The UK Government is exploring a shift to a zonal pricing system for energy, which could bring significant changes to how businesses procure energy.
A recent study by True, in collaboration with Open Energy Market, revealed that many businesses struggle to navigate the existing complexities of sustainable energy procurement, raising concerns about their readiness for additional changes.
The research shows that only 20% of businesses feel they have a moderate understanding of important sustainability concepts such as Scope 3 emissions, which track the indirect emissions throughout a company’s supply chain.
A focus on cost savings rather than carbon reduction is evident, with 84% of businesses prioritising financial considerations over environmental targets in their energy strategies.
Barriers slowing progress towards more sustainable practices include lengthy internal approval processes, reported by 25% of respondents and resistance to change within organisations (21%).
Chris Maclean, Chief Executive Officer of True, said: “Sustainability is no longer just a climate goal – it’s a commercial imperative. Understanding energy markets and how sustainable business practices fit within them is now a top priority for companies seeking long term success.
“Our research reveals a significant gap between business leaders’ confidence in their sustainability strategies and their ability to execute plans that are both environmentally and commercially viable.
“This gap must close if businesses are to turn ambition into action and harness the full
potential of net zero.”
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