy technology, ground source heat pump, community heating and community renewables etc Establishment of Energy Auditor and energy efficiency training at Stow College Establishment of Energy Auditor and energy efficiency training at Stow College Benchmarking work in the Further Education Sector Benchmarking work in the Further Education Sector

Scottish Energy Efficiency Office Information on the Web Scottish Energy Efficiency Office Climate change & Government climate change policy Customs & Excise CCL information Negotiated agreements Enhanced Capital Allowances Good quality CHP Renewable energy

Scottish Energy Efficiency Office Peter J Cullen Meridian Court 5 Cadogan Street Glasgow G2 6AT Scottish Energy Efficiency Office (SEEO)