Showcasing our expertise: harnessing renewable energy for net zero and decarbonisation

This piece was originally published in Energy Manager Magazine, October 2024 

Author: Davide Natuzzi, assistant director energy, carbon and technical 

Harnessing renewable energy for net zero and decarbonisation 

The UK is facing an energy revolution driven by the need to achieve ambitious net zero targets by 2050. Central to this transformation is renewable energy, which offers cleaner, more sustainable sources of power that help to decarbonise industries and public services alike.  

As organisations across the UK seek to reduce their carbon footprints, renewable energy sources provide an efficient solution for reducing emissions and achieving long-term sustainability goals. At Salix, we provide government-supported funding that plays a pivotal role in helping public sector organisations transition towards a low-carbon future.  

On Monday 23 September, 2024 we launched Phase 4 of the popular Public Sector Decarbonisation Scheme which has focused on decarbonising heat including complementary solutions that support the electrification of heat. By offering financial support also for energy efficiency projects, including renewable energy installations, we are empowering the UK public sector to meet its net zero goals. 

We’re working side by side with the public sector to achieve our goals. 

The role of renewables in the Public Sector Decarbonisation Schemes  

Renewable energy is not only essential for reducing the environmental impact of energy production but also for ensuring energy security. With the phasing out of fossil fuels, the UK needs to diversify its energy supply to mitigate the risks of price volatility and geopolitical tensions associated with fossil fuel imports. Renewable energy sources, such as wind, solar, hydropower and nuclear, provide to the UK at a larger scale with a more reliable and sustainable energy supply, which is crucial for the future. 

At a smaller scale, the Public Sector Decarbonisation Scheme provides grants for low-carbon heating projects and energy efficiency.  

These projects typically include the replacement of outdated fossil-fuel heating systems with low-carbon alternatives, and comprehensive building upgrades to reduce energy consumption.  

Although, the decarbonisation of heat is the main focus of the scheme, complementary renewable energy solutions must be included in an eligible project. Projects must also comply with the ‘whole building’ approach criteria of the fund. This inclusion enables the installation of smaller heating systems, supports site energy demand by generating electricity on-site, reduces dependency on the grid, and potentially eliminates the need for costly electrical infrastructure upgrades, all while lowering energy bills. 

The Public Sector Decarbonisation Scheme is available for a range of projects that meet the following criteria: 

• ‘Whole building’ approach: Projects should consider the energy performance of the entire building, ensuring that measures taken lead to long-term improvements in energy efficiency and carbon reduction including renewable energy such as solar thermal, solar photovoltaic and wind energy. 
• Energy efficiency: Projects should target energy savings through improved insulation, lighting, or HVAC systems, ensuring that any upgrades align with broader sustainability goals and reduce the capital cost for the low carbon heating solution and reduce the overall energy demand for the site. 
• Low-carbon heating solutions: Buildings must transition to low-carbon heating systems, such as heat pumps or biomass boilers, which provide cleaner alternatives to the existing ‘end of life’ conventional gas or coal and oil heating. 

Since its inception, the Public Sector Decarbonisation Scheme has been delivered in phases, with each phase targeting on the specific goal to decarbonise heat in public buildings. The initial phases of the scheme have already demonstrated significant success, funding projects that reduce emissions across schools, hospitals, local authorities, and other public bodies. 

For example, during Phase 1, around £1billion was allocated to projects that focus on reducing direct emissions from public buildings. And for Phase 3, around £1.4 billion was allocated to projects that replace end of life fossil fuel heating - continuing to support ambitious energy-saving projects, with an emphasis on incorporating renewable energy sources.  

One of the key differences in Phase 4 of the Public Sector Decarbonisation Scheme is that the government changed the way the funding would be allocated. It has moved away from the ‘first come first serve’ system. 

And just as in previous phases, renewable energy solutions are included in the eligible technologies. These include solar thermal, small hydropower, solar PV and wind turbine.  

Future opportunities: community energy and beyond 

Looking ahead, renewable energy offers exciting opportunities for public sector organisations and communities. Community energy is one such opportunity, where local groups or authorities can take ownership of renewable energy projects, providing clean power to their communities and reinvesting profits in local development. 

By facilitating community energy projects, alongside other financial bodies we could help unlock the potential of localised energy generation. This not only supports the decarbonisation agenda but also fosters energy independence and resilience at the community level. 

As the UK accelerates its journey toward net zero, renewable energy will be a foundation of the transition. Salix, with our robust funding schemes, is playing a vital role in ensuring that the public sector can lead the way in decarbonisation and energy efficiency. By supporting the installation of renewable energy systems, improving building efficiency, and promoting low-carbon heating solutions, together with government we are enabling the UK to meet its ambitious climate goals. With future opportunities like community energy on the horizon, the path to a cleaner, greener future is more achievable than ever. 

For more information about our work please visit our Salix website.