Posted by Ewan McClymont on 08/03/2010
Last week, we talked about a 0% loan that can be used to save on energy costs. If that isn’t tempting enough, why not turn your business into an electricity producer rather than just a consumer? Imagine getting paid a guaranteed sum, linked to the Retail Price Index, for at least 20 years. Imagine getting paid this sum for electricity that you would have consumed anyway, and imagine even getting paid for any electricity that you produce but don’t need.
We haven’t made this up, but it’s so good, we felt you needed to know about it. In order to meet its Renewables Obligation, from 1st April 2010 the Government will introduce a Renewable Electricity Feed-in Tariff (FIT). The scheme will support renewable electricity installations that generate up to 5 megawatts (MW) – these include anaerobic digestion, hydro, wind, and solar photovoltaic systems.
A ‘generation tariff’ will be paid for every kilowatt hour (kWh) of renewable electricity generated, guaranteed for 20 years (25 years in the case of solar photovoltaic). The rate will depend on the type of technology used and the scale of its generation capacity. For instance, a 4-10kW solar photovoltaic system would generate 36.1p per kWh under the proposed tariff rates. In addition, an ‘export tariff’ of approximately 3p per kWh will be paid for any unused electricity exported to the Grid.
Posted by Ewan McClymont on 03/03/2010
Businesses that implement cost saving energy efficiency measures could save around 20% a year on energy costs. That’s money that protects your margin and flows straight to the bottom line. Interested?
0% Loans from the Carbon Trust
Getting access to any type of loan to stay ahead is really difficult in the current climate. The chance of getting a 0% loan is therefore a no brainer. The Carbon Trust is offering businesses like yours interest-free energy efficiency loans of between £3,000 to £500,000. The loans are unsecured, carry no arrangement fee, and can be spread over a four-year period.
The loans can cover a range of energy saving investments such as replacing old inefficient equipment, installing intelligent lighting systems, solar heating, building insulation, boilers, heating control systems, and variable speed drives.
The online application process is easy to use and you’ll get a response within 24 hours. Each application is assessed on its energy saving potential and the technology involved. Quite simply, the higher the CO2 saving, the bigger the potential loan.
Some companies that have already cut their energy bills –
- A £12,000 loan helped a manufacturing company to install an efficient, variable speed air compressor. They saved £6,500 per year, meaning the loan paid for itself within two years.
- A South Devon residential care home used a £12,500 loan to install energy efficient lighting, update the hot water system and install solar tubes, saving them £4,800 a year on their energy bills.
- A packaging company took out two loans totalling £288,000 to improve their lighting and update inefficient printing equipment. The changes are forecast to save them £129,000 per year.
For more information contact 01865-885837 or visit http://www.carbontrust.co.uk/loans
Posted by Tim Godfrey on 09/02/2010
The Business Payment Support Service was introduced by HM Revenue & Customs back in 2008, and whilst it may have been largely forgotten, it can still be very useful.
The scheme allows individuals and businesses to discuss a payment plan with HMRC that will permit them to pay VAT, PAYE and other tax liabilities over an extended period of time. In many cases, HMRC may also reduce interest rates.
Whilst the indications may be that the recession is over, difficult trading is going to continue for the foreseeable future. This is just the time when the scheme may be most useful, easing cashflow and providing peace of mind.
Our dedicated tax team has already arranged payment programmes for many of our clients. If you’d like to take advantage of the scheme, contact your usual Bishop Fleming advisor.