NHS Trust to save over £1m a year in energy savings with help from British Gas
Published: 11 August 2014 - Marianne Evans
St. George’s NHS hospital will save more than £1m a year on their energy bills thanks to a new long-term partnership with British Gas. Low carbon technologies will be installed at the hospital as part of an Energy Performance Contract that will reduce energy spend by 25% and cut over 6,000 tonnes of carbon emissions per annum – equivalent to removing over 3,000 cars from the road.
The project will be delivered by British Gas and London-based partner Breathe Energy, using the best available technology which will include combined heat and power boilers, absorption chillers, solar photovoltaics, steam system modifications and a range of heating, ventilation and air-conditioning modifications.
The agreement marks the second largest EPC delivered through Essentia’s procurement framework. The value of the EPC is one of the largest for any London-based NHS entity and one of the largest EPC health projects in the UK.
The hospital has benefited from an initial loan agreement with Amber Green, the infrastructure specialist which manages the London Energy Efficiency Fund (LEEF). The initial capital outlay of the project will be recuperated through savings made to the hospital’s energy bills, which British Gas guarantees as part of the contract.
Eric Munro, joint director of estates and facilities at St George’s Healthcare NHS Trust and St George’s University of London, said: “Both of the St George’s institutions are looking forward to enjoying the long term value for money and carbon reduction delivered by the British Gas energy performance contract, as funded by LEEF. In the current economic climate, it is vital that we maximise the resources that we are able to put into both patient care and student experience. We are also very conscious of our environmental footprint and this project will go a long way to reducing our carbon impact.”
Mike Chessum, head of energy construction services at British Gas, said: “Working alongside the St. George’s Healthcare NHS Trust, we have reviewed their estate and put in place a bespoke plan to help dramatically reduce energy costs and carbon emissions. These savings are effectively guaranteed by the contract and means the Trust can make a positive return on their investment. This is one of many EPCs that British Gas is working on with the NHS, demonstrating our commitment to reducing energy costs in the public sector.”
Leo Bedford, director of LEEF at Amber Green said: “We are pleased to have secured funding for another vital energy efficiency project which will bring significant benefits to a local London community. St George’s Tooting is the first NHS trust to receive LEEF funding, underlining the Fund’s support for a diverse range of projects aiming to reduce carbon emissions and drive significant savings across the Capital.”