Latest Press Releases

npower announces cuts to standard annual gas bill of average 5.1%

npower today announces an average 5.1% or £35 average annual reduction to its standard domestic gas tariff. This will be effective from Monday 16 February. This is the largest percentage price cut by any major energy supplier announced recently.

The reduction means that on average the annual standard npower domestic gas tariff is now £667 per year, down from £702.(1)

This reduction has been made possible by the reduction in the wholesale price of gas, balanced against increases in transportation and distribution costs.  

Paul Massara, CEO RWE npower said:

“Today’s announcement means we can get the benefits we are seeing in the wholesale market to our customers pockets as soon as possible.  We have balanced this wholesale price fall against increases in the other costs we are charged.  If there are further falls in wholesale prices, we will keep these under review to see if we can cut further. “

(ENDS)

Didcot A demolition update

The demolition of Didcot A started less than 12 months ago and the site has significantly changed during this time. Specialist demolition company Coleman & Company are now a third of the  way through the demolition of the old coal fired power station.

 

The demolition work to date  has included the explosive demolition of three of the six 100 meter tall cooling towers which were brought to the ground in less than 10 seconds in July last year. Demolition works on Didcot A’s coal yard were completed in November last year and this 47 hectare site has now been sold to Clowes Development Ltd, who have begun their consultation process on the redevelopment of this land.

 

All plant in the Turbine Hall has now been demolished to floor level and the scrap recovery is ongoing. Over 20,000 tonnes of scrap metal and 36,000 tonnes of concrete have been processed and recycled so far.

 

Other demolition works completed  include the removal of external ductwork connecting the chimney to the  main power station and the removal of external tanks, including   fuel oil tanks.

 

The current plan is to use explosive demolition on the main station buildings in Summer 2015 with  the north cooling towers and chimney scheduled for Spring and Summer 2016. The complete demolition of the site is expected by the end of September 2016. The already established  consultation process, will determine  the best date and time for these activities  to ensure the safety of everyone involved.

British manufacturers face significant penalties after admitting they are unprepared for mandatory Government energy assessments


• Despite the fact that 60% of manufacturers have  conducted their own energy efficiency assessments in the past, 49% of British manufacturers say they aren’t aware of the Energy Saving Opportunity Scheme (ESOS) and 69%  feel uninformed about the requirements for carrying out an ESOS assessment
• As a result they face fines of up to £50,000 for non-compliance with the mandatory Government policy, which is designed to help businesses achieve greater savings on their energy bills
• npower Business Solutions is calling on the Government and energy suppliers to make a stronger business case for manufacturers to do more on energy efficiency
 
Despite the recent implementation of the Government’s ESOS legislation, new research from npower Business Solutions shows that British manufacturers are both unaware of and underprepared for the ESOS assessments scheduled to take place this year. The findings demonstrate that although the policy is designed to help large organisations cut their energy use, 49% of manufacturing businesses stated they were unaware of the scheme, while 45% reported being unprepared for the first of the Government’s assessments which are due by December 2015.
 
ESOS was developed following consultation with businesses and energy professionals. It is designed to help UK businesses become more energy efficient so that they achieve greater savings and greater emissions reductions.
According to the Department of Energy & Climate Change (DECC), implementing some of the efficiencies highlighted by ESOS assessments could save businesses more than £250m a year by reducing consumption by just 0.7%. And where businesses are prepared to invest in measures with a payback period of two years or less, this figure increases to £1.6bn a year.  However, failure to comply with ESOS will result in fines of up to £50,000 and possible charges of an additional £500 per day for up to 80 days. Conversely it is not mandatory for businesses to implement any of the energy saving measures the assessments will suggest.
 
npower spoke to over 100 decision makers at manufacturing businesses across the UK about how they manage their energy use and the extent to which they are prepared for ESOS. The overwhelming majority (62%) are already investing in energy efficiency, and a similar proportion (60%) said they have already conducted their own assessment of their company’s energy use in the past three years. Despite this, and with less than a year until the first assessments, 69% of respondents do not feel well informed about the requirements for carrying out an ESOS assessment.
 
Wayne Mitchell, head of npower Business Solutions, said: “ESOS may seem like another policy that just brings more costs for manufacturers, but we see it as a significant opportunity to reduce the pressure on your bottom line. Energy is one of the least optimised costs in a business and yet through implementing simple efficiency measures, the average business could reduce consumption by 20%, with a big impact on what you pay for your gas and electricity.
 
“Nevertheless there are significant shortcomings in the way the policy has been communicated and will be implemented. I strongly believe that if we want to encourage the business community to embrace energy efficiency then we must do a better job of making the case for it to do so.
 
“I’m disappointed that the ESOS legislation includes a financial penalty for those that do not comply with its requirements, and yet doesn’t make it mandatory for businesses to implement any of the energy saving recommendations that these assessments will produce. As a result I fear the policy could prove to be something of a white-elephant, its potency significantly weakened by the fact manufacturers will see it more as a paper exercise rather than an opportunity to change their relationship with energy consumption.”
 
Gareth Stace, head of climate and environment at EEF, the manufacturers’ organisation: “Whilst DECC has taken every opportunity to ensure the scheme has remained as straight forward and flexible as possible, many organisations, particularly those at the start of their energy efficiency journey, will find the requirements of ESOS a significant undertaking and will need help in achieving them.
 
“For many manufacturers that have been concentrating on energy efficiency for some time, the scheme will function as a regular ‘stock taking exercise’ ensuring that momentum is retained and new energy efficient measures are highlighted and taken when possible. For others, the ESOS requirements provide the impetus to map out an energy efficiency strategy from scratch, highlighting the most cost effective measures to be taken and where considerable savings can be made. With energy prices, most notably electricity, set to rise significantly in the coming years, energy efficiency measures remain the most effective and proactive way manufacturers can manage and minimise these increasing costs.”
 
npower is one of few suppliers with a portfolio to handle the entire journey for ESOS, from establishing eligibility to collecting data, assessing and ensuring compliance requirements are met, then advising on assessment implementation.
 
Manufacturers can find out more about how npower Business Solutions can help them complete their first ESOS assessment by visiting www.npower.com/ESOS.
 
ENDS
 
Notes to Editors
 
About npower Business Solutions
• npower is one of the top energy suppliers to the UK business market, serving over 238,000 small to medium sized enterprise sites and around 17,000 industrial and commercial customers, with over 100,000 sites.
• npower Business Solutions is dedicated to helping UK businesses use energy more efficiently and therefore spend less money on their bills.  We aim to have a positive impact on the communities we serve and reduce our customers’ carbon footprint whilst always improving our service to our customers.
• npower Business Solutions specialises in risk management solutions, including market-leading flexible energy purchasing, energy efficiency, and broader energy management functions, tailored to every size of business.
• npower Business Solutions is committed to helping its small business customers to improve their energy efficiency. npowersmartstart offers business customers advice and guidance on reducing energy consumption. New business customers receive an energy monitor designed to improve their consumption awareness as well as access to a dedicated energy efficiency telephone helpline and website.
• For major energy users, npower Business Solutions offers multi-utility management consultancy to enable organisations to improve efficiencies right across the procurement/consumption chain.
• npower Business Solutions customers include BT, Wembley Stadium plc, Tata Steel and Sainsbury’s.
 
About the research

All figures, unless otherwise stated, are from the joint npower/Censuswide survey of UK manufacturers. Total sample size was 101 DMs in the manufacturing industry in companies of 250+ employees.

Fieldwork was undertaken between 17.12.2014 and 22.12.2014.