The Green Investment Bank (GIB) is contributing half of a £50m lending pot for NHS energy efficiency projects.
The first scheme to benefit is the Queen’s Medical Centre in Nottingham, which is part of the Nottingham Universities Hospitals Trust. It includes upgrading the exisiting combined heat and power plant, boiler and other measures.
The GIB and its partner De Lage Landen will contribute £7.5m to be paid back over 15 years for work to be carried out by energy services group Interserve. It is estimated that annual savings will amount to £2.8m throughout that period.
GIB CEO Shaun Kingsbury, left, said that arrangements such as this could save the NHS £150m from its total energy bill of £750m. The service has a target of reducing greenhouse gas emissions by 10% by 2015.
Hard FM compliance manager Andrew Camina of the hospitals trust said: “We are committed to doing all we can to save energy and reduce our carbon emissions at our hospitals which make up one of the biggest acute teaching trusts in the country.
“We are pleased to be working with partners to do all we can to reduce energy costs and emissions and seek to find ever more innovative ways of reducing energy use.”
Business secretary Vince Cable said the fund was part of the government’s strategy to encourage companies “to invest, securing green jobs and a stronger UK economy”.
“This latest project in Nottingham is part of Government’s continued investment to help the NHS transition to a more energy efficient working environment, cutting greenhouse gas emissions and saving the economy millions each year on reduced energy costs,” he added.