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Green Energy Legislation – How your business can keep up
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Britain’s commitment to its net zero targets has been called into jeopardy in recent weeks. Internal divisions within the Conservative party have seen Rishi Sunak look to weaken some of the nation’s commitments to reaching net zero emissions.

However, evidence shows that customers remain more environmentally conscious than ever. A Deloitte survey found that 35% of UK adults were more likely to trust a business with a transparent, accountable and socially and environmentally responsible supply chain.

So, what can your business do to maintain or grow its sustainability credentials whilst staying in line with green and traditional legislation? The asset finance experts at Anglo Scottish Finance discuss some of the steps UK businesses can take to protect themselves against ever-changing legislation.

Why operating sustainably is more important than ever

In spite of the Conservative party’s stance on the nation’s net zero targets, strong green credentials remain crucial for businesses to appeal to an increasingly eco-conscious public. 29% of UK adults are likely to prioritise a business with a strong public perception, record and reputation around climate change and sustainability over a business without.

It’s not just B2C businesses that have grounds to be concerned. UK companies operating internationally should also be watching the situation closely. The new proposal threatens to undermine UK investment from abroad and weaken our international standing with clients and business partners alike, leaving business leaders furious and investors ‘spooked’.

The EU’s Carbon Border Adjustment Mechanism came into play in October 2023, creating a further divergence between the UK and Europe’s green legislation. EU companies are now responsible for compiling reports on the carbon emissions attached to certain goods, such as steel, aluminium and fertilisers.

So, though the British government may be content with relaxing our net zero commitments, UK businesses operating in Europe cannot be. The onus has been placed upon UK businesses to increase their sustainability credentials or risk being left behind.

Interrogate your operating practices

Companies looking to operate more sustainably are often faced with the initial challenge of identifying exactly where and how the company can become greener. Modern software solutions, however, are making this simpler.

Products such as Microsoft’s Sustainability Manager have given businesses the tools to interrogate their own working practices, acting as a hub for data intelligence from across the organisation. Allowing business owners to precisely calculate the sources of their emissions, this tool enables organisations to record, report and actively reduce their environmental impact.

This level of visibility is a huge benefit to businesses operating in a range of different countries. Even before the Prime Minister’s latest comments, concerns persisted about the UK’s failure to align its sustainability rules with the EU and US.

With the implementation of the EU green tax, international alignment of your business’s green policies is more important than ever. Sustainability Manager allows total visibility over emissions in an international supply chain, allowing your company to strengthen its foothold in the green economy.

Maximise your impact with collaboration – safely

This month, the Competition and Markets Authority (CMA) released new guidance to help businesses better understand how they can collaborate to meet sustainability goals without falling foul of competition law. The Green Agreements Guidance explains how competition law applies to sustainability agreements between firms operating at the same level of the supply chain.

Such examples might include farmers aiming to improve or protect biodiversity by reducing usage of pesticides, or fashion companies agreeing to stop using certain fabrics that contribute to microplastic pollution.

The impact that multiple businesses can have on the environment outranks that of a single business in isolation, so collaboration can be a strong route to improve sustainability practices – but it’s important to do so legally. The CMA has adopted an ‘open-door policy’ regarding business collaboration in the name of sustainability, so be sure to consult them before carrying out a project like this.

Avoid greenwashing – or pay the price

There’s no substitute for real, meaningful change. Given the importance of sustainability to the consumer, some less scrupulous businesses have been caught out by greenwashing – using unproven environmental assertions to sell products or enhance their public perception.

Earlier in 2023, the CMA were given new powers to impose direct civil penalties on companies who have been making misleading environmental claims. Your business could face fines of up to 10% of global turnover for breaches of consumer law in this manner – so any claims related to your business’s sustainability credentials must be thoroughly investigated before going public.

Support the sustainability push with external funding

In many cases, making your business more sustainable is an endeavour which requires significant operational change – and implementing such change can be a costly investment. Businesses should not be afraid of utilising external facilities like green loans or bonds to realise these changes.

Green loans and bonds are subject to an international standard known as the Green Loan Principles, which ensure the transparency of your borrowing and the environmental impact of your changes. This can protect your business against accusations of greenwashing and keep you focused on the task at hand.

Global green finance increased tenfold between 2012 and 2022, indicating just how many businesses are utilising external funding to become more sustainable. Don’t be afraid to explore your options – improving your sustainability credentials could be more achievable than expected.

Charlotte Enright, Head of Renewables at Anglo Scottish, commented: “In light of these changes to the UK’s renewable commitments, it can be difficult for UK businesses to keep informed on their responsibilities. That’s why it’s more important than ever for these companies to be proactive and drive change from within.”

Photo by Micah Hallahan on Unsplash

MAP seeks optimal energy performance for commercial buildings with new Framework
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The Managing Agents Partnership (MAP) has launched a transformative Managing for Performance Framework to drive optimal in-use energy performance of commercial buildings.

The Framework recognises the pivotal role that the property management industry plays in championing energy performance and fostering collaboration among property owners, facilities managers, occupiers, and suppliers.

Focusing particularly on multi-let offices, the Managing for Performance Framework has been designed in three key stages, offering practical guidance on: (1) assessing a buildings current performance relative to industry benchmarks and its own specification, (2) enhancing the management and operational aspects of a building for optimal energy performance, and (3) maintaining and achieving peak in-use performance, with a focus on identifying areas for strategic focus and investment to enhance building efficiency.

Designed to increase professional understanding, the Framework links to other BBP guidance including the BBP Responsible Property Management Toolkit, which offers additional practical guidance on embedding sustainability within property management.

The Framework has been co-created by the industry, for the industry, via a working group made up of MAP, BBP Members and technical experts to drive optimal in-use performance and reduce associated emissions. The BBP invites commercial real estate professionals to explore this framework to unlock the in-use energy performance potential of buildings under their management.

Sarah Ratcliffe, CEO of the Better Buildings Partnership said: “One of our key aims at the BBP is to develop common approaches, stimulating the property industry to deliver buildings that perform better. We are therefore delighted to launch the Managing for Performance Framework to the industry. By providing a structured approach and actionable steps, we hope this Framework will empower property managers to narrow the divide between the expected and actual in-use energy performance of buildings they manage.”

Vicky Cotton, ESG Director at Workman, Chair of the BBP’s Managing Agents Partnership, and Co-Chair of the Managing for Performance Working Group said: “The launch of the Managing for Performance Framework marks a significant milestone for the Managing Agents Partnership. There has been a growing need for guidance that can credibly support property managers in closing the performance in-use gap, so we are thrilled to have launched a Framework designed to meet that demand.”

Carl Brooks, Global Head of ESG – Property Management at CBRE and Co-Chair of the Managing for Performance Working Group said: “Property owners are increasingly setting targets for the energy performance of their assets linked to wider ambitions toward net zero. We hope this Framework provides Property Managers with practical guidance on how to assess building performance today, and clarity around where investment is needed to drive energy reduction and efficiency aligned with those ambitions.”

Photo by Sean Pollock on Unsplash

Need Energy Management solutions for 2024? FM Forum Recommended Supplier Directory can help!
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Looking for a new Energy Management supplier for your building, venue, school or company? The FM Forum Recommended Supplier Directory is home to dozens of trusted partners ready to help make your project a reality!

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Ofgem Strategic Innovation Fund (SIF) allocates £16 million to 36 ‘ground-breaking’ net zero projects
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Energy regulator Ofgem says 36 ‘ground-breaking’ projects have successfully secured a total of £16.09 million of next phase funding, as part of its SIF Round 2 Alpha competition process.

The Round 2 Alpha projects are led by energy network companies working in partnership with innovators and partner organisations. The successful projects will now take their initial ‘Discovery’ feasibility work to the next level, proceeding to ‘Alpha’ where they have up to £500,000 each to develop their concept in depth.

The SIF collaborates with network operators, industry, and academia to identify the most pressing challenges, providing strategic direction and focus to identify and drive the highest-potential projects and bring them to reality. The Round 2 Alpha projects are addressing some of the biggest challenges faced by the energy networks as they make the move to net zero:

  • How do we transition to net zero in a way that is just and fair for all parts of society?
  • How does Great Britain repurpose its energy systems to move safely and efficiently from fossil fuels to renewable energy?
  • As energy systems become more complex, how do we deal with increasing natural risks and other hazards?
  • How do we achieve government and industry targets for decarbonisation of major energy demands at the lowest cost to consumers, including the use of heat pumps in homes, and the move to electric vehicles?

Upon completion of the Alpha phase, projects will compete for third phase ‘Beta’ funding to produce demonstrator prototypes. The projects are aiming to go onto commercial development and could be implemented operationally in energy networks as early as the mid 2020s. They will play an important part in helping Great Britain achieve a safe, clean, low-cost energy future.

Marzia Zafar, Deputy Director of Digitalization & Innovation at Ofgem, said: “Innovative solutions that deliver resilience, reliability and affordability at pace are essential in achieving Great Britain’s target of clean power by 2035. This latest funding round will help innovators develop their ideas further and deliver the transformative technologies needed to drive forward the energy transition at least cost to consumers.”

One of the projects to be awarded funding is LEO-N (Local Energy Oxfordshire – Neighbourhoods) is tackling the challenge of reducing carbon emissions from major sources of energy consumption. Scottish and Southern Electricity Networks have pulled together a team to create a coordinated process to make it easier for homes, businesses, and communities to transition to using clean energy quickly, and on a large scale. Right now, there is no clear plan to help consumers make this shift, and a lack of the necessary infrastructure at the local level to support this transition.

To address this, LEO-N are collaborating with stakeholders to use an innovative approach that focuses on creating tools, business arrangements, and local government structures that will speed up the move to net zero. This involves identifying, installing, and funding a set of options, such as improved building fabric and smart technology, to reduce energy consumption. Without this coordination process the individual changes needed may not be compatible with each other, leading to increased costs and reduced effectiveness.

Another of the funded projects, Hy-Fair, will tackle challenges encountered by consumers, especially those in vulnerable situations, and small businesses requiring extra assistance in their shift towards environmentally sustainable heating solutions and other low carbon technologies.

The project, led by Southern Gas Networks, will establish the Hy-Fair Fairer Warmth Hub as a central environment equipped with specialised tools and customised guidance to empower community champions, individuals, and small businesses.

 The Fairer Warmth Hub’s Innovative features will include a streamlined system for consumers to access financial support, guidance and simplified access to resources, data analytics for precise planning, and community engagement tools. By fostering place-based approaches, Hy-Fair will encourage collaboration and help communities deliver a fair energy transition.

“Our project is more than just addressing challenges; it’s about transforming lives and communities. We’reexcited because, through the Fairer Warmth Hub, we’re not only providing vital support but also establishing an innovative framework that will be replicable nationwide. With streamlined access to resources, financial support, and community engagement tools, we’re paving the way for a fair energy transition that empowers everyone, especially those in vulnerable situations, and small businesses, to embrace sustainable heating solutions and low carbon technologies,”  said Stuart Sherlock, Innovation Governance & Performance Manager, Southern Gas Network

“The climate clock is ticking and the cost of living crisis is pushing people to their limits. SIF is on an urgent mission to support people, planet and business and these projects are a sign of hope in challenging times. Within this round 2 alpha portfolio we have some trail blazing innovators whose ideas have significant potential to save consumers money and reduce CO2 emissions, whilst also helping to turn the UK into the Silicon Valley of energy,” said Matt Hastings, Deputy Director, Ofgem Strategic Innovation Fund, Innovate UK.

The Strategic Innovation Fund is a five-year programme with up to £450m available to promote energynetwork innovation. A new round of the SIF begins each year and runs in parallel with the previous rounds. The competition for the third round of Discovery opened in September 2023.

Rye Memorial Hospital becomes first carbon neutral community hospital
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Rye, Winchelsea & District Memorial Hospital has become the UK’s first community hospital to achieve carbon neutrality. The installation of its new renewable systems was followed by confirmation from its electricity supplier that all power now comes from fully renewable sources such as solar panels and wind power.

This means that the hospital has reduced its carbon footprint by 100 per cent.

By the end of 2024, it is estimated that the overall energy consumption at Rye Memorial Hospital will have reduced by approximately 240,000 Kilowatt hours, a drop of 40 per cent from 2020 figures. The outcome is a total reduction of approximately 260 tonnes of carbon per annum, the equivalent of planting approximately 4,300 trees.

The project, commissioned in September 2021, has been designed and delivered by property maintenance specialists DMA Group and fully funded by the Rye Winchelsea and District Memorial Hospital charity.

Rye Memorial Hospital has replaced gas boilers with new electric flow boilers and calorifiers and replaced the kitchen gas fired equipment, eliminating the use of gas completely. The installation of internal and external LED lighting with automatic controls means energy is not wasted by leaving lights on. It is estimated that its solar roof panels will generate more than 70,000 kilowatt hours of electricity per annum.

The hospital has also installed nine Tesla Powerwall solar batteries (3 per phase of electricity) with a total storage capacity of 120 KW to capture all surplus electricity generated by the solar panels, reducing the demand for electricity from the external supply grid.

A full clean of the hospital’s heating system and the replacement of all radiator valves has ensured the heating system operates more efficiently. A Building Management System (BMS) used by the hospital’s inhouse FM team, and DMA Group ensures onsite and remote live operational monitoring of all plant and equipment, energy utilisation, building and water temperature.

This all ensures a better environment for patients and staff as each team can identify an issue before it becomes a problem.

Other projects have been completed as part of the Rye Memorial Hospital’s modernisation. These include:

  • The installation of solar blinds in the nurses’ station to help reduce glare and heat to create a more comfortable working environment
  • A new air-conditioning system in the nurses’ station
  • New air-conditioning units in the communications and medicine rooms reduce the risk of equipment failure and the overheating of medicines
  • Improvements to the hospital’s cold-water systems including the installation of a chemical dosing system and cold-water booster, increasing the water pressure in the hospital and reducing the risk of bacterial infections such as legionella

Barry Nealon, chairman at Rye, Winchelsea & District Memorial Hospital, said: “Our goal was always to become a fully functional net zero community hospital, but to have done it so quickly and as the UK’s first is beyond our expectations.  We had a mission to bring medical services closer to home for the benefit of our local community. To achieve this, we needed to reimagine our existing business models and aim for sustainable growth and a collaborative and experienced service partner like DMA Group to realise those goals, if we were to do our bit in curbing emissions and limiting global warming.”

The Project has been led by the Hospital’s former Chief Operating Officer (and now Trustee), Martyn Phillips, who has worked closely with DMA to ensure the best possible decarbonisation plan, and also to make sure that the replacement of life expired plant and equipment has ensured that the Hospital infrastructure will function effectively for the next 20 years.

Steve McGregor, managing director at DMA, said: “We are incredibly proud to have supported Barry and his team to help them achieve a national first — becoming a fully functional net zero community hospital. As has been the nature of this project in East Sussex, the net zero journey is one of continuous evolution and refinement and, equally, one that will lead to a more responsible and financially secure future.”

Aggreko raises concerns over National Grid’s winter plans
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Aggreko is emphasising the importance of diversifying on-site energy models to ensure resilience in the immediate and foreseeable future, following news that the National Grid will ask factories to voluntarily reduce electricity usage this winter to combat grid strain.

The Grid has urged heavy industry to sign up to an expanded version of the demand flexibility service previously targeted at households to lower demand and ease the pressure on the UK’s power infrastructure.

According to Chris Rason, Managing Director of Aggreko Energy Services, this latest announcement shows the importance of decentralised energy technologies in ensuring the manufacturing sector can continue operations unimpeded.

“This request from the National Grid is a troubling one – especially for manufacturers,” he said. “Energy scarcity is rapidly supplanting fluctuating power prices as industry’s chief concern. This is unsurprising – insufficient grid supply is an existential threat to day-to-day operations, and requests to cut back or shift energy usage to outside peak times are definitely worrying for manufacturers.

“The disruption that may ensue because of this will hold back the sector at a time when UK manufacturers are often at their busiest. More flexible approaches to powering factories, including on-site power generation, must be explored if British businesses are to remain competitive at home and abroad.”

Anticipated disruption to grid supplies is a key talking point in Aggreko’s latest report, The Race to Resilience. It identifies steps high energy users can take to safeguard power provision in the immediate future, and how other tools and services may help facility stakeholders to best guarantee long-term energy security. The report also explores how plants can reduce carbon emissions and transmission losses while boosting resilience against external events such as National Grid shortages.

“The expansion of the demand flexibility service is not enough in isolation where grid disruption is concerned,” Rason concluded. “Energy-intensive facilities should not wait for these infrastructure problems to get worse. While prohibitive up-front costs and supply chain disruption may make it more difficult for organisations to secure permanent installations, short- to medium-term hired power may provide a potential way forward.

“On-site energy generation technology continues to develop rapidly, and multiple options are now available to boost resilience. These solutions, including battery storage, combined heat and power installations, gas-powered generators and microgrids, are covered in greater detail in  Race to Resilience, our latest report. I would advise stakeholders download a copy and see what can be done to combat growing grid strain issues.”

Airports of Tomorrow initiative aims to land Net zero by 2050
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More than 50 CEOs have come together to join the World Economic Forum’s new Airports of Tomorrow initiative, ranging from equipment manufacturers and fuel producers to engineering firms and airports. The initiative will focus on supporting airports to make the profound changes to their operations and infrastructure that will enable net-zero aviation.

Participants will be working together to:

  • Articulate the infrastructure requirements, through a series of blueprints, for airport ecosystems to transform their operations for sustainable aviation fuels (SAF), electric and hydrogen-fuelled aircraft
  • Produce a geographical distribution map of the 300 SAF plants that will be needed to stay on track to achieve net zero by 2030, broken down by region to maximize the sustainable feedstock potential in each part of the world
  • Mobilise capital through innovative financing mechanisms; for example, through the co-design of a SAF fund and creative regulatory and policy instruments
  • Deliver a sustainable finance toolkit to mobilize the billions of dollars of investment needed to transform airports into clean energy hubs

Airports of Tomorrow members include: Airbus, Arup, Atkins, Boeing, Mott MacDonald, Neste, LanzaJet, Dufry, Menzies Aviation, Dallas Fort Worth (DFW), Mundys and its Aeroporti di Roma, London Heathrow, and many more. The full list of members can be found here.

Reaching net-zero emissions in the aviation industry will require an annual investment of approximately $175 billion, reaching $5 trillion by 2050, to enable the transition to emerging technologies and alternative propulsion methods like SAF and battery-electric/hydrogen powered flight. The Airports of Tomorrow initiative will bring together leading stakeholders in the aviation ecosystem to help mobilize this capital and forge a path towards net zero.

“We see airports as strategically located epicentres of activity, where leaders from across the aviation ecosystem can convene and work together to transform the industry,” said Lauren Uppink, Head, Climate Strategy, World Economic Forum. “If the right planning and investment decisions are made today, airports can play a pivotal role in shaping a sustainable future for aviation as well as other transport sectors. The Airports of Tomorrow initiative will help airports harness these opportunities, enabling them to fulfil their potential as clean energy hubs and standard-bearers for the net-zero economy.”

The shift will entail huge changes in infrastructure, both on and off airport sites. For example, it is estimated that airports could consume five times more electricity than they do today to power alternative propulsion methods, with global electricity demand for airports set to reach 600-1,700 TWh of clean energy by 2050, equivalent to the energy generated by a solar farm half the size of Belgium.

The massive land footprint of airport sites also allows for new infrastructure that typically has not been associated with airport activity before, such as solar photovoltaic farms, blending facilities for liquid fuels, and storage for either liquid or gas hydrogen.

Most airports have space for hydrogen liquefaction and storage infrastructure but not enough land to generate all of the clean energy needed to power battery-electric and hydrogen aircraft. Airports will have to establish new supply networks and partnerships to develop and scale off-airport infrastructure in addition to their on-site infrastructure changes, primarily in power generation, electrolysis and liquefaction, as well as the supply of sustainable aviation fuels.

“As a leading player in transport infrastructure enabling the mobility of several million people across the world,” said Giampiero Massolo, Chairman, Mundys’, “We see the transformation of airports towards net-zero aviation as a building block of our strategy focusing on sustainable infrastructure and multi-modal, integrated mobility services to improve life for people on the move. We are keen to work with the leading stakeholders in the aviation ecosystem to help mobilize the huge investment needed to transform airports into clean energy hubs.”

“Airports serve as powerful cornerstones of the aviation ecosystem where we can unite, collaborate and facilitate the industry’s sustainability transformation,” said Sean Donohue, CEO, DFW Airport. “By making the right planning and investment decisions today, we have the unique opportunity to shape a sustainable future for aviation and set examples for other public and private sectors. Through initiatives like the Airports of Tomorrow, we are dedicated to harnessing these opportunities, unlocking our full potential as clean energy hubs, and setting the standard for the net-zero economy.”

“Any pathway to achieving net-zero aviation will require a fundamental transformation in energy provision – with implications across both airport infrastructure and wider energy networks,” said Graham Bolton, Global Practice Leader for Aviation, Mott MacDonald. “By considering the airport as part of a wider ecosystem we can develop new solutions that facilitate decarbonisation of aviation and deliver wider community benefits. As Mott MacDonald we are already integrating aviation, energy and climate expertise to help airports meet their environmental and social commitments; and we are excited to build on this as a champion for Airports of Tomorrow.”

Enterprise ‘will spend $70bn on smart energy’ by end of the decade
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Enterprises facing a staggering $1.73trillion global energy bill will spend $70bn on smart solutions by 2030 to achieve renewable power and energy independence.

A report from ABI Research outlines how escalating energy prices pose a formidable obstacle to businesses and industries worldwide. By 2023, those prices will surge to a global $1.73 trillion enterprise spend on electricity consumption (which considers the electrification acceleration of vehicle fleets and robots).

As a result, businesses are compelled to reassess their energy purchase agreements with utilities, contemplate installing renewable microgrid systems, and prioritise energy efficiency. To do so, enterprises will spend a the $70 billion on smart energy solutions by 2030.

The research states that smart energy is no longer just the prerogative of centralised energy utilities.

“Enterprises and industries are assuming an increasingly important role in renewable energy generation,” explained Dominique Bonte, Vice President, Verticals & End Markets at ABI Research. “They are essentially becoming agents in the building and managing of collectively owned smart energy networks, assets, and solutions. Additionally, businesses will actively participate in new (renewable) energy markets, including trading on spot markets,”

The Smart Energy for Enterprises and Industries research service looks at smart energy through the lens of both enterprises and industries such as manufacturing, supply chain, oil and gas, and data centers.

Aspects covered range from on-site solar and wind farms to energy efficiency management, Battery Energy Storage Systems (BESS), and advanced Power Purchase Agreements (PPAs), enabling enterprises to lower the cost of their energy consumption, transition away from fossil fuel energy sources, improve energy quality and reliability, and achieve more energy resilience.

Image by Daniel Reche from Pixabay

IoT and the road to long-term water security
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Climate instability combined with an expanding population and escalating levels of per capita consumption are creating unsustainable pressure both on water resources and an overstretched supply network. Yet, without any insight into where leaks occur or how consumer behaviour affects consumption, how can water companies meet the government’s ambitious plans to reduce usage? Alex Barter, Manging Director, B4T, and Gareth Mitchell, Key Account Manager UK, Heliot explain why smart metering is key to creating a water secure future.

Urgent Change

The UK has a serious water problem. 3 billion litres of water – over a fifth of the total supply – are lost to leakage every single day. Not only is this a terrible waste of a valuable resource, but when 3% of the UK’s energy consumption is required to move water around the country, the full environmental impact of leakage is even more significant.

Nonetheless, water awareness remains low. People rail against the hosepipe bans and complain about the abstraction that depletes rivers across the country. However, consumers are a key contributor to wasted water. From dripping taps and faulty ballcocks to more serious leaks between the home and the street supply, 25% of UK homes are affected by leakage of a litre per hour.

Furthermore, at 140 litres per day, the UK’s per capita water usage figures are far higher than in more water conscious countries, such as the Netherlands, where usage is 107 litres per day. Be that as it may, without any insight into how much water they are using and no understanding of the financial or environmental cost, consumer behaviour will not change.

Identifying Leaks

While the highly regulated water industry is under pressure to address leakage – and, because meters are in place for just a fraction of the UK’s residential and smaller commercial properties, water companies are blind to the locations of leaks. What is customer side? What is network side? Where should investment be prioritised? How can consumers be encouraged to change their water consumption behaviour?

If the industry is to achieve the leakage reduction goals proposed by OFWAT, metering is imperative. How else will companies identify the 20% of houses that use 80% of water? Or target the 1% of worse performing properties responsible for 80% of all leakage? The ability to identify and address the biggest problem areas will deliver a very rapid improvement in leakage performance.

Yet today just a fraction of the UK’s business and consumer premises are metered. Even then these meters are typically not smart, requiring manual data collection. The problem has been the cost and complexity associated with deploying proprietary metering technologies at scale. How can companies deploy meters to millions of households? How can the sensors pick up information when the meters are buried underground, typically beneath metal covers which can block access to 4G, 5G or Wi-Fi? How can the information be collected, collated and analysed to deliver immediate, usable insight?

IoT Value Proposition

Proprietary technology has constrained smart metering not only in the UK. In both Slovenia and Switzerland, where water companies have a smaller customer base, meters are ubiquitous – but not smart. Every company relies on a fleet of engineers to drive around and manually take water readings. In addition to the cost, companies lack the real time insight into water usage required to quickly identify and repair leaking pipes.

The arrival of the Internet of Things (IoT) and highly reliable, low power networks such as SigFox, have fundamentally transformed the cost/ benefit model for smart water metering. Sensors can collect water usage in real-time. Data can be transmitted and transformed using machine learning to provide unprecedented insight – from highlighting the biggest areas of leakage to supporting predictive maintenance.

There is also no need to rip out and replace the existing infrastructure. Current metering solutions can be upcycled into connected assets at a fraction of the cost to replace and without creating any landfill. With batteries that last up to 15 years, companies can deploy once and gain long term benefit. For water companies in Slovenia and Switzerland, this approach is already proving compelling.  Engineers can be redeployed from meter reading to added value activities, and the existing asset estate can be reused to create an intelligent, smart meter network that delivers real-time alerts into leakage incidents.

Conclusion

No one is underestimating the scale of the challenge facing UK companies. Over 260,000 miles of water mains – many ancient. A population with limited awareness of the value of water. But if further action is not taken, between 2025 and 2050 the UK will need more than 3.4 billion additional litres per day to meet future demand for public water supply – and that is not financially or environmentally sustainable.

For water companies, the ability to identify the sources of leaks in real time is amazingly powerful. It will enable rapid response to problems, minimising the amount of wasted water and support far more targeted investment. For consumers, better understanding of their water usage habits will be vital to encourage individuals to change their behaviour and reduce day to day consumption. Together, these changes will be essential to achieving a secure water future.