In a new report, Centrica Business Solutions revealed that 56% of UK businesses intend to increase their onsite generation capacity in the next two years.
The report titled How Data, Onsite Generation, and Leadership Strengthen Energy Control found that 34% of UK businesses say unpredictable energy costs have limited business growth over the past 12 months.
The business discovered that mitigating volatility in the energy market (40%) drove onsite generation investment. This was followed by a desire to transition to Net Zero by meeting decarbonisation targets (39%) and increasing profitability (38%).
Despite the environmental benefits of onsite generation, half of the responding businesses (50%) stated that reducing energy costs is more important than addressing their carbon footprint. Additionally, more than one-third (37%) of firms indicated that they would not invest in onsite generation if it does not offer cost savings that can be reinvested elsewhere.
The report revealed that even though many businesses are investing in onsite generation to enhance their environmental credentials, nearly two-fifths of all surveyed firms (38%) admit to lacking the knowledge and understanding needed to implement the technology.
However, over half (52%) of the surveyed firms reported feeling more in control of how they generate and utilize energy compared to a year ago.
Christian Stella, managing director at Centrica Business Solutions Europe, said: “Onsite generation is the next step in managing power consumption and costs more efficiently. It will play a vital role in steering firms through the market’s volatility as well as providing businesses with more control over their energy needs.
“While we’re still seeing businesses recognising the carbon benefits of generating their own power, money saving remains the top motivation for the majority of businesses. It’s clear many firms still need the understanding and insight – particularly around commercial savings – to invest confidently in onsite energy generation.
“Sector leaders must play their part in educating UK businesses and get ready to deploy technologies more quickly to unlock the full potential of renewables and accelerate the UK’s journey toward net zero.”
