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January 2004

Water Efficiency-Maximising the Potential For Savings

How efficient is your business with its water use? The chances are that if your business has never reviewed water use then significant savings could be made, both in terms of water lost and the financial cost of water and waste water.

The table below details water losses from just one leaking tap, and the associated cost in water and waste water charges. Looking at this information, the potential for water and cost savings to be made across a whole site becomes clear.

Two drops/second

 

Loss per minute

18ml

Annual loss

9.5m3

Annual water and waste water cost

£16*

5mm stream of water

 

Loss per minute

1 litre

Annual loss

526 m3

Annual water and waste water cost

£883*

*Costs are based on Wessex Water's 2001/2002 charges.

According to Envirowise (a UK government funded waste management agency), sites that have not previously examined their water consumption can usually achieve savings of approximately 20% on water and effluent. This can be done by implementing simple water management measures at little or no extra cost. However, there is scope to increase savings to over 40% by implementing more structured longer term projects.

Businesses that reduce water consumption and improve their sustainability benefit from:

  • Reduced water supply and treatment costs as well as on-site effluent treatment and disposal costs.
  • Compliance with regulatory requirements, such as those recommended by the Pollution Prevention Control (PPC) regime.
  • Improved security of supply, for example, in times of drought.
  • An improvement in environmental performance leading to improved relationships with stakeholders.

To help encourage more companies to review their water use and invest in water efficient technologies, the government launched the Water Technology List (WTL) in November 2003. This list has been developed and is managed by the Inland Revenue and the Department for Environment, Food and Rural Affairs (Defra) in partnership with Envirowise. The list provides information on products registered by water technology manufacturers and suppliers that meet published water efficient criteria detailed in the WTL. The list contains a range of equipment from the 5 qualifying technologies;

  • Metering and monitoring equipment,
  • Flow controllers,
  • Leakage detection equipment,
  • Low flush toilets, and
  • Efficient taps.

To provide further incentive to encourage companies to make investments in WTL equipment, the government's Enhanced Capital Allowance Scheme (as announced in the November 2003 budget) enables businesses to write off 100% of any investment in WTL eligible sustainable technologies against tax in the year of investment. This shortens the payback period for the investment and provides a significant cash flow boost. Businesses can claim:

  • The price paid for a new product, and
  • Costs directly associated with the installation of the equipment.

The ECA is claimed as part of the business's normal income/corporation tax return calculations. All businesses that pay corporation and income tax in the UK are eligible for the tax allowance.

According to Environment Minister Elliot Morley:

"Water is becoming an increasingly valuable resource in today's world. This Enhanced Capital Allowance scheme is a great way to encourage the take up of water technologies and promote the efficient use of water."

If you think your business or site could benefit from reviewing its use of water, please contact Galit Hart at Pro Enviro for an informal discussion.

Pro Enviro can help you in assessing and understanding better your site's water usage and requirements. We can also provide advice and assistance in the identification of suitable equipment from the WTL that could help your company save water and money.

 
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