Small businesses warned mounting energy bills a threat to viability

SMALL and Medium Enterprises (SMEs) throughout Clare and Limerick were told yesterday they risk going under if they fail to control energy bills.

The warning came from the Limerick Clare Energy Agency at the launch of an Energy Management Certification project for SMEs in the Shannon area.

The pilot scheme, which is expected to be rolled out nationally, aims to assist participating SMEs on energy issues.

Junior Environment and Energy Minister Tony Killeen presented 12 business owners with certificates in recognition of their participation in the project.

Pat Stephens, director of the energy agency, said: “Growing uncertainty over future supplies of imported fuel coupled with the annual 10% to 20% increase in domestic energy bills will eventually cripple the capability of SMEs to function unless remedial measures are taken. The situation is especially grave for the local economy considering SMEs collectively employ more than multinational companies.”

Mr Stephens said companies that choose to ignore the importance of energy efficiency are surrendering control of their business to energy companies in the Middle East and Russia.

He said: “Such dependence on imported fossil fuels means that when an oil or gas supply nation closes a supply valve, they will be stifling the ability of Irish SME’s to operate. Ultimately, without energy there is no economy.”

While large multinationals in the mid-west had put in place the necessary measures to ensure they can remain functional in the event of an energy crisis, SMEs needed to follow suit.

Mr Stephens said: “By 2030 the 27 EU countries will have to import 93% of the oil that they need. Furthermore, it seems likely that existing sources of oil will be unable to meet this growing demand. Without urgent and significant action on energy security and climate change, we in Clare and Limerick will feel the environment winds of change soon after the economic storm has done its worst. Participation in the SME Energy Management Certification Scheme is just one way that companies can avoid such an eventuality.”

The scheme helps participating SMEs to identify the energy they need, what kind of energy and how efficiently they are using it.

The pilot project is being administered by the local energy agency in association with the National Standards Authority of Ireland.

Companies interested in joining the pilot project should contact the Limerick Clare Energy Agency at 061-234296/[e-mail] or visit www.lcea.ie to download the energy management tools.