Investigating the total costs to business of investing in energy efficiency technology

A piece of research is intended to improve the evidence base on the costs that businesses face when making investments in energy efficiency technology.

The key aims of this research are:

1. To produce quantitative estimates of the scale of non-capital costs relative to capital costs that are typically considered by businesses in their appraisal of energy efficiency and low carbon investments. This may be from an appraisal process at board level or by individual budget holders within businesses (e.g. energy mangers).

2. Provide greater understanding- and estimates where possible- of firms’ approaches to project risk, cost contingencies, discounting and payback periods.

3. A greater understanding of the investment framework and process, and their effects on a firm’s ability to carry out energy efficiency investments that would appear to be commercially viable.