CSR: Could the Green Deal be opened to UK businesses?

The UK Government's Green Deal - which will advance cash to homeowners to make energy efficient alterations - has just been extended to the rental sector. From 2015, landlords will have to make any 'reasonable' alterations to property.

However, there are increasing calls for the Deal to be extended to commercial property. This would make it easier for small businesses in particular to implement energy efficiency as part of their CSR strategies.

The UK Government hopes that the Green Deal will help to contribute to Britain's economic recovery. It will lead to 100,000 'green' jobs.

Under current proposals, households could get up to £6,500 to for eco-friendly home improvement which they would then repay over time via savings on their energy bills. However, construction experts, such as the Green Building Council, have pointed out the large contribution to CO2 emissions made by commercial premises. For this reason many businesses, not just construction firms, are concerned to include 'green' refurbishment in their CSR policies.

Commercial property is responsible for 17% of UK emissions. Small businesses in particular, however much they may want to address this in their CSR activities, simply cannot afford the capital costs. Retrofitting property is an expensive business and in a recession, fewer businesses are prepared to take the risk.

Obviously this will increase the expense of the Green Deal, as £6,500 is a drop in the ocean for the cost of business refurbishment.

The Green Building Council, which runs its own 'Campaign for Real Data', has already pointed out the lack of readily available data for the whole life cycle of the built environment. The Council argues that buildings in use always use more energy than models at the design stage and that adding that data to the design model is important to gain an accurate picture of how much energy buildings are actually using.

It is keen for a fast rollout of the new Energy Performance Certificates - which are one way that businesses serious about CSR can demonstrate their commitment.

However, campaigners for 'green' commercial building have their work cut out. Where the UK Government gives with one hand, it takes away with the other. The Department for Culture, Media and Sport has just withdrawn funding from the Commission for Architecture and the Built Environment (CABE), campaigners on this very issue. CABE's 'Grey to Green' campaign argued strongly for investment in networks of green spaces to help cut carbon emissions.

Small businesses wishing to refurbish their buildings as part of their CSR commitment to cutting carbon should probably not get too excited yet. So far, the Green Deal is outside their grasp and likely to remain so for some time to come.

Photo credit: Steve Cadman