£635m boost for energy efficiency in UK public buildings

Up to £635 million of government funding will be made available to public sector organisations so they can install low carbon heating and energy efficiency measures, such as heat pumps and double glazing.

Schools, hospitals, leisure centres and historic town halls could be among hundreds of public buildings across England to receive energy efficiency upgrades.

The funding is available through the Public Sector Decarbonisation Scheme with organisations such as NHS Trusts, schools and local authorities able to apply for grants from September. Public sector bodies and taxpayers are expected to save an average of £650 million per year on energy bills over the next 15 years.

Upgrades are already under way through earlier rounds of the scheme, with 734 grants awarded to public sector organisations across England so far and Phase 1 alone supporting up to 30,000 jobs in the clean heating and energy efficiency sectors.

The Public Sector Decarbonisation Scheme supports the aim of reducing emissions from public sector buildings by 75%, compared to 2017 levels, by 2037.

This funding round of up to £635 million is the second part of an overall £1.425 billion due to be allocated through the Public Sector Decarbonisation Scheme between 2022 and 2025.

Projects that have already received funding include Nottingham University Hospitals NHS Trust, which received more than £70 million to install water source heat pumps at Queens Medical Centre. At Nottingham City Hospital, they installed air source heat pumps and fitted energy efficiency measures such as draught proofing and double glazing, while Leeds City Council received £4.3 million to decarbonise primary schools and child day care centres.

Birmingham Women’s and Children’s NHS Foundation Trust was awarded more than £50 million to install clean heating and energy efficiency measures in their hospitals and the Royal Botanic Gardens, Kew was awarded over £4.4 million to decarbonise the Grade II listed Nash Conservatory and Jodrell Laboratory.

Commenting on the news of the increased funding, Kas Mohammed, VP of digital energy at Schneider Electric UKI, said:

“Decarbonising buildings, responsible for 40% of the planet’s total greenhouse gas emissions, is a crucial step to tackle climate change. There is a clear desire for this overhaul to happen and investments like the one announced today can result in considerable savings of both money and carbon. This is even more poignant in a time when the energy crisis continues to affect individuals and businesses.

“It’s great to see the emphasis be put on efficiency, as 30% of building power usage goes to waste. For too long the focus has been on the switch to renewables – which, whilst important, has limited benefits if our buildings continue to waste energy at the current rate.

“Tracking and measuring our energy consumption with smart technology is an open goal for creating efficient public buildings. Smart buildings, bristling with IoT sensors, can offer real-time data analytics and insights, allowing public sector facilities decision-makers to spend more wisely, whilst improving occupant experience.”