Trillion € energy strategy proposed by European Commission (EC) & Lloyds Bank Loans’ to SME’s - welcomed by Sabien

Industry comment

Published: 22 November

Author: Alan O'Brien

Type: Industry comment

Year: 2010

Initiatives likely to accelerate the implementation of low carbon solutions, says energy efficiency technology specialist Sabien

Lloyds Banking Group announcement coincides with Sabien Technology major contract win for the group

Green technology specialist Sabien Technology has welcomed the launch of two high profile initiatives which the company believes will help foster and accelerate the implementation of low-carbon solutions across the UK.

As the European Commission (EC) unveiled its €1 trillion energy strategy for the next decade with a specific focus on energy efficiency (1) – designed to help underpin the region’s ambitions to achieve its 2020 energy and climate change targets – banking giant Lloyds also announced a loan scheme for  small and medium-sized enterprises (SMEs) wanting to invest in the UK's emerging low-carbon economy. (2)

While the EC said its highest priority is to develop ‘an efficient, competitive and low carbon economy,’ Lloyds also revealed its ambitions for SME clients to ‘succeed in the low-carbon economy’, predicting that small and medium-sized firms will have a crucial role to play in driving the development of the low-carbon economy.

The bank will be offering a range of loan solutions to firms wanting additional capital to invest in carbon reduction schemes – a move applauded by Sabien Technology chief executive Alan O’Brien.

“It is refreshing to see a major bank actively supporting organisations to implement schemes which will reap rewards in terms of capital and energy savings,” he said.

"SMEs will be the engine of the UK's economic recovery and the low-carbon sector presents many exciting new opportunities for growth – and at a time when the Government is looking to cut costs across all sectors, it makes economic sense to invest now in energy efficiency technology.”

“One of the major impediments to businesses wanting to invest in energy efficiency solutions has to date been lack of encouragement/financial back up from lenders, which as we know is so important to the continuing growth and evolution of businesses both large and small, so this Lloyds initiative will hopefully encourage other major financial institutions to follow suit.”

The Lloyds’ move coincides with news that Sabien Technology has been awarded a £186,000 contract to install Sabien’s M2G technology across a number of buildings at Lloyds Banking Group. This is the second order the Group has placed with Sabien within the last 12 months

The contract has been placed via Norland Managed Services Ltd, a leading Facilities Management company.

“It’s a great endorsement as it represents a repeat order for our M2G, reinforcing just how effective the technology is at reducing gas consumption and CO2 emissions,” added O’Brien.

Sabien Technology already has a large number of major blue chip clients, but one of the reasons smaller and medium sized firms have to date not been able to go forward with energy reduction solutions is a lack of investment capital.

“Now we would now like to see more major UK lenders acknowledge and support the crucial role SMEs play in the revitalisation of our economy - and the development of energy efficiency solutions will play a key role in this,” he said.

News that the much mooted Green Investment Bank – designed to support green initiatives across UK industry and government infrastructure - will be benefitting from significant additional funds from the sale of government-owned assets (3) was also welcomed by O’Brien.

“So far as we are aware the Coalition government has already earmarked £1bn to establish the Green Bank – a fraction of the £4bn or so reckoned to be needed to properly support the implementation of low carbon initiatives and related technologies for UK businesses.”

“But if the Green Bank can open its doors with significantly boosted coffers – and be prepared to lend intelligently to promote investment and research and development in energy efficient programmes, then that will be a very good platform on which to build,” he said.

 

Sources:

(1)EC official announcement, (www.ec.europa.eu/)

(2) Lloyds Banking Group Press Office announcement, 15 November 2010

(3) UK Minister of State for Energy and Climate Change Greg Barker (London cleantech event) November 17 2010)