Renewable Energy Edition

The rise in importance for sustainability within the construction industry in 2023

Following the Energy Strategy released in 2022, which was aimed at accelerating the use of renewables such as new nuclear, hydrogen and wind power to secure clean and affordable energy for the long run; renewable energy for 2023 seems to be continuing in an upward swing. In 2022 we saw energy prices rise to prices higher than we have ever recorded previously and with the war in Ukraine causing turbulent energy security, the demand for clean and secure energy has never been more important. The construction industry is working towards more energy-efficient practices and a net zero future, which is to continue throughout 2023. Many businesses are putting new sustainability measures in place to protect the long-term future of both the planet and the construction industry. Using renewable energies is one way the industry can become more sustainable, instead of relying on the depleting reserves of fossil fuels.

As businesses become increasingly accountable for their use of renewable energy, they also become more accountable for the sustainability of their supply chains. In the construction industry, clients and their stakeholders have their own reputation to maintain and values to uphold. They are becoming more conscious of sustainability and the importance of protecting the environment and the welfare of people. Construction companies' reputation and revenue are increasingly becoming reliant on sustainable business practices. Businesses are, therefore, having to re-think the way they approach their supply chains.

Department Highlight

Renewable energy and the rise of commercial disputes

As we have all seen in recent years, there is a level of uncertainty across all industries and some industries are inevitably more impacted than others including those involved with manufacturing or shipping. We have all seen issues impacting us both in our personal and professional lives. With the influx of fuel pricing throughout the pandemic, and more recently because of the war in Ukraine, we have noted that this has once again triggered energy and fuel prices for all.

Many industries are actively moving towards renewable energy resources in a bid to reduce their carbon footprint, as well as a more cost-efficient method in the long run without the need to be reliant upon what has transpired to be an unstable market, due to global issues beyond their control.

Shared Loop Systems – an answer to the energy crisis?

The ever-increasing prices of energy costs, volatile supply chains and worsening climate crisis have highlighted a need to reduce our reliance on fossil fuels - the use of ground source heat pumps is expected to play a key role in doing so.

Ground source heat pumps, sometimes referred to as a ground-to-water heat pumps, transfer heat from the ground outside to heat a property (including its hot water system) underfloor heating.

While in recent years the norm has been to fit individual heat pumps to properties, in this article we will explore the pro and cons of what is known as a share loop system (SLS).

Corporate Law and Construction: what you need to know

A guide for installing solar panels - for developers, building owners and tenants

The current Energy Crisis has meant that energy price caps are expected to rise to 82% by October. The increased pressures of living costs in the United Kingdom has led to a push for solar panel adoption. A solar panel array is a cheaper and efficient form of energy production, with sustainable benefits for the environment and energy bills. For developers and building owners, it can be an attractive asset to add to your property. For tenants, the installation of solar panels can save you money through lower energy bills and a reliable source of energy production. When exploring solar options, you should be mindful to the obligations and agreements that must be in place to ensure that you are financially protected. In the following article, there will be consideration as to the regulatory requirements, the obligations, the benefits from the angle of the developer, the building owner, and the tenant.

Recruitment in the renewable energy sector: The skills gap challenge

The shortage of skilled workers within the UK has far-reaching implications throughout the renewable energy sector. As new technology sees the sector advance, the openings for skilled workers continue to increase, with organisations fearing that failure to source candidates with the necessary skills will see the much-needed progress begin to slow.

Many of our clients are battling the ongoing talent shortage in the UK amid global competition for top talent. Hiring internationally appears to be one of the best ways to deal with the talent shortage locally and there is no doubt that the glaring skills gap within the UK will see more organisations looking globally to source the appropriate candidates.

Environmental initiatives for property in 2023

Sustainability and decarbonisation targets to remain at the top of the agenda for UK construction throughout 2023, and here we look at some areas of legislation and initiatives that are set to influence the real estate sector in the next 12 months.

In an article shared in an earlier edition of our construction e-news, we discussed how the Environment Act 2021 was set to impact planning decisions in residential and commercial development. Towards the end of 2023, secondary legislation will come on track requiring all planning applications for development (bar a few exceptions) to include specifics on the delivery of at least a 10% biodiversity net gain. This means that the land being developed needs to be left in a better state than it was in at pre-development. While some authorities have embraced this initiative already, it will become law for all later this year. The schemes dealing with the on and offsite environmental measures will need to be considered carefully, as they need to be managed and maintained for a minimum of 30 years. These requirements will be part of section 106 planning obligations and conservation covenants and enforced this way.

Litigation Risks in Renewable Energy

When American Scientist Charles F Brush invented the first turbine to harness the power of the wind to generate electricity, he might not quite have appreciated that, over 130 years later, hundreds of migratory birds would meet their doom by absent-mindedly piling into the blades of modern iterations of his machine. Even less on his radar will have been the prediction that some sites in his home country would be subjected to criminal charges as a result, with some windfarm owners incurring over $1/2m per year in bird strike mitigation measures.

He had never heard of "Wind-Turbine Syndrome", a very recent term coined to group together symptoms of headaches, tinnitus, vertigo, psychiatric issues, and even cancer allegedly caused by windfarms and reported by some who live nearby. He is unlikely to have experienced seizures from the "flicker effect" they are said to cause however, these clearly serious symptoms have been the subject of high-profile litigation.

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