Energy Management

Premier Foods is the largest food producer in the UK and a significant energy user.

The cost of energy is predicted to rise steadily over the foreseeable future. Recently, energy prices have been subject to considerable volatility and are therefore increasingly more  difficult to predict. As the UK is now a net importer of energy the security of energy supplies is becoming a major concern. Most of the fuel used to produce energy is derived from non-renewable sources of fossil fuels such as gas, oil and coal; all of which cause significant emissions, including carbon dioxide which is a major contributory factor in global warming.

Our Issue

Premier Foods uses energy in many ways, for processing agricultural raw materials into finished food products, for moving materials within its factories, for cooling, storage, packing, cleaning and emissions control. In view of the global issues concerning energy security and
the sustainability of continuing use of fossil fuels, it is essential that our energy usage is managed effectively and efficiently and that opportunities to adopt alternative and renewable energy solutions are identified and realised.

Our Response

In September 2010, Premier Foods registered as a participant in the UK Carbon Reduction Commitment Energy Efficiency Scheme, and was able to claim a full Group exemption on the basis that over 90% of the Group energy use is covered by a Climate Change Agreement. In 2010, we continued to develop a Group-wide initiative to identify opportunities for saving energy and to reduce energy use throughout all operational sites.

Outcome

Energy reduction action plans have been established and are being implemented throughout the Group. Opportunities for energy saving have been identified through a range of  techniques, including base load analysis, steam and compressed air surveys; these have led to improvements in energy management, and increased efficiencies in steam and compressed air generation and use.

Performance to Date

We reduced our overall consumption of energy used in manufacturing by 4.1%, a saving of 67,390 MWh. We have set a further 3% energy reduction target in 2011 against a 2010 baseline.