Report sets out Humber’s economic potential from cutting carbon
A new report for the Humber Local Enterprise Partnership, launched at the University of Hull tonight (Jan 8th), shows the potential economic benefit to the area of reducing carbon emissions.
The research calculated that the energy bill for the Humber’s £14 billion economy is £2.45 billion a year, but forecast this to grow to £2.86 billion by 2022 – a £410m cost increase to businesses and households.
However, the Humber could insulate itself against almost all of the projected price rises, cut carbon emissions and grow the local economy at the same time:
- Compared to 1990 levels, the Humber could reduce its carbon emissions by 2022 by 5.2% through cost effective investments that would pay for themselves (on commercial terms) over their lifetime. This would require an investment of £1.80 billion, generating annual energy bill savings of £392 million (96% of the projected increase), paying back the investment in 4.7 years but generating annual savings for the lifetime of the measures.
- Over the next ten years, the levels of investment needed to exploit all cost effective measures with employment generating capacity would lead (directly and indirectly) to the generation of 1,660 jobs and to growth in GVA of £79 million per year.
The report was carried out by the Centre for Low Carbon Futures, an evidence-based research organisation in which the University of Hull is a core founding partner. It will be launched at the University’s Business School tonight (Jan 8th) to an audience of around 100 business people and stakeholders.
The report lists some of the most cost effective measures for business, including burners, more efficient refrigeration and air-conditioning, energy management on vending machines and office equipment, biomass boilers and lighting.
The Humber LEP is now looking for innovative ways of driving implementation of the report’s recommendations.
Lord Haskins, Chairman of the Humber LEP, said: “The Humber, as the UK’s Energy Estuary, has a central role to play in manufacturing and deploying renewable energy technology, and that is now widely recognised. What we don’t often discuss is the economic benefit from cutting our own carbon emissions. The report very clearly sets that out.
“I would like to see people come forward with ideas about how we can achieve this economic potential and lead the implementation of the report’s recommendations. There are lots of businesses already investing in this area because they see they will get a return from it, but there may be more we can all do to spread those ideas and support other businesses to invest as well.”
The Review can be downloaded here