Green Investment Bank leads £50m investment into energy-efficient NHS

By DARA BUTTERFIELD

The Green Investment Bank (GIB) and De Lage Landen (DLL) are to invest £25 million each in an energy efficient NHS in England.

This new investment comes after NHS Scotland confirmed it is ahead of its target in energy consumption having reduced energy use by 5.8% since the year 2009/10.

While ahead on its targets, NHS Scotland has admitted that much of the ‘easy-fixes’ in energy efficiency have already come into effect.

A spokesman said: “There is widespread consensus amongst NHS Scotland Energy Managers that most ‘quick wins’ in terms of energy and carbon reduction have now been identified and implemented and that the focus must now shift to additional ‘spend-to-save’ measures requiring extensive investment in healthcare estates.”

The NHS is one of the UK’s most energy intensive organisations, spending more than £750m on energy costs each year – which is why the Green Investment Bank and DLL are working with NHS Trusts to improve energy efficiency and save money in England.

The first project funded by this alliance is at Queen’s Medical Centre, part of Nottingham University Hospitals NHS Trust, where £7.5m is being invested to finance the installation of a suite of energy production and reduction measures. The project has been developed under the Carbon and Energy Fund (CEF) framework and it will be delivered by the energy services company, Interserve.

As with previous NHS energy efficiency projects, the Trusts and Health Boards that will benefit from the new funding won’t need to find the capital upfront. The money saved by reducing their energy bills more than covers the cost of the repayments.

Shaun Kingsbury, Chief Executive of the Edinburgh-based Green Investment Bank, said: “As one of the country’s most energy intensive organisations, the NHS could save up to £150m each year – about 20% of its current £750 million energy bill –  by putting in place energy efficiency measures.”