A report published this week has found businesses are losing billions of pounds a year by not embracing energy efficiency measures. Though UK businesses are beginning to recognise the benefits of energy efficiency schemes, the Greener Business Report from the Environment Agency finds that businesses are still losing more than £6 billion a year by not ensuring high-quality environmental performance.
The report also found that businesses’ collective neglect of water efficiency is costing them an additional £3.5 billion a year, totalling almost £10 billion in potential savings for businesses.
Environmental improvement
The Environment Agency did have some good news, however, as it found out that performance across the industrial sectors, including waste, water, and combustion and energy production, have delivered improvements in most environmental metrics.
“Our analysis shows that most companies have a good environmental record, despite the difficult economic conditions,” said Dr Paul Leinster, chief executive of the Environment Agency. “And serious pollution incidents have reduced significantly in the last five years. Green business is good business because it can help reduce costs and enhances reputation with customers.”
Nearly nine out of every 10 industrial sites inspected were rated in the top two categories, measured in terms of environmental performance and management. In addition, 55 per cent of sites achieved the top grade, which is up from 47 per cent last year.
Energy sector emissions
The energy sector is still the biggest source of emissions from regulated sites, with 75 per cent of greenhouse gases, 82 per cent of nitrogen oxides and 75 per cent of sulphur oxides. Each of these has reduced substantially over the last decade, however, and the Environment Agency said the energy sector is well managed.
“But we will continue to target the poor performing companies and illegal activities that cause damage to the environment and pose a risk to communities,” said Leinster. “There are still too many pollution incidents in the waste industries and we will be working with companies to clean up their act.”
The study reports a 15 per cent fall in sites’ Global Warming Potential (GWP), a measure including carbon and other greenhouse gases. Critics are attributing this improvement to the economic downturn, but the Environment Agency also reported that the number of serious pollution incidents it recorded was similarly down 25 per cent from 2004 levels.
Waste sites were reported to have the most serious incidents of pollution and they cause around half of all the incidents occurring on sites regulated by the Environment Agency.
Danger of illegal waste sites
The research also highlights that illegal waste activity is a serious risk to the environment. The Environment Agency has identified over 800 illegal waste sites, over 350 of which are operating within 50 metres of schools, homes or sensitive environmental sites. The analysis indicates that for every ten legal waste sites, there is another operating illegally.
The Environment Agency pledged to continue to the crackdown on these illegal sites, which saw 11 individuals and four companies charged last month under waste legislation.
“We’ll continue to take a zero-tolerance approach to illegal waste sites,” said Leinster. “We have stopped activities on 2,000 sites in the last two years, but continue to work with the police and other agencies to gather intelligence and target these illegal operations. However, producers of waste; businesses, public sector organisations, local authorities and householders also have a role to play by making sure their waste goes only to legitimate and licensed waste management operators.”
