By Paul Miller, Director at Drax Energy Solutions
On Sunday 3 September, 25,000 cricket spectators sat down for a sold-out T20 game between England and New Zealand at Edgbaston Stadium. What made this game so compelling wasn’t the century-and-a-half-long rivalry between the two teams (although this was no doubt a contributing factor): it was the fact that this was to be the UK’s first ever sustainable international cricket match.
In a day built around sustainability, spectators got a hint at cricket’s future. Red meat was banned from hospitality menus, electric lawnmowers and rollers were used to prepare the grounds, and the entire 25,000-seater stadium was powered by wind, hydro and solar power.
It was an opportunity for Drax Energy Solutions to support Edgbaston Stadium and Warwickshire County Cricket Club to showcase how far they’ve come in reducing their carbon footprint and provide a blueprint for the future of sustainable sport.
For this to happen in 2023 – a year in which many organisations were forced to press pause on sustainability pledges to protect themselves against economic instability – makes this even more special.
For me, it touches on the optimism and resilience we’re seeing right now in the renewable energy market. 2023 proved a difficult year for a multitude of reasons. But in many ways, it highlighted how many businesses are committed to their obligations and are looking for guidance and support on how to stay on course.
The number of businesses involved in carbon reporting continued to grow last year, and we expect to see much more of this in 2024. We’re now at a point where we could soon see the introduction of standardised reporting. This would provide organisations with a clear and legally binding framework for quantifying, reporting and verifying their carbon emissions, which, in turn, could help them to deliver on their carbon reduction and removal strategies.
The other positive outcome of this trend is that we’re starting to get a lot more enquiries around fleet electrification, particularly as EV solutions in the UK mature. We’re consistently seeing business users looking for consultancy, installation, maintenance and management advice on how to move from a traditional ICE fleet to EVs. This is despite the financial restraints of last year having prevented some businesses from progressing at the speed they’d like.
The REGO market also became a particular area of concern for some businesses last year. Prices exceeded £20MWh, leaving some businesses with a difficult decision on whether to continue to procure renewable power or delay their commitments and obtain brown or low carbon options.
Although we expect to see more renewable generation assets come online in the future, which could see prices soften for UK REGOs, purchasing renewable power is still the most cost-effective way of delivering against Scope 2 emission targets. As we progress through 2024, the market should evolve to meet customer needs; however, it is understandably a challenge for many amidst current cost pressures.
Fortunately, the markets are looking more stable this year, providing some much-needed headroom. One of Drax Energy Solutions’ main priorities this year is to give business users visibility on the suite of decarbonisation solutions we offer – helping strengthen the balance sheet and deliver against Environmental, Social and Governance (ESG) targets. Although businesses will continue to exercise caution around their finances, Edgbaston has taught us that we can continue to work towards a sustainable future if we collaborate and keep an eye on the mission at hand.
