Ships Compass

renewable energy operation

As an alternative to, or supplementary to carbon offsetting have you considered setting up a renewable energy operation in the form of an energy services company or ESCO, with the aim of exploiting the renewable energy potential of your estate while also recovering costs by selling excess energy to your supplier? Seen until recently as the province of the largest businesses, the renewable generation route, using for example medium-sized (50-250kWp) wind turbines, is now becoming commercially more sound for SMEs as conventional energy prices rise. While many large-scale schemes are stuck in the planning process for several years to the frustration of wind developers, the planning cycle for medium-scale schemes is more likely to be measured in months. An ESCO invests in installing generation capability on your sites, recovering its return over time by selling the electricity generated back to your business (the most cost-effective option) and, when supply exceeds your business's demand, to a Public Electricity Supplier via the grid. Working in partnership with consulting engineers, we will assess the potential of your site and generate a business case for setting-up the ESCO. We will advise on the commercial relationship between your company and the ESCO. This means - choosing how much, if any, ownership of the ESCO you wish to take; - deciding whether you want free or low-cost renewable energy as part of the return on an investment in the ESCO, or whether you prefer to minimise this initial investment (and risk) but pay a higher price for the energy generated on your sites. Using scenario analysis based on the initial business case, we will advise you on these trade-offs, and where required we will identify and introduce potential finance and engineering partners to join you in setting the ESCO up.