Press Release

Energy-Saving Moeller Drives Qualify For Enhanced Capital Allowance

Optidrive included on Government authorised list

The long-awaited publication of the Government’s Energy Technology Product List – better known as the list of products that qualify for Enhanced Capital Allowance – finally took place today, 28th March 2001, with good news for Moeller customers: the company’s range of drives is included on it.

From 1st April 2001 the Climate Change Levy comes into effect. This is an attempt by the Government to reduce energy and thus curb the harmful emission of greenhouse gases by making major industrial users pay 0.43p more for every kWh of electricity that they consume. In order to lessen the blow and to ensure that companies are using more energy-efficient equipment, the Government has introduced Enhanced Capital Allowances that allow companies to write off 100% of the cost of AC drives and high efficiency motors in the year that they buy the equipment.

Commenting on the company's inclusion on the list, Ian Harwood general manager of Moeller Electric's Industrial Automation Division, said: "The Energy Technology Product List is a very important document, both for manufacturers and users alike. It shows which products have been certified as meeting the appropriate energy saving criteria, in other words on which ones businesses will be able to claim the 100% capital allowance. We are delighted that all three of our popular AC drives have been included on the list, a move which reinforces our commitment to providing the highest levels of energy efficiency."

There are approximately 10 million motors being used in Britain today. With a combined capacity of around 70GW, these motors consume more than 130TWh of energy, at a cost of around £6,600m. Nearly half of this energy is used to power motors driving pumps and fans. Most of these run at constant speed, using inefficient mechanical devices such as valves or throttles to vary the rate.

Reducing the speed of the fan or pump using an AC drive is a much more efficient way of achieving the same result. For example, an AC drive such as Optidrive used to reduce a fan motor speed by 15% can cut energy costs by as much as 40%, enabling the drive to pay for itself within two years – and that is before considering the new Enhanced Capital Allowance!

This page last updated: 5 May 2003