Council in line to save thousands on annual energy costs

Mid Devon District Council is on track to save thousands of pounds on its energy bills and benefit from long term reductions to its carbon emissions and usage, thanks to a ground breaking initiative.

The council is set to save up to a third on its annual energy expenditure after installing a range of energy efficiency measures in a number of its corporate properties.

The upgrades are being provided by energy services company Anesco Energy Services (South) Ltd (AESSL) and will come at no upfront cost to the council.

The cost of the installation will be recouped by AESSL both through sharing a percentage of the savings generated on energy bills and through the government’s Renewable Heat Incentive (RHI) scheme. The agreement will run for 12 years, after which time the council will receive the full benefit of the energy savings generated.

National energy efficiency solutions company Anesco will manage the installations, which will be undertaken at the council’s head office building, a multi storey car park and three leisure centres.

Councillor Ray Stanley, cabinet member for housing at Mid Devon District Council, said: “This initiative will bring many immediate and long term benefits. There is no upfront cost to the council, so monies we may otherwise have needed for a project of this kind will now be freed up and any money earned through the scheme will also go straight back into the budget.

“The RHI payments we will receive for the introduction of a biomass boiler will offset the annual maintenance costs and the project will also relieve the council of the need to find and allocate substantial capital to replace end of life assets, a cost which could have run into the tens of thousands."

Adrian Pike, CEO of Anesco, explains: “The beauty of this model is that it is self-sustaining and enables organisations to install measures for long term gains, where they otherwise may have struggled for funding.

“It allows councils and other organisations to install efficiency measures at no upfront cost, while reaping the benefits of reduced energy bills and carbon emissions from day one. Then at the end of the agreement they will be left with a more efficient building stock.”

The measures to be installed will include a biomass boiler in one of the leisure centres, valve insulation and vending machine controls. Efficient lighting upgrades will bring major energy savings for the car park, while upgrades to the air handling units which circulate air and control humidity are expected to generate substantial reductions.

Adrian added: “Mid Devon is a forward thinking council and is already leading the way when it comes to its use of renewable technologies such as solar PV. These additional measures will help to make the existing buildings even more efficient, bringing substantial financial savings.”

Anesco Energy Services (South) Ltd is backed by the Ingenious Energy Efficiency EIS Fund.

James Axtell, investment director at Ingenious, the investment and advisory group that manages the Ingenious Energy Efficiency EIS Fund, commented: “Anesco Energy Services (South) Ltd is enabling Mid Devon District Council to cut the cost of energy for council tax payers at a time when any reduction in unnecessary expenditure is welcome.

"Ingenious is delighted to be involved with AESSL and we are looking forward to working with them over the long term as they roll out their common-sense offering across the country.”