CBI chart

Simplify Energy Efficiency Policies, Says UK’s CBI

CBI chart

The UK lobbying organization CBI conducted a survey of 100 of its corporate members and found that businesses are confused by overlapping government policies that deter energy efficiency investments.

In its report “Shining a Light: Uncovering the business energy efficiency opportunity,” the CBI finds that better energy management can cut 15 percent off a business’s energy bill, but businesses are frustrated with the tangle of overlapping policies that are bureaucratic, complex and costly.

Some firms will have to report their energy use and emissions in different ways under different schemes. Only 5 percent of the survey respondents consider the current government framework to effectively encourage energy efficiency. In addition, almost 90 percent of responses were mixed to negative when asked about how government works with business to improve energy efficiency, with many respondents indicating that energy efficiency has too often been neglected by government in favor of a focus on energy generation.

The CBI is calling on the UK government to assess all energy efficiency policies that affect business and come up with a simpler approach, where any new initiatives truly add value. In addition, the CBI wants the UK Government to:

  • Support large and energy-intensive users, implementing a coherent policy for Combined Heat and Power
  • Back mid-sized businesses by using the Business Bank to raise awareness among firms of the financial schemes available and begin to look at how the Green Deal could be successfully expanded to business users
  • Consider how business rates could incentivize investment in energy efficiency – by waiving rates for refurbishment of empty properties in the short-term.
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