Green energy sources have taken a blow after a survey of major energy users found that more than half had no plans to buy green energy. The survey of over 50 major UK and European energy buyers with a collective annual energy spend of up to €20 million suggests that renewable energy has a long way to go to persuade big firms to invest in it.
Energy specialists EnergyQuote JHA found that 37% would only consider buying green energy at little or no extra cost. This was despite the fact that a majority of firms polled said they thought oil prices per barrel would remain higher than this year’s average in 2012.
Although many businesses snubbed green energy because of the bigger price tag, the prospect of making their own energy was appealing with 82% considering on-site generation, including wind, solar and biomass options.
But less than a third of firms were fully prepared with risk management strategies, which was risky in a time when “rising energy costs are set to be the future norm adding further pressure to the competitiveness of European intensive energy consumers,” said Gary Worby, Managing Director at EnergyQuote JHA.
He said: “It is therefore of paramount importance that European energy consumers have a formal risk management strategy that fully reflects the various hedging options and renewable generation opportunities.”