Can you tap into savings?
March 1st 2004 British industry is set to benefit from water savings and additional tax relief with the launch of the Water Technology List on www.eca-water.gov.uk
The Water Technology List (WTL), developed and managed by the Inland Revenue and Defra, in partnership with Envirowise is offering a real incentive for industry to invest in technologies, which use water sustainably.
By purchasing eligible metering and monitoring equipment, flow controllers, leakage detection equipment, low flush toilets or efficient taps from the WTL, manufacturers can benefit from reduced water consumption and gain competitive advantage.
Water savings are a key area for all businesses. Envirowise has proven that by using water efficiently and minimising wastage businesses can make substantial savings. Envirowise advisors estimate that sites, which have not previously examined their water consumption, can usually achieve around 20% savings on water and effluent bills immediately, by implementing simple water management measures at little or no cost. These savings can exceed 40% when more structured and long-term water savings projects are implemented.
The benefits of improved water sustainability and management in manufacturing are significant. They include:
The reduced costs of water supply, water treatment and on-site effluent treatment and disposal
Compliance with regulatory requirements such as the water use benchmarks recommended by the Pollution Prevention and Control (PPC) regime
Improved security of supply, in for example times of drought
An improvement in environmental performance leading to improved relationships with stakeholders such as regulators, employees and the general public a factor which is increasingly dominant on the corporate agenda.
As well as encouraging a more sustainable use of water, investing in any eligible equipment from the WTL, could also deliver a boost through an additional tax incentive.
Modelled on the Governments Enhanced Capital Allowance (ECA) scheme for approved energy saving products launched in 2001, the WTL allows businesses to write off 100% of investments in qualifying sustainable technologies and products against tax in the year of investment. For example, if a company paying 30% corporation tax buys eligible equipment worth 1000, then the tax relief will be worth 300 in the first year. All businesses that pay corporation and income tax in the UK are eligible for the tax allowance.
Manufacturers of the eligible water saving technologies are already flooding to the website to apply to have their products considered for inclusion on the WTL. The first product list will go-live to all businesses this month and both suppliers and users alike are set to benefit financially.
Martin Gibson, programme director of Envirowise commented on the scheme: Sustainable product development is key to any businesses durability. Manufacturers who have developed products enabling minimisation of water use should see a commercial advantage in the future. Registering those products as soon as possible - on the Water Technology List will help ensure that competitive advantage is gained sooner, rather than later.
Environment Minister Elliot Morley has also given his support to the scheme. He urged industry to consider investing in listed technologies when they go on-line this month. He said: Water is becoming an increasingly valuable resource in todays world. This Enhanced Capital Allowance scheme is a great way to encourage the take up of water technologies and promote the efficient use of water.
To find out more about registering or purchasing products on the WTL, visit www.eca-water.gov.uk. More articles from Water Technology List: |
