On-site energy generation will save UK businesses £33 billion between 2010 and 2030, according to a new study by energy consultancy Utilyx.

The research predicts that on-site generation will grow to contribute 14% of the UK’s energy needs by 2030. Based on a series of interviews with decentralised energy stakeholders which included businesses with annual revenues of at least £150 million, government and decentralised energy technology providers.

Utilyx expects solar to lead this growth with combined heat and power (CHP) and energy from waste set to lead savings; £20 billion by 2030.

The study is based on a forecast model which analysed and modelled the uptake of six different energy technologies across 23 sectors that include banking, retail, manufacturing, utilities and construction.

In addition to the potential cost savings for UK businesses, the growth of on-site generation would also allow the UK to deliver significant carbon emission savings, with the consultancy predicted that approximately 350 million tonnes of CO2 emissions will be negated by the predicted on-site capacity.

One of the key benefits of on-site generation is the decentralised nature of the energy generated. By consuming energy on-site a number of traditional problems associated with centralised energy generation are avoided such as transmission losses.

Mark Stokes, managing director for Utilyx’s asset management business, commented: “This report shows that on-site energy generation will play an increasingly important role in our future energy mix. Traditionally businesses and organisations have focused on one aspect of energy management – typically procurement or energy efficiency.

“The report reveals the need to look at the bigger picture and adopt a joined up approach including considering on-site energy generation. In a climate of volatile and rising energy prices, decentralised energy can help businesses save money, reduce carbon, and provide energy security.”