NHS England set to water down renewable energy rules

The draft for the new standard contract says this would only need to be done “as far as reasonably feasible” in 2023/2024, due to increased costs.

This is despite an NHS target to become the first net-zero national health system. It aims to reach this level by 2040 for direct emissions and by 2045 for indirect emissions, which includes purchased energy.

The NHS sought to buy 100 per cent renewable energy from April 2021 as part of these efforts.

The standard contract for 2021/2022 told trusts to ensure all their electricity came from renewable sources as soon as they could with existing agreements, while the 2022/2023 contract mandated this.

But proposed changes for the 2023/2024 contract suggests giving trusts more leeway.

A consultation document says: “The contract requires trusts to ensure that they source their electricity from certified renewable sources.

“Given the increased cost of renewable electricity, we now propose to amend this requirement so that it applies only as far as reasonably feasible.”

Several trusts had called for the requirement to have energy covered by renewable energy guarantees of origin certificates to be dropped, amid concerns over costs.

The Mid Yorkshire Hospitals Trust decided to stop buying REGOs last year for energy used on its PFI estate, saying the cost had shot up while providing “no value from a carbon reduction perspective”.

The energy regulator issues one REGO certificate for every megawatt hour of renewable energy produced. But the system is controversial, as certificates can be bought and sold separately from their unit of renewable energy.

An NHS spokesperson said: “While the NHS remains committed to increasing the use of renewable energy and supporting climate change commitments, we understand that due to rising energy costs purchasing REGO-certified energy may not be a viable option for some NHS organisations.”

The consultation on the draft NHS standard contract for 2023/2024 opened in December and will run until 27 January.