Energy Efficiency Services Ltd has announced its acquisition of Edina, a leading supplier, installer and maintenance provider for combined heat and power (CHP), gas, and diesel power generation solutions in the UK.
The £55-million (Rs.493 crore) acquisition was effected through EESL’s UK subsidiary, EnergyPro Assets Ltd (EPAL).
Edina has over 30 years of operational experience and is recognised as the market leader in the UK in gas engines, commanding 27 per cent of the market share. Edina services over 400 customers, providing bespoke containerized solutions that reduce customers’ energy costs and carbon emissions, while also providing a continuous and reliable power supply, from sites in the UK, Ireland and Australia. Edina is the sole distributor of MWM gas engines in the UK and Ireland, and of Perkins diesel engines in Ireland, a release from EESL said.
Saurabh Kumar, Managing Director, EESL and Chairman, EPAL, in a release, stated: “We are confident in the potential of this partnership to scale trigeneration technology adoption and to transform CHP market in India. The acquisition is therefore also an important strategic step in our continued efforts towards facilitating India’s energy security and sustainable energy supply.”
Speaking to the media at a press conference in Mumbai, Saurabh Kumar explained that the Indian market for CHP is very large and comprises sectors like hotels, malls, hospitals, airports, etc. Explaining the trigeneration concept, Saurabh Kumar said that a single diesel generator combined with vapour absorption technology would result in addressing energy requirements for lighting, heating and cooling, simultaneously. Currently, such sector derive electricity from the grid that is used for these three purposes independently. In normal circumstances, a diesel generator delivers efficiency of 40 per cent when used for electricity generation alone. However, when used for all three applications, the efficiency jumps to 85 per cent.
The way forward for EESL after the acquisition would be to consolidate the operations of Edina in the UK, and simultaneously create a skilled manpower pool in India to commission and maintain CHP projects in India. It will be only thereafter that the Indian market would be addressed. When Indian operations start, EESL will keenly look at public sector entities to sell CHP solutions. Central public sector company Airports Authority of India, which manages several airports pan India, Saurabh Kumar told the media.
EESL is implementing a global strategy and commitment to invest £150 million (Rs. 1,343 crore) through EPAL into energy services business opportunities in the UK, EU and North America between 2017 and 2019. Energy efficiency initiatives being implemented by EESL have cumulatively led to energy savings of over 41 billion kwh and a reduction of over 32 million tonnes of greenhouse gas (GHG) emissions across the globe, a statement by EESL said.
UJALA in UK
EESL, it may be recalled, launched the Government of India’s Affordable LED program UJALA (UK Joins Affordable LEDs for All) in London in May 2017, thus enabling consumers in UK to access affordable lighting solutions. Saurabh Kumar noted that the programme was yet to take off in a big way as several permissions for EESL were yet not in place. Some pilot LED lighting projects have nevertheless been commissioned, which includes equipping the the Indian High Commission in London with LED-based lighting devices. However, with Edina’s acquisition now in place, UJALA projects in the UK can be expedited because Edina is a UK-based company and would not require the permissions that EESL would.
Photo shows Tony Fenton, Joint Managing Director, Edina (holding document) and Saurabh Kumar, Managing Director, EESL (extreme right). Saurabh Kumar will be the new Chairman of Edina.
