Breakfast briefing How to access available finance to cut ......support businesses in saving energy, carbon and money through improved energy, material and water efficiency •Resource

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Breakfast briefing

How to access available finance to cut costs and

grow your business

In association with Scotland’s 2020 Climate Group

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Who we are

Free, specialist advice

On-site support

Access to suppliers

Access finance

A programme fromZero Waste Scotland

Funded by Scottish Government & ERDF

Operational since April 2013

We are here to help you cut your energy, water and raw material costs

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Helping you overcome the barriers to resource efficiency

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Agenda

08:55 Welcome

09:00 David Thomson, Food and Drink Federation Scotland

09:15 The Business Benefits of Being Green

09:30 Case study: Simon Jones, Edinburgh Zoo

09:45 Overview of loans and grants

10:00 Resource Efficient Scotland interest Free Loan

10:15 Finish/Networking

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Live Tweeting

Follow us @resourcescot

David Thomson, CEOFood and Drink Federation Scotland

beyond-

green.com

Resource Efficiency – Stronger Business

Business Breakfast Briefing

Paul Adderley

Core elements of business

strategy

Stress tests for

– Energy price volatility

– Supply of raw materials

– Tough Waste legislation

– Cost of finance

Opportunities for

– Add value to customers

– New services

– Access to finance

Build

Reputation

Profitability

& certainty

Managing

Risks

Focus of Resource

Efficiency

=Unit cost

X Quantity(volume)

Cost to Business

Process Driven Savings

Benefits locked in(e.g efficient boiler)

Less ForX Exposure

Harder Investment Decisions

Business Benefits

Resource Efficiency in the

P&L

Resource Efficiency Benefits

Sales Competitive Advantage, Stronger Reputation, new business, marketing benefits

Cost of Sales Less material waste, & energy use per product.

Gross Profit Increased margins, reduced volatility , higher productivity

Operational Costs Lower energy use from efficiency, renewable

Interest Paid Low interest loans / grant funding

Tax Charge Enhance Capital Allowances for Energy Saving Technology

Net Profit Greater Returns to Business owners

building the case

Indicative Payback Periods

- Monitoring Use < 1yr

- Efficiency 2-4 yrs

- Production Process 2-

5yrs

- Renewables 5-8 yrs.

3Renewable

Energy

2Process &

plant efficiency

1Avoid Costs & Emissions

DATADRIVEN

DECISIONS

RES IMPARTIAL SUPPORT

COLLABORATE WITH

SUPPLIERS

Case Study

Scottish Bakery

• Data Driven Decisions

• Upgrade Compressors -£7k (30% saving)

• LED Lighting-£6k annual saving

• Material Savings 7.5K

• Funded by SME Loan

Case Study Institute of

Occupational Medicine

Half Hourly Electricity Data

Case Study Institute of

Occupational Medicine

- 70kW solar PV system

- Financial benefit: £6.5k pa

- 95% on site use

- Performance as predicted

- Payback 6 years

- Annual Carbon Saving 28tCO2e

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Views from FD’s

“Over the last three years we have utilised the technical support provide by Resource Efficient Scotland to help us independently access resource efficiency savings across our businesses”

J.D. Appleton, Finance Director, Paterson ArranLimited

“The high quality evidence from the technical assessment helped IOM make an informed decision… We are now benefiting from lower electricity costs of around £9,000 a year.”

Chris Owens, Director of Central Services & Finance, Institute of Occupational Medicine.

Key messages

• Root cause of resource demand

• Data driven decisions

• Balanced investment with realistic returns

• Utilise free business support in Scotland

» www.resourceefficientscotland.com

» Helpline 0808 808 2268

http://www.resourceefficientscotland.com/

[email protected] 0131 472 4708/ 07917372573

thank you, any questions ?

mailto:[email protected]

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Edinburgh Zoo

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OverviewLoans and grants

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Barriers to implementing resource efficiency projects

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Types of finance

• Government supported finance

– Grants

– Loans

– Tax incentives

– Fiscal incentives

• Commercial finance

– Asset finance

– Debtor finance

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Zero Waste Scotland

Waste Implementation

Fund

Circular Economy

Investment Fund

Interest Free Loan

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Government-supported loan schemes

Transport Scotland

Low Carbon Transport Loan

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Regional and national loan schemes

West of Scotland Loan

Fund

East of Scotland

Investment Fund

Highland Opportunity

Fund

Scottish Loan Fund

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Other Government-supported schemes

Enhanced Capital

Allowances

Low Carbon

Skills Fund

Green Business

Fund

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Resource Efficient Scotland Interest Free Loan

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Install a new biomass boiler to providelow-cost heat

Upgrade to energy efficient lighting to lower energybills

Upgrade to energy efficient heating systems to lower heating bills

Insulate premises to reduce heating costs

Install solar photovoltaic to generate cheap, green electricity from sunlight

Use voltageoptimisationto reduceenergy costs

...and manymore resourceefficiencymeasures

An opportunity for you to…

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Replaced the existing LPG system with a biomass boiler, giving savings of £23,806 per year and reducing carbon emissions by 39.5 tonnes CO2.

Installation of Solar PV.

“…made the difference between us wanting to put in a new biomass system and us actually having it installed.”

Kenneth McKenzie, Owner

Insert suitable

image here

Highland Farm Cottages

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Upgraded the lighting in its warehouses to high efficiency LEDs - cutting more than £16,000 a year from its energy bill.

“Resource Efficient Scotland supported us at every step of the way in upgrading our lighting system, from planning and funding the project through to installation. With this help, a relatively small change to our building is translating to a big saving in our energy usage.”

Duncan Elder, Houston Bottling & Co-pack

Insert suitable

image here

Houston Bottling & Co-pack

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Installation of high-efficiency light emitting diodes (LEDs) and controls in offices, workshop and factory.

Saving almost £3,000 a year.

“Resource Efficient Scotland made it easy to justify upgrading our lighting system to LED lamps, which has resulted in a significant saving on our energy bill.”

Robert Mcartney, Commercial DirectorPentland Precision Engineering

Pentland Precision Engineering

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Upgrades to lighting and refrigeration, resulting in a reduction of annual electricity savings by 30%, worth almost £1,800 a year.

I am absolutely delighted with the new double-glazed refrigeration cabinets and the LED lighting…The support from Resource Efficient Scotland helped me to identify and fund the changes to my shop and I am really happy with the results.”

Aleem Farooqi, Owner, Goldenacre Mini Market

Goldenacre Mini Market

Resource Efficient Scotland SME loan

Neil Leckie

Energy Saving Trust

Introduction

• Funded by the Scottish Government

• The loan has been operating since 2007

• Some changes but aim of the programme has stayed the same - to support businesses in saving energy, carbon and money through improved energy, material and water efficiency

• Resource Efficient Scotland offer impartial guidance and technical support to businesses

• This includes providing a free energy audit detailing the key actions to unlock identified energy, water and raw material cost savings. The report can then be used to support a loan application

• Energy Saving Trust are responsible for the loan administration –managing the budget, assessing applications, offering funding, making payments and collecting repayments

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Eligibility criteria

Below are some of the key eligibility criteria to be aware of. Your business must:

• Be based in Scotland

• Operate as a sole trader, partnership, limited company, charity or not for profit

• Meet the European Commission definition of an SME (fewer than 250 employees, turnover not exceeding €50 million and/or a balance sheet not exceeding €43 million)

• Not be in breach of European Commission De Minimis State aid funding rules

• Have been trading for at least 12 months

• Pass relevant credit and affordability checks

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Loan Information

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• You can apply for up to £100,000

• A wide range of measures are available (examples on next slide)

• Work being funded must have a clear carbon and financial saving

• Can only fund measures that are recommended on the qualifying report provided by Resource Efficient Scotland

• Decision or update within 10 working days of EST receiving application

Available measures

Funding is available for a wide variety of works. Some popular examples are below:

A full list can be found on the Resource Efficient Scotland website but we are

flexible

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Energy Efficiency Renewable Waste/Water/Other

Boiler (Gas, LPG or oil) Biomass boiler Commercial refrigeration

and freezer units

Insulation Heat pumps Commercial cleaning

equipment

Double glazing Solar thermal Composting systems

Heating and cooling

systems

Solar PV Water recycling systems

LED lighting Wind turbine Voltage optimisation

Benefits of the loan

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• Unsecured

• Interest free for many applicants

• Repay over a maximum of 8 years if applying for a renewable technology (usually higher value loans)

• Funding available for a wide variety of work (see previous slide)

• No processing, arrangement or administrative fees

• Greener business

• Save money

More information and how to apply

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• For further details go to the Resource Efficient Scotland website:

www.resourceefficientscotland.com

• Or contact an expert adviser at Resource Efficient Scotland on

0808 808 2268

• Application form also available on the website

http://www.resourceefficientscotland.com/

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Join our webinars next week

• Making the most of the Resource Efficient Scotland interest free loanTuesday 28 March, 12:30 PM - 1:15 PM

• How to build a business case your finance team will loveThursday 30 March, 12:30 PM - 1:15 PM

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