Utility group cuts costs by generating its own power in record breaking year

North West water and wastewater company United Utilities has had a record year for generating its own renewable energy in-house, helping protect its water customers from rising power costs.

The Warrington-based company generated a record 210 GWh of renewable energy in 2021/22, equivalent to 26% of the company’s total electricity consumption, from a range of sources including a floating solar panel farm at a Manchester reservoir.

In addition, it published in its 2021/22 annual report last week, that the second of its six carbon pledges – 100% of electricity used from renewable sources – was achieved from October 2021.

United Utilities’ extensive renewable energy installation programme began in 2014, and it now has 70 solar, wind and hydro installations across the region, including Europe’s first commercial floating solar array on Godley Reservoir near Hyde in Manchester.

Other notable projects and successes as part of the route to net zero include:

• Hydro-turbine at Oswestry: Installed in 2019, this generates around 2,000,000 kWh per year, reducing the amount of electricity that has to be purchased from the grid which would otherwise cost around £300,000. The Feed in Tariff is also received, which is worth a further £140,000 per year.
• More than 60 MW of solar and wind generation has been installed over the past seven years, providing around six per cent of the total electricity required by the business.
• In financial year 2021/22 United Utilities had its best ever generation from combined heat and power (CHP) engines and biomethane production, which uses the biogas produced from wastewater treatment. CHP electricity generation provided 17% of total electricity usage, and the biomethane produced is exported to the gas network to off-set natural gas use. Last year around 50,000 MWh of biomethane was exported, which is enough for 4,000 homes per year, based on the average use per UK home.

Pat Horne, head of strategy and commercial bioresources, energy and carbon at United Utilities, said: “We set a record for renewable energy generation in 2021/22 and have used only green electricity from October 2021, which is great news to share as we mark Net Zero Week.

“We also installed more solar panels during the year and continued our Energy Management Programme, which helps us optimise site operations and enhance our energy performance.”

He added: “We know that energy prices have increased considerably this year and this is one of the biggest operational costs faced by businesses like ours. We’re committed to keeping bills as low as possible for our customers, so by generating our own energy in-house we can keep control of our costs. Not only does this make us a greener business, it makes us stronger in supporting households throughout the North West.

“As we look ahead to 2030 and achieving the rest of our net zero pledges, we are confident that we are on the right path and that our continued investment, innovation and analysis will help us achieve our ambitious and important goals.”

United Utilities has also achieved pledge 6 of its net zero goals – to set a target for emissions from the value chain. The remaining pledges where activities are progressing are: Pledge 1 – Reduce scope 1 (direct) and 2 (indirect) emissions by 42% compared to baseline by 2030; Pledge 3 – 100% green fleet by 2028; Pledge 4 – 1,000 hectares of peatland restoration by 2030; Pledge 5 – Create 550 hectares of woodland by 2030.