Watford Gap
Project Snapshot
- Industry: Warehousing & Racking Solutions
- Equipment:105.78 kW Solar System, 246 Jinko Solar Panels, 1x 30kW SolaX Power Inverter, 4x 60kW SolaX Power Inverter and 2x 46.4 kWh SolaX Power Battery
- Size:13,000sqft Warehouse Building
- Timeline: 10 Day Installation
- Payment:Annual Cost: £20,352, Annual Savings: £21,443 (This setup ensures that you are cash-positive from day one with no initial outlay)
- Additional Financial Details: Lifetime Electricity Bill Savings: £1,378,724, Level Used Cost of Energy: £0.017 per kWh
Introduction
As of May 2024, Nene Warehouse Solutions faced a significant challenge: escalating electricity costs, especially from their Watford Gap headquarters, the most expensive facility to operate. With energy prices on an upward trajectory and new renewable energy regulations taking effect, it became imperative to find a solution to stabilise and reduce these operational expenses. Operating within the warehouse and racking solutions industry, the organisation prioritised effective cost management while adhering to their long-term sustainability goals.
Nene Group’s mission is clear: “To grow sustainably and collaboratively create a platform where businesses and people excel.” In alignment with this mission, the group took a decisive step in their renewable energy journey, marking a significant milestone in its broader sustainability efforts across its extensive warehouse portfolio.
Ensuring Compliance with Minimum Energy Efficiency Standards in Warehousing
The Minimum Energy Efficiency Standard (MEES), effective from April 1, 2018, mandates that privately rented and non-domestic properties achieve certain energy efficiency levels. This regulation aims to encourage landlords and property owners to adopt renewable energy solutions and enhance environmental sustainability.
What does this mean for warehouses?
As of this year, warehouses must meet an Energy Performance
Certificate (EPC) rating of E. By 2027, they need to achieve an EPC rating of C, and by 2030, they should attain a B rating. This requires investing in energy-efficient measures like improved insulation, lighting, and heating systems. Failure to comply could result in penalties and affect lease agreements, so making energy efficiency improvements is essential.
The Solution for Nene Warehouse Solutions
After a technical feasibility study, it was recommended to install a 105.78 kW solar system with 246 Jinko Solar panels (Tiger Neo N-type 54HL4R-B 430W All Black), 5 SolaX Power inverters and 2 kWh SolaX Power batteries.
Jinko Solar panels are known for their high efficiency and longevity. This system is expected to generate 92,072 kWh annually, enough to power multiple households and reduce electricity bills. It comes with a 25-year product
warranty and a 30-year performance warranty, ensuring long-term reliability. The system will generate 77% of its energy from solar power, significantly reducing reliance on nonrenewable sources.
The Environmental Win
Nene Warehouse Solutions has made notable strides in environmental
sustainability by installing a comprehensive solar energy system comprising 246 panels. This initiative has resulted in a 77% reduction in CO2, SO2, and NO2 emissions annually, equating to 23.3 tonnes of CO2 avoided each year.
Over the system’s lifetime, these reductions are comparable to removing 696,969 car kilometres, planting 4,481 trees, and avoiding 499 long-haul flights. This significant environmental impact highlights Nene Warehouse Solutions’ commitment to sustainability and exemplary leadership in corporate environmental responsibility.
The Financial Win
By investing in this solar solution, Nene Warehouse Solutions saw an amazing financial win. They now save £21,443 annually on electricity bills, totalling £1,378,724 in savings over the system’s lifetime. With the levelised cost of energy costing just £0.017 per kWh, solar energy is highly cost-effective for them. Their previous electricity bill was approximately £3,500 per month.
With the new solar system in place, their monthly bill has been reduced to just £1,713, saving them £1,787 each month. This significant reduction in monthly expenses showcases the immediate and ongoing financial benefits of switching to solar energy, providing the company with predictable and manageable energy costs.
In summary, Nene Warehouse Solutions’ proactive approach to integrating renewable energy has set a benchmark in the warehousing and racking solutions industry. The project’s dual impact on both the environment and the company’s financial health illustrates the clear advantages of sustainable practices, aligning perfectly with Nene Group’s mission to grow sustainably and support the success of businesses and people alike.
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