Car Dealers can Enjoy Substantial Savings through Energy Efficiency

UK CAR dealers could make substantial savings through implementing energy efficiency behaviour and technologies, according to the UK’s Society of Motor Manufacturers and Traders (SMMT).

New research into dealer energy efficiency revealed that the average car dealership could save as much as £10,000 a year by cutting its energy use.

The findings, published in the ‘Dealer Energy Efficiency Guide’, written by an independent energy efficiency expert on behalf of the Society of Motor Manufacturers and Traders (SMMT) in conjunction with the Retail Motor Industry (RMI) and the UK’s Carbon Trust, shows how dealers can become more energy efficient, thereby saving money and improving environmental performance.

The energy saving consultant visited 30 dealers to identify opportunities to improve energy efficiency across the sector. The dealerships, representing all major car manufacturers in the UK marketplace, were of various sizes and types with differing energy spends and occupying buildings of different ages in order to be representative of the industry as a whole.

“Reducing energy costs will help dealerships sustain their businesses and improve the motor industry’s carbon footprint,” said SMMT Chief Executive, Paul Everitt, “Our study shows some great work is being done, and highlights that more than £4,000 of savings are possible without spending a penny. Using the seven step action plan, outlined in the ‘Dealer Energy Efficiency Guide’, we will be working closely with retailers to encourage them to take action now and cut energy use for immediate energy bill savings.”

Chief Executive of the Carbon Trust, Tom Delay, said: “All businesses can save significant amounts of money by cutting down on wasted energy. Car dealerships are no exception. We’re pleased to see the SMMT showing leadership by highlighting this opportunity to its members and we have been pleased to partner with them on providing dealers with practical guidance on how to make savings.”

Director, RMI National Franchise Dealer Association (NFDA), Sue Robinson, said, “The findings of the report highlight the opportunities for dealers and provide tremendous scope by benefitting the environment and the dealer business.

“Many of the recommendations in the report have no or very little cost, other than making someone responsible at the dealership for overseeing expenditure on energy. Today’s dealers put a lot of resources into stock control and energy usage should be no different.

“Reducing the carbon footprint is a good enough reason for reducing energy costs, but saving expenses that go straight to the bottom line will be every bit as important to today’s dealers. Remember, every pound saved is an extra pound on the bottom line and a positive step for a greener environment.”

Based on the number of dealerships in the UK, up to £50 million worth of savings could be made across the automotive retail network per year, equating to a reduction of 300,000 tonnes of CO2.

Picture of UK Car dealerships © Copyright Richard Croft and licensed for reuse under this Creative Commons Licence

Tuesday 29th March 2011

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