Member Article

UK Businesses Explore Energy Independence Through Grid-Free Power Solutions

**Businesses around the UK are increasingly taking advantage of alternative energy solutions to become self-sufficient in their own energy production. **

A disruption to the electricity grid has implications for businesses that can be anywhere from inconvenient to chaotic. Recent reports from the National Grid have stated that they were on course to experience the tightest electricity supply margins in 5 years. However, they suggest that the UK will likely avoid winter blackouts because of lower electric demand as a result of the Covid-19 pandemic. Reports like this have sparked an increased interest from high-energy users in alternative grid-free power sources.

The energy sector continues to transform and diversify the way that power is generated. Many of these alternatives allow businesses to reduce their dependency on the traditional grid and to safeguard operational continuity. One option that is becoming increasingly popular amongst high-energy users is Combined Heat and Power (CHP), also known as cogeneration.

CHP units use a single fuel source, usually natural gas, LPG, or biogas, to efficiently generate both heat and electricity in the same process. The units are installed directly on a business’ premises, and the heat and electricity are used to power the site directly, ensuring all operational needs are met and allowing the site to be self-sufficient in its own energy production. This independence from the grid protects the business’ bottom line from the volatility of fluctuating energy costs, as the fuel required for CHP units is substantially cheaper and more stable in price.

Improving operational continuity and saving money are just two of the core benefits driving businesses to switch to CHP. As the UK turns its attention to a green recovery from the Covid-19 pandemic, sustainability and carbon reduction have become key focuses for business owners. Traditional power supply is estimated to be approximately 40% efficient because energy is lost in the production and transportation processes. In contrast, CHP solutions can provide up to 90% energy efficiency ratings, which translates to a much healthier carbon footprint.

Although not as well-known as other alternative energy solutions, cogeneration made up 7.1% of the UK’s gross electricity generation in 2019, with 2,547 active CHP schemes in place, representing over 6,000 MWe of electrical capacity, which could power over 2,000 homes per year. (Department for Business, Energy & Industrial Strategy).

Fred Hall, founder of HQBS Energy Solutions, has worked in the CHP industry for over a decade with customers spanning a variety of industries. He decided to start his own CHP business to help businesses reap the benefits of gaining independence from traditional grid power. “So many businesses end up using the grid for their electrical needs by default. They don’t realise that there are options out there that can safeguard their business continuity, improve their sustainability, and save them a significant amount of money on their energy bills. That’s where we come in.”

With the challenging current economic climate, CHP offers businesses a chance to secure their energy supply, freeing them up to do what they do best while working towards a successful future.

This was posted in Bdaily's Members' News section by Emily .