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Posted: 08/07/2005

Richard Hipkiss, Marketing Manager of Schneider Electric Transparent Building Integrated Systems, writes..."Margaret Beckett should be applauded for her presentation on climate change to the G8 summit, particularly since the most important politician she spoke to represents a country not signed up to the Kyoto Protocol"...

Beckett said "Since 1990 the UK has reduced greenhouse gas emissions by 12.5% whilst our economy has grown by over 36%, showing that tackling emissions can be consistent with continued economic growth. Of this progress the great bulk has been achieved through the implementation of a portfolio of innovative policy measures. The Climate Change Levy, introduced in 2001, is a tax on energy used in industry, commerce and the public sector which is generated using sources which release greenhouse gas emissions.

It raises 1 billion pounds per year which is returned to business through a government run scheme aimed at promoting energy efficiency and take-up of renewable energy sources. That makes the levy revenue neutral. The government also provides an extra 120 million pounds for energy saving measures. And our Climate Change Agreements have led to savings for UK industry as a whole of 450 million pounds per year due to reducing their energy consumption.

The UK has also made changes to building standards to demand greater energy efficiency both in new buildings and refurbishments. Developers are being encouraged to use low carbon solutions for powering buildings such as solar water heating and solar power. There is also work for sustainable improvements in the end-use efficiency of appliances, equipment and other products, through, for example, minimum standards and mandatory and voluntary energy labelling.

But despite this effort, in the last two years, our emissions - though still well down on 1990 levels, have risen somewhat. So we are reviewing our Climate Change Programme, to ensure we get back on track for further reductions. And action to tackle such environmental problems creates economic opportunity as well as sometimes incurring economic costs. Energy efficiency saves money as well as carbon. And environmental innovation has stimulated new industries - new jobs - employing 400,000 last year in the UK alone".

Hipkiss continues, "Beckett will no doubt receive significant criticism from industry, especially in light of the statistic that says the UK's carbon emissions rose last year by 1.3%. However, this misses the point. The fact is that the UK's stance on climate change does encourage businesses to adopt technology that reduces carbon emissions. Yes, the UK emitted more carbon last year, but also used substantially more energy.

Beckett's speech represented a subtle form of lobbying, encouraging the US to sign on the dotted Kyoto line. It was also a clear rallying cry to UK Plc to begin reducing the emissions from its commercial buildings and its factories using readily available commercial technology".

Hipkiss speaks from experience – the global organisation he works for invests 5-6% of its total turnover on R&D. Most of this outlay is focused on exactly the technology Mrs Beckett touched upon at the G8 summit. Such actions from business are directly influenced by Government action such as Beckett's. So lets applaud this brave presentation and not criticise it.

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