UK Green Investment Bank plc (GIB) and Sustainable Development Capital Limited (SDCL) have today committed £17.5m to the UK’s largest ever fully-funded LED lighting retrofit programme.
The project will see more than 90,000 LED lamps installed in Santander’s 800 British branches. The installation, which is scheduled for completion by the end of this year, will also extend to the bank’s 14 UK office buildings.
The SDCL-managed UK Energy Efficiency Investments Fund, in which GIB is a cornerstone investor, is investing £8.4m in the project. A further £9.1m of private sector investment has been mobilised from a parallel fund, UK Energy Efficiency Investments 1A.
The project will cut greenhouse gas emissions by approximately 7,000 tonnes annually, the equivalent of removing 3,000 cars from the road, and generate energy savings of more than 50% across the Santander estate.
Santander, the UK’s fifth-biggest bank, says the improvements to the quality of its lighting will also enhance the customer experience.
Under the deal, SDCL will provide lighting services, designed and delivered by GE Lighting, for ten years in all branches.
Amber Rudd, Secretary of State for Energy and Climate Change, said: “We need research, innovation and serious private sector interest in clean energy technology to make real progress in transition to a global low carbon economy. The LED lighting retrofit project is a great example of steps that can be taken by companies to cut greenhouse gas emissions.
“I want a global deal in Paris that will help to ensure our long-term economic security, creating a level playing field for businesses and clearing the path for private sector investment in clean technologies.”
Chris Richold, Director, Santander, said: “Santander has been keen to demonstrate leadership in environmental sustainability and finance. There are fewer better ways to do so than to conduct and finance an energy efficiency upgrade throughout our entire UK estate. We look forward to working with SDCL and GE to help replicate similar solutions for our clients in the UK and around the world.”
Ed Northam, Head of Investment Banking, UK Green Investment Bank, said: “The relatively simple action of installing LED lighting can have a big impact on efforts to reduce the cost of electricity and cut energy demand while creating a better environment for customers, clients and employees. Santander has recognised this, and should be congratulated for sending a signal to corporate UK that energy efficiency makes good business sense.”
Jonathan Maxwell, Chief Executive, SDCL said: “Santander is one of the largest banks in the world with an extensive estate across the UK, which is a large energy consumer. We are delighted to be investing in such an important project involving the implementation of world class energy efficient technology solutions from GE Lighting, the leading global company and also HVAC solutions from Daikin, the world’s largest air conditioning manufacturer.”