A new report released by Energy UK today highlights the pressing need for enhanced support and guidance to assist small and medium enterprises (SMEs) in reducing their energy expenses by embracing energy efficient practices and adopting low carbon technologies.
Titled ‘Small Business, Big Impact,’ the report identifies the challenges faced by SMEs as they aim to transition to more sustainable energy practices, including improving energy efficiency in their premises and electrifying their fleet vehicles.
In the report, several recommendations have been put forth to support SMEs in their efforts to reduce energy consumption, adopt low carbon technologies and meet ambitious energy efficiency targets.
Firstly, the report suggests collaboration between the British Business Bank and the UK Government to establish a cost-effective loan scheme for SMEs interested in investing in low carbon technologies and energy efficiency measures.
The report further calls for a comprehensive review of the UK’s fiscal policies, including capital allowances, business rates and VAT regimes, to ensure they align with the government’s 2030 targets for minimum energy efficiency standards in non-domestic buildings and the phaseout of internal combustion engine vehicles, in line with the Zero Emission Vehicle mandate trajectory.
Moreover, the report recommends making smart meters mandatory in new non-domestic buildings by updating the Building Regulations.
Another key proposal is to strengthen the Energy Savings Opportunity Scheme by mandating action on audit recommendations for participants and potentially extending the scheme to include medium-sized companies.
Charles Wood, Deputy Director of Policy at Energy UK, said: “The energy industry is stepping up its support for Britain’s small businesses facing high energy prices, but a concerted approach is needed in partnership with the government to remove barriers to SMEs choosing when and how to invest in low carbon technologies, helping them to decarbonise their demand and reduce their energy bills in the long term.
