Green energy – Why small can be beautiful

Localised power generation, including companies’ own projects, could be the future of environmental energy production

Cynics might say that switching to green power is merely a way of outsourcing the problem of curbing corporate carbon dioxide emissions, but for carbon-conscious companies, green energy can be a quick fix.
Nationwide Building Society, for example, switched to green electricity in October 2005, cutting at a stroke its declared carbon dioxide emissions by three quarters.

Although only 1% of electricity sold to UK households is branded “green”, total UK production from renewable sources is running at around 4% – though this includes some hydro power, which is only grudgingly referred to as renewable because the UK’s hydroelectric plants are old and not necessarily environmentally-friendly. Business soaks up the rest, and a shortage of business supply is looming.

Nicholas McHugh of npower, whose green electricity customers include Marks & Spencer, Ikea, the Ministry of Defence and Norwich City Football Club, estimates that the electricity supplier presently has the capacity for 50,000 new domestic customers on its green tariff. But one or two large corporate clients could quickly absorb this.