MAS support to manufacturers on low carbon opportunities
Due to the threat of climate change, the UK needs to cut emissions, maintain secure energy supplies, and maximise economic opportunities. Making this transition means moving the UK to a low carbon economy, becoming more resource efficient, and seizing market opportunities to supply and lead the low carbon industries of the future. MAS can offer specific advice to companies to help them make the most of low carbon business opportunities across England including low carbon market and advice on how to achieve more sustainable processes and boost the bottom line through the more efficient use of energy and other resources.
The Manufacturing Advisory Service (MAS) provides advice on best practice manufacturing. MAS is now in the process of expanding their services to provide more specialist advice to manufacturers on competing for low carbon opportunities.
MAS can offer specific advice to companies to help them make the most of low carbon business opportunities across England. This advice covers low carbon market opportunities including advice on nuclear new build and other low carbon energy sectors.
Advice is also available on how to achieve more sustainable processes and boost the bottom line through the more efficient use of energy and other resources.
MAS will deliver this through its demand led general enquiry service line, detailed manufacturing reviews and projects to implement detailed action plans. MAS will promote the service through its website and through events and seminars, and on a pro-active basis by contacting known companies that may have opportunities in these markets.
The government's MAS is designed to help manufacturers streamline processes, reduce waste, become more energy efficient and generally improve their business. Experienced and highly skilled practitioners all have 'hands-on' experience of both shop-floor working and management skills. They will work with you and your workforce to ensure that your business is run in the best way possible.
Introduction
Due to the threat of climate change, the UK needs to cut emissions, maintain secure energy supplies, and maximise economic opportunities. Making this transition means moving the UK to a low carbon economy, becoming more resource efficient, and seizing market opportunities to supply and lead the low carbon industries of the future.
The low carbon economy presents opportunities in a variety of manufacturing sectors, including in renewable energy generation, transport, construction and information and communications technology.
This guide gives an overview of opportunities for businesses to manufacture new low carbon goods, across the economy. It also outlines how you can make your own business low carbon.
Moving towards a low carbon economy
There is strong scientific evidence to show that climate change is a result of greenhouse gases (GHG) produced by human activities - including those released during industrial production, energy use, consumption and deforestation.
If left unchecked, climate change could severely damage ecosystems in many parts of the world - possibly causing loss of human life and social breakdown, as well as wide-scale ecological damage. In order to combat climate change, the government has set 'carbon budgets' aiming to cut UK GHG emissions compared to 1990 levels by: 34 per cent by 2020.
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34 per cent by 2020
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80 per cent by 2050
Growing demand for low carbon goods and services
In order to reduce GHG emissions to these levels, the UK will need to produce approximately one tenth of the carbon dioxide emitted today. This will transform the way the whole UK economy works. In order to support these changes, the UK government is investing in energy efficiency and low carbon energy technologies such as renewables, nuclear and carbon capture and storage - this aims to improve their profitability and help businesses bring them to market.
The transition to a low carbon economy presents major opportunities for UK businesses. The global demand for low carbon and environmental goods and services is already worth £3 trillion per year, and could grow to over £4.3 trillion by 2015.
For information about which business areas are likely to benefit, see the page in this guide on key low carbon markets and locations.
Opportunities and risks for businesses
The transition to a low carbon economy may have a number of effects on your business, providing both opportunities and risks. These include:
- Regulations - this includes legal requirements on operational emissions, carbon markets and product standards. It could cost your business money to bring your operations into compliance, as well as risks of litigation if you cannot do so. There could also be increases in tax. However, there may also be subsidies and credits that could help your business financially to meet legal requirements.
- Market dynamics - as a result of the shift towards a low carbon economy, there will be changing consumer attitudes and demands. This will lead to new technology, products and markets, giving many business opportunities in these areas. However, energy costs could fluctuate and increase.
- Physical impacts - as the economy changes, your supply chain could be disrupted and your physical assets may not be as well protected. Insurance costs may increase and it could cost you to adapt your business to meet legal requirements. All this in turn could disrupt your workforce and interrupt your day-to-day business.
- Reputation - as government demands and policy change, so will the demands and opinions of consumers, retailers and society in general. This could have an impact on your brand and business image, and you will need to respond to how your employees, customers and potential investors perceive you.
In order to succeed in a changing, low carbon economy, you and your business should prepare for any potential risks, and aim to exploit any opportunities.
Key low carbon markets and locations
The low carbon environmental goods and services sector employs about 880,000 people in the UK. This includes the 'green' manufacturing industry and its supply chain, as well as businesses that provide environmental services like environmental consultancy or carbon finance. The sector is expected to continue to grow through the economic downturn, growing by over 4 per cent each year up to 2014-15.
The 2009 Budget provided over £1.4 billion for the low carbon economy. Overall, there is set to be an extra £10.4 billion investment in low carbon and energy sectors over the next three years.
The impact of moving to a low carbon economy is likely to vary depending on the sector your business operates in. According to a Carbon Trust report entitled "Climate change - a business revolution", the opportunities provided by transition to a low carbon economy could help a business to increase its value by up to 80 per cent. This depends on whether it is in a key low carbon market sector and takes opportunities proactively. Businesses that do not respond to changes needed by the low carbon economy could decrease their value by up to 65 per cent.
Key business sectors and markets
There are a number of markets for manufactured goods that are likely to benefit from the low carbon economy. These include:
- offshore wind generation
- marine energy
- low carbon vehicles
- carbon capture and storage
- nuclear energy
- solar power
- renewable building technologies and materials
- geothermal energy
- renewable chemicals and industrial biotechnologies
- low carbon electronics and information and communication technology
Indirect involvement in the low carbon economy
While your business may not be directly involved in one of these sectors, you may be able to benefit from supplying a business that is. For example, car manufacturers are likely to have extensive supply chains.
If your business can supply products that have a low environmental impact, you could benefit from indirect involvement in the low carbon economy. For example, the government has published a list of sustainability standards for a range of commonly-purchased products including IT equipment, white goods and paper. You can find the Buy Sustainable - Quick Wins list on the Department for Environment, Food and Rural Affairs website - Opens in a new window.
Low Carbon Economic Areas (LCEAs)
The government is aiming to increase low carbon economic activity in areas where existing geographic and industrial assets provide clear strengths. For example, the LCEA in the South West of England will focus on the development of marine energy demonstration, servicing and manufacture, while the North East LCEA will focus on ultra-low carbon vehicles.
The government is also working with national, regional and local partners to identify further LCEAs that could be set up to develop the key low carbon sectors. You should think about how your business can benefit from LCEAs.
Climate change effects on business summary on the Carbon Trust website - Opens in a new window
South West LCEA information on the SW Councils News website - Opens in a new window
UK Low Carbon Industrial Strategy information on the BIS website - Opens in a new window
Becoming more energy and resource efficient while increasing your business opportunities
Becoming a low carbon business can help you cut costs, now and in the future - through increased growth by entering expanding low carbon markets, and through improved reputation and branding. You can also manage the risks of rising fuel costs, decreasing raw materials, new public policies and the physical impacts of climate change.
By cutting costs and engaging people, your business will be better placed to react to rising fuel prices, changing consumer demands and new government policy.
There are also a number of other risks that you should consider. The impacts of climate change are already being felt across the UK, in the form of flooding, rising sea levels and more extreme storms and weather patterns that will increasingly affect homes and businesses in different parts of the country.
You can find out more in the Business Link guides climate change and cutting your carbon emissions and how to make your business more sustainable - an overview. – Opens in a new window.
In order to reduce your business' carbon emissions, you should:
- measure your emissions, develop a carbon action plan and set a definite reduction target
- encourage your employees to reduce their carbon emissions at home and at work
- work with your suppliers to reduce carbon emissions in your supply chain
- engage customers by offering low carbon products, services and incentives to change to low carbon behaviours
Carbon Reduction Commitment (CRC) Energy Efficiency Scheme
If your business' annual electricity use was at least 6,000 megawatt hours of half-hourly metered electricity in 2008, then you must participate in the CRC Energy Efficiency Scheme. This scheme is due to begin in April 2010, and will help change behaviour and infrastructure amongst participants in order to reduce carbon emissions, primarily through energy efficiency measures.
The scheme will operate as a 'cap and trade' mechanism, providing a financial incentive to reduce energy use by putting a price on carbon emissions from energy use. Under the CRC Energy Efficiency Scheme, you will have to buy allowances equal to your annual emissions. In the three year introductory phase of the scheme, allowances will be sold at a fixed price of £12 for every tonne of CO2. From 2013, a cap will be placed on the total allowances available. Each participant can therefore determine the most cost-effective way of reducing their emissions.
Your performance in reducing emissions will be published in the form of a league table to create a reputational incentive for improving energy efficiency. The league table will also provide financial incentives. All of the revenue raised by the annual sale or auction will be recycled to participants, so that those who are performing better will receive a financial bonus, whilst those performing badly will be penalised.
A dedicated helpline has been set up by the Environment Agency, which is the administrator for the scheme. For information on whether you qualify for CRC, how to register or for any other enquiries, you can contact the Environment Agency by email at crchelp@environment-agency.gov.uk.
Trading emissions allowances
Your business may be able to profit from trading emission allowances under the CRC Energy Efficiency Scheme or the European Union Emissions Trading System (EU ETS).
You can find EU ETS information on the DECC website - Opens in a new window.
British Standard PAS2050
Your customers and other stakeholders are increasingly likely to want your business to report your carbon emissions. Carbon reporting is also more and more likely to become key to your business' competitiveness when tendering for contracts.
The British Standards Institution, together with the Carbon Trust and Department for Environment, Food and Rural Affairs, has produced PAS 2050. This is a carbon footprinting standard for products which provides a method for assessing the green house gas emissions produced by products across their life cycle - from the initial sourcing of raw materials through to manufacture, transport, use and ultimately recycling or waste.
The Carbon Disclosure Project (CDP)
The CDP is an independent charity that holds the largest database of primary corporate climate change information in the world. About 2,500 organisations across the globe measure and disclose their greenhouse gas emissions and climate change strategies to the CDP. This data is collected and distributed by the CDP annually on behalf of institutional investors, purchasing organizations and government bodies.
Read information and news on the CDP on the CDP website - Opens in a new window.
The Carbon Top3Map
Business opportunities in energy and resource efficiency
There are two main areas of opportunity for businesses in energy and resource efficiency, including:
- low carbon goods and services - eg energy efficient goods
- resource management goods and services - eg recycling
There are many opportunities for businesses in the new low carbon economy. You can increase profits by responding to consumer demand for low carbon goods and services. You may also take advantage of the needs or wishes of other businesses to transform as part of the low carbon economy - either for reputation or because of new regulations. Some of these new opportunities will only require simple changes to your existing products. Alternatively, you may create a product that will deliver a significant change. There are still opportunities to get into the early stages of growing markets - for example, products which help other businesses manage their resources and carbon emissions more effectively.
Taking advantage of the growing market for low carbon products or services
Whether you sell direct to consumers or to other businesses, there is a growing UK and global market for low carbon goods and services. In order to take advantage of these new and growing business opportunities, you may have to either adopt existing low carbon technologies and processes, or use new energy efficient technology.
Support for innovation
In order to help with the pre-commercial costs of developing low carbon innovations which could transform industrial processes - eg vehicle propulsion, building, energy generation or chemical manufacture - the government offers support through a variety of organisations and schemes, including:
- the Technology Strategy Board
- the Energy Technologies Institute
- the Carbon Trust
- research and development tax credit scheme - see the Business Link guide on tax reliefs and allowances for research and development – Opens in a new window.
- Regional Development Agencies
- the UK Innovation Investment Fund
The Carbon Trust runs specialist business incubation schemes to help businesses develop the skills to bring low carbon and environmental innovations to market. Read about the Incubator Scheme on the Carbon Trust website - Opens in a new window.
British Standard PAS2050 information on the Carbon Trust website - Opens in a new window
EU ETS information on the DECC website - Opens in a new window
CRC energy efficiency scheme guidance on the DECC website - Opens in a new window
Business opportunities in renewable energy generation
One of the best areas of business opportunity as part of the move to a lower carbon economy in the UK, is in renewable energy generation.
If your business is looking for ways of getting involved in the renewable energy industry, you can apply to the Carbon Trust for, up to, a £500,000 Applied Research grant to develop carbon-saving technologies.
You can find Applied Research grant information on the Carbon Trust website - Opens in a new window.
The MCS is an independent, voluntary certification scheme that aims to increase customer assurance for suppliers of microgeneration technologies.
The scheme is administered by Gemsery and the microgeneration standards on installation and products are set by qualified experts appointed by the MCS Panel, which is made up of industry and key stakeholders.
Planning rules for small wind turbines are being relaxed so households and businesses can install them more readily. This is likely to increase the market for production and installation of small wind turbines.
The UK government is committed to large-scale offshore wind generation, and is reviewing the level of support provided to offshore wind through the RO in order to ensure that the UK benefits from the opportunities that offshore wind energy generation offers.
The Energy Technologies Institute (ETI) and the Carbon Trust are investing in a £40 million offshore wind programme to cut the costs of offshore wind power and accelerate its use around the UK. Projects for research, development and demonstration activities are now being commissioned.
You can access capital grants for demonstration of offshore wind generation technology components under the Low Carbon Energy Demonstration scheme. DECC sends out alerts when the application process is open for this scheme, and you can sign up with DECC as a business to receive email updates of such alerts.
Register for email alerts for a number of DECC services on the DECC website - Opens in a new window.
The government also aims to attract major turbine manufacturers to base their operations in Britain, which will increase demand for items in the supply chain.
Tidal range energy generation is a largely proven technology that could contribute around 13 per cent of Britain's energy supply. A government feasibility study into different options for tidal barrages and lagoons in the Severn Estuary will be published in 2010, and feasibility studies are also underway for the Mersey and Solway Firth.
Wave and tidal stream energy could supply up to 20 per cent of current UK energy demand and provide about 16,000 jobs in Britain. The Carbon Trust forecasts that the sector could grow by over 5 per cent annually until 2015, when it would start mass production. This sector also generates opportunities across the supply chain.
You can access various forms of financial support to help with the high cost of technological innovation and development. These include funding from:
- the Technology Strategy Board (TSB)
- Research Councils
- the ETI
- the Environmental Transformation Fund, which includes the Marine Renewables Deployment Fund (MRDF)
- the Renewables Obligation
- the new Marine Renewables Proving Fund
- ·public and private sources amounting to around £110 million for the Wave Hub in Cornwall
- UK government funding for wave and tidal testing facilities at New and Renewable Energy Centre in Northumberland and European Marine Energy Centre in Scotland - this testing will help the development and demonstration of infrastructure to encourage the development of technology and attract overseas investors
Biomass is a growing source of low-carbon, low-cost electricity and heat that could provide 30 per cent of our renewable energy requirement by 2020. In order to benefit from this source, it is important that the UK establishes supply chains for the necessary fuel and equipment. Currently, support for biomass energy generation is available through grants for capital expenditure, primarily aimed at low-risk, small-scale regional projects such as smaller scale heat applications which could later be extended to energy crops. If you are involved in a project like this, you may be able to obtain support from Regional Development Agencies.
Biomass grants include:
- DECC/Environmental Transformation Fund's Bio-energy Capital Grants Scheme and Bioenergy Infrastructure Scheme
- The Carbon Trust's Biomass Heat Accelerator Project
- The Energy Crops Scheme
You can find Bio-energy Capital Grants Scheme information on the DECC website - Opens in a new window.
You can also read information on the Energy Crops Scheme on the Natural England website - Opens in a new window.
Read information on the Distributed Energy Programme on the ETI website - Opens in a new window.
Business opportunities in nuclear power and carbon capture and storage
In order to make the transition to a low carbon economy, and to maintain its security of supply, the UK will need to produce its electricity from a diverse mix of low carbon technologies such as renewables, nuclear, and carbon capture and storage.
New nuclear power stations
The government has specified that it is the responsibility of energy businesses to fund, develop and build new nuclear power stations in the UK - including the full costs of decommissioning and their share of waste management and disposal costs.
To promote the development of new nuclear power stations, the government aims to remove any unnecessary obstacles stopping nuclear development. For example, they may provide public investment to promote the specific skills needed to build nuclear power stations in Britain.
There has been no limit set on the number of nuclear power stations that can be built in the UK, and utility companies have already announced that they plan to build between eight and ten new nuclear reactors over the next ten years, representing a market of between £24 and £30 billion. This market would create a large number of opportunities for small and medium enterprises to provide goods and services as part of their supply chains.
The UK is also one of the first countries in Europe to look to build more than one new nuclear plant. This will present UK businesses with the opportunity to become part of the global supply chain of utilities and reactor vendors. A recent assessment of the global civil market by Rolls Royce estimates that it could be worth around £50 billion a year by 2023.
As well as a range of other support, the government will provide capital investment, of up to £15 million, to establish a Nuclear Advanced Manufacturing Research Centre to advise and provide support for new nuclear power stations. This group will include different UK manufacturers and experts from British universities.
The government will also consider ways to strengthen the Manufacturing Advisory Service (MAS) to support UK based suppliers for the civil nuclear industry.
Carbon Capture and Storage
Fossil fuels will continue to play a significant role in providing energy for the foreseeable future. Carbon capture and storage (CCS) technologies can potentially reduce carbon emissions from fossil fuel power stations and industrial processes by up to 90 per cent. However, CCS technology is currently at an early stage of development. The individual processes in CCS - ie the capture, transport and storage - are not new, but the full chain of technologies has yet to be demonstrated together at a commercial scale on a power station.
In April 2009, the government announced a world-leading commitment to provide financial support for up to four commercial-scale CCS demonstrations. Additionally, any new coal power stations built in England and Wales will have to use CCS technology to capture the carbon they produce - at least 300 megawatt hours or more of their total capacity must be serviced with CCS technology.
Older coal power stations will have to be retrofitted with CCS to their full capacity within five years of CCS being independently judged to be technically and economically viable. This is estimated to occur around 2020.
The UK is in a position to benefit from being at the forefront of a technology that could create a multi-billion pound global market. A recent report by AEA suggests that low carbon technologies, including CCS, could represent a future market for UK businesses worth between £2 and 4 billion by 2030, and could provide between 30,000 and 60,000 jobs in the UK.
CCS information on the Department of Energy and Climate Change website - Opens in a new window
Business opportunities in low carbon transport and construction
UK greenhouse gas emissions from construction, existing buildings and transportation are currently very high, so moving to low carbon processes in these sectors is a priority.
Low carbon road transport
The European Union has set CO2 car emissions targets to reduce the amount of CO2 that cars are producing to 130 grams per kilogram by 2015 and ensuring that manufacturers comply. Short-term emissions reductions will come from improvements in existing vehicle technology (light weighting, aerodynamic design and improvements in engine efficiency), use of sustainable biofuels and better traffic management.
The medium to long term will see moves to ultra-low carbon vehicles (ULCVs), plug in hybrid electric vehicles and all-electric vehicles. In addition to car manufacturers, this offers opportunities to businesses that provide goods and services to manufacturers as part of their supply chain. The UK government is investing £400 million of support to low carbon road transport and has established the Office for Low Emission Vehicles (OLEV) as a cross-government team to implement policy. OLEV is tasked to ensure that the UK's transition to ULCVs deliver business opportunities as well as environmental benefits. Government support to date has included:
- providing a consumer incentive scheme of between £2,000 and £5,000 to reduce the upfront cost of vehicles for motorists
- the Plugged in Places scheme - up to £30 million of seed funding to local authorities and private businesses to install publicly available electric vehicle charging infrastructure in up to six cities
- the Alternate Fuel Infrastructure Grant Programme (AFIGP) - a £1 million scheme which supports the installation of refuelling or recharging stations for a range of alternative fuels
- the £140 million Technology Strategy Board (TSB)'s Low Carbon Vehicles Innovation Platform, including the ULCV Demonstrator Programme, which will trial 340 ULCVs across Britain
- ·the £20 million Low Carbon Vehicle Public Procurement Programme to support the public sector in purchasing low carbon vans
- ·the Automotive Assistance Programme (AAP) - a government scheme to provide support to the UK automotive industry to encourage continued investment
Low carbon rail transport
The UK government is developing plans for a major programme of electrification - this will phase out older, diesel engines for newer, electric trains. They are also aiming to more effectively integrate cycle and train transportation.
The government is investing £14 million in creating 10,000 extra cycle park places at train stations and turning ten major stations into 'cycle hubs' - offering secure covered parking, retail and repair, cycle hire and helpful information. Train operators are also getting funding to improve their cycle facilities. This should present opportunities for businesses that produce bicycles and their components.
Low-carbon buildings and construction
Buildings account for about 40 per cent of the UK's carbon emissions. The government's drive to reduce emissions in new and existing buildings is creating valuable opportunities in the design, construction, retrofitting, maintenance and operation of low carbon buildings and infrastructure. The plan is for all new homes to be zero carbon from 2016 and all new non-domestic buildings to be zero carbon from 2019. 'Zero carbon' means the CO2 a home produces through its use of resources, is either reduced, eliminated or offset and does not therefore contribute to the total amount of carbon produced by the UK.
New low-carbon buildings and retrofitting existing buildings will need the development and promotion of skills within the construction industry. Teaching low-carbon construction design skills, trade skills and building management skills will be a growth area. Publicly funded centres are being developed for training businesses in low carbon construction skills and innovation. Examples include the Suscon Academy proposed for the Thames Gateway and iNet for Sustainable Construction in the East Midlands.
Other UK government support for business opportunities in this sector includes:
- The TSB Low Impact Buildings Innovation Platform, which supports businesses in low carbon construction through research and development, demonstration and design competitions. Recent interventions include the 'Retrofit for the future' Small Business Research Initiative (SBRI) competition, a call on design and decision tools and a soon to be announced competition on user centric design and climate change design.
- The Knowledge Transfer Network for the Modern Built Environment (MBE-KTN) which aims to stimulate increased innovation and support its effective implementation for business benefit in the modern built environment.
- ·The Zero Carbon Hub - a non-profit, public/private partnership to monitor, coordinate and guide the zero carbon programme and engage organisations active in low and zero carbon homes.
- The Waste and Resources Action Programme (WRAP) has developed a voluntary agreement for individual businesses committed to reducing their landfill waste through greater reuse, recycling and recovery.
- Investment of up to £6 million to construct 60 or more low carbon affordable homes built with innovative, highly insulating renewable materials.
- ·A range of measures for supporting building-integrated photovoltaic and other renewable energy technologies.
Low Carbon Buildings Programme (LCBP) - for householders, communities and not-for-profit organisations
The LCBP is the government's £131 million capital grant programme offering capital funds for small scale onsite electrical and heat generating technologies to householders, public, community and not-for-profit sectors.
The programme serves to encourage the supply and installation of microgeneration technologies. Read information on the LCBP on the Department of Energy and Climate Change (DECC) website - Opens in a new window
Low Carbon Vehicles Innovation Platform information on the TSB website - Opens in a new window
Training in low carbon construction on the Smart Life website - Opens in a new window
Low carbon transport information on the DfT website - Opens in a new window
Low carbon social housing refits information on the TSB website - Opens in a new window
Automotive Assistance Programme information on the BIS website - Opens in a new window
Low Carbon Buildings Programme information on the DECC website - Opens in a new window
Resource on the Business Link site
Sustainable goods and services - an overview – Opens in a new window.
Construction and building trades – Opens ina new window.
Use resources efficiently in construction and building trades – Opens in a new window.
Low carbon business opportunities in advanced manufacturing
The chemicals and electronics industries are two key sectors in a move to a low carbon economy. As the UK aims to reduce greenhouse gas emissions, there will be many opportunities for the advanced manufacturing industry in the emerging UK and global low-carbon economy.
Growth areas for development include these low carbon products:
- synthetic textiles
- packaging
- weight reduction of vehicles
- low temperature detergents
- lubricants and piping
- fertilizers pesticides and herbicides etc.
- insulation
- lighting
- solar panels
- biofuels
- wind power
- carbon capture and storage
Chemicals and industrial biotechnology
As the chemicals sector moves toward manufacturing methods that produce less carbon, production of chemicals and materials may increasingly use industrial biotechnology. This is a technological process which uses the characteristics and properties of plants, algae, marine life, fungi, micro-organisms, or their products, rather than high carbon producing processes and petrochemicals.
To help small and medium enterprises (SMEs) to develop new industrial biotechnologies, the UK government is funding an open access demonstrator unit and is providing £2.5 million through the Technology Strategy Board (TSB) to support SMEs in accessing the demonstration. TSB will demonstrate containers for fermentation of up to 10 tonnes capacity of biological material especially for SMEs using microorganisms.
Low carbon electronics and information and communication technology (ICT)
ICT can enable significant carbon savings and deliver business growth in other sectors. For example, by replacing goods and services with virtual equivalents and providing technology to enable energy efficiency. Key areas where it enables energy efficiency include:
- vehicles
- logistics
- building technologies
- the energy grid
Virtual technologies such as online shopping, teleworking and remote communication are all altering the way we live and work
Potential business opportunities in low-carbon developments in this sector include power management devices that reduce costs and increase efficiency. For example, plastic electronics for applications such as low power displays, ultra-efficient organic LED- known as OLED - lighting and organic photovoltaic solar cells can all reduce the energy demands of a device. The global market for plastic electronics is forecast to grow from its current $1 billion to $20 billion in 2012 and $57 billion in 2019.
UK government support for the development of low carbon electronics and ICT includes:
- the Market Transformation Programme which develops evidence for business and government on the efficiency of electrical products, including ICT
- the Enhanced Capital Allowance (ECA) Scheme, which encourages businesses to invest in low carbon, energy-saving equipment
- energy efficiency proposals in the government's Budget to stimulate further domestic demand for low-carbon ICT products
- the Greening Government ICT strategy, which aims to make energy consumption of government ICT systems carbon neutral by 2012, and to make them carbon neutral across their lifetime (including manufacture and disposal) by 2020
- TSB support for research and development in plastic electronics, Knowledge Transfer Networks (KTNs) in ICT, Digital Communications, Electronics and Photonics and Plastic Electronics TSB Innovation Platforms in intelligent Transport Systems and Services, Assisted Living, Low Impact Buildings and Low Carbon Vehicles, which all include a strong electronics and IT component
Read Micro-Nano Technology Programme information on the TSB website - Opens in a new window.
Knowledge Transfer Partnerships information on the KTP website - Opens in a new window
KTN and TSB information on the KTN website - Opens in a new window
ECA information on the ECA website - Opens in a new window
Plastic electronics advanced manufacturing information on the BIS website - Opens in a new window
Other resources on the Business Link site
Restriction of the use of certain hazardous substances in electrical and electronic equipment (RoHS) – Opens in a new window
Waste electrical and electronic equipment (WEEE) – Opens in a new window
Design efficient electrical and electronic equipment – Opens in a new window
Eco-design of energy-using products – Opens in a new window
Support and funding for businesses wanting to provide low carbon goods and services
If your business is aiming to reduce its carbon use or provide low carbon products or services, there are a number of organisations that can provide advice, information or financial support.
The Technology Strategy Board (TSB) promotes and invests in new technology with applications in the low carbon economy.
The Energy Technologies Institute (ETI) is a private/public partnership, which invests in education and academics, as well as international systems and technology groups to encourage the development of low carbon energy technologies and solutions for commercial use in the UK.
Read about the work and services of the ETI on the ETI website - Opens in a new window.
The Carbon Trust was set up with the support of the UK government, and aims to accelerate the transition to a low carbon economy. It works directly with businesses to reduce carbon emissions and encourage environmentally friendly practices. The Carbon Trust also invests in new technologies and businesses that aim to help tackle climate change.
The Environmental Transformation Fund (ETF) is jointly administered by the Department for Food, Rural Affairs and the Environment and the Department for Business, Innovation & Skills (BIS). This fund will invest in early stage research and development of low carbon technologies. The ETF is not open to direct funding requests, but schemes funded by the ETF are publicised when funding is available.
Leapfrog is another newly-founded not-for-profit group who provide free advice and professional support services to businesses who want to reduce their carbon emissions
Read about the work and services of Leapfrog on the Leapfrog website - Opens in a new window.
There are also several Regional Development Agencies (RDAs) in England, who are involved in a variety of schemes that aim to help businesses move into the low carbon economy. You can find contact details for all English RDAs on the RDA website - Opens in a new window.
You can also get more information and local RDA contact details by calling the Regional Development Agencies National Secretariat on Tel 020 7654 1517.
Your local authority will also probably be able to provide further information on low carbon economy and environmental issues that are relevant to your area.
Find contact details for your local authority through our Contacts Directory - Opens in a new window
ETI work and services information on the ETI website - Opens in a new window
TSB work and services information on the TSB website - Opens in a new window
Incubator Scheme information on the Carbon Trust website - Opens in a new window
Research grants information on the Carbon Trust website - Opens in a new window
UK Innovation Investment Fund news and updates on the BIS website - Opens in a new window
ETF information on the Department of Energy and Climate Change website - Opens in a new window
Leapfrog work and services information on the Leapfrog website - Opens in a new window
Find contact details for your local authority through the Business Link Contacts Directory
SUMMARY
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The Manufacturing Advisory Service (MAS) provides advice on best practice manufacturing. MAS is now in the process of expanding their services to provide more specialist advice to manufacturers on competing for low carbon opportunities.
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The Manufacturing Advisory Service can offer specific advice to companies to help them make the most of low carbon business opportunities across England. Advice covers low carbon market opportunities, including advice on nuclear new build and other low carbon energy sectors.
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Advice is also available on how to achieve more sustainable processes and boost the bottom line through the more efficient use of energy and other resources.
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MAS will deliver this through its demand led general enquiry service line, detailed manufacturing reviews and projects to implement detailed action plans. MAS will promote the service through its website, events and seminars, and on a pro-active basis by contacting known companies that may have opportunities in these markets.
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The government's MAS is designed to help manufacturers streamline processes, reduce waste, become more energy efficient and generally improve their business. Experienced and highly skilled practitioners all have 'hands-on' experience of both shop-floor working and management skills. They will work with you and your workforce to ensure that your business is run in the best way possible.
