Resource efficiency: the low hanging fruit are still out there
Newly published Defra report outlines potential savings to the UK economy from resource efficiency interventions.
This latest Defra report, on a study by Oakdene Hollins available from the external link below, estimates potential savings to the UK economy from corporate resource efficiency interventions. The report demonstrates that there are still plenty of potential savings for companies from taking no-cost or low-cost actions to reduce resource waste.
Updating previous studies, Oakdene Hollins quantified savings of between £5.7 billion and £7.2 billion for the UK economy from efficiency improvements related to water, energy, raw material consumption and waste generation.
Overall savings opportunities have not changed much from previous studies that span 10 years. This is not a reflection of a lack of activity by companies taking resource efficiency opportunities. What it does indicate is a better understanding of the true cost of resource inefficiency – much higher in many cases than was originally estimated – through better evidence for some sector baselines.
There is still work to be done for other sectors to ensure the challenge and ambition of possible savings are properly quantified. For companies, the message is that resource efficiency savings are still there to be made. The report covers no-cost and low-cost opportunities (i.e. with a payback of less than one year) – so the predicted savings should be self-financing.
Oakdene Hollins has a strong track record in supporting clients with these and other challenges.