Energy Tips and Tricks for Holiday Parks A free guide to future energy profits By Adam Beckett Leisure Park Energy
â€œI don't expect this small book to cause a tectonic shift in the way we contribute to a changed World. That said, let's try.â€? Adam Beckett 6.11.2013
At a glance : contents and purpose Intro About Disclaimer Why How Intro We have a problem. Satellite Earth is careering out of control. Human â€“ induced climate change is the biggest problem we have ever faced. The caravan park sector is an interesting one; with a drive towards conservation and eco friendliness in part using renewable energy. The questions are how to finance? what's the return? Overall, we know that smart energy and smart financial strategy makes all the difference, we just need to know what works. I'm a big believer that you should start with the end goal in mind. So that's how this guide works, backwards. Four steps : 4,3,2,1 Is it possible to be immediately more competitive and therefore sustainable in the long term? No promises or guarantees, but this small guide may well be key.
About I'm Adam Beckett. An experienced Energy Consultant working in this industry for more than a decade and in business for over sixteen years. Uniquely specialized in the caravan park energy sector, I work with local independents and international energy and financial service providers from my base in Oswestry, England. The focus is on putting my customers interests first. Always. (Then hope I can make a living) Let's face it; most energy related copy is admittedly dull. So this guide was written to be entertaining as well as for your education and profit, enjoy! Before we start there's more useful info in the pipeline I recommend you sign up to my newsletter here which goes out quite rarely (only a few times each year) since I don't see the point in bombarded people with emails Done? Now let's continue ..
Disclaimer This guide is for informational purposes only. I am not a lawyer or financial advisor or an accountant. Any legal or financial advice that I give is my opinion. You should always seek the advice of a professional before acting on something that I have published or recommended. Any refunds suggested in this special report should be considered average. Users of this guide are advised to do their own research when it comes to making business decisions and all information,products,services that have been provided should be independently verified by your own qualified professionals. By reading this special report, you agree that myself and my company is not responsible for the success or failure of your business relating to any information presented in this guide.
Why? Why should we care? Whilst your business not going to save the planet, we can certainly save ( and make ) money by going green. If I'm honest with you, from the conversations I have with working partners and in my own opinion, the caravan park industry is a slightly cautious adopter of new technologies. This guide presents the forward thinking park owner with an early mover advantage â€“ ( yes, more and more people are choosing to use eco friendly parks ) Green sourced energy contracts - or even better self generated energy from Solar, Biomass boilers and savings from LED lighting all add up to cost savings, index linked payouts and a boost to your marketing campaign. Why wouldn't you? Since you're incredibly busy, we'll make this whole process pain â€“ free : I'll explain about the paperwork involved ( minimal ) and give you a realistic Return On Time Invested. I've also made this a 4 step practical process to green Nirvana. Not too technical, but financially accurate and easy. Why would I? Working in the energy industry I suppose I have some influence. I'm no Guru, but I think a lot about Climate Change and the future for our kids, so I have to stand up for what's right. I'll do what I can with what I have.
HOW? Well, this is the best part, so let's get right into it. Coming up .. Step 4 :Excerpts from a real caravan park Solar Case Study & Biomass is beautiful Step 3: Rising energy costs : damage limitation Step 2: Tax breaks (off at a relevant tangent) Step 1: More tax breaks (average ÂŁ8501 reward)
Step 4 : renewable energy This year it's all starting to come together. It has literally taken years to find the right case study. I've seen the proof with my own eyes and talked face to face with the forward thinking owner of a Welsh seaside holiday park. Although you may have read this on my blog you may not have seen the full financial report, which is quite favourable to say the least. This case study was written not by myself, but by a real park owner on the Welsh coast near my home. ( Rob, I salute you. )
Solar Case Study ( full story here ) A true story of how one business owner dropped his yearly electricity bill from £22,284 to £4203 - and gained massive marketing power
A realistic solar case study for holiday park business owners, park management consultants and B2B renewable energy marketers
Why choose to install renewable energy technology? Looking back 10 years at what we were paying for our utility costs to what they are today shows a large percentage increase to us all. Looking forward 10 years in the future, there is no reason to see this changing. Financially it made sense to do this now and meant that long term savings can be made. It also enables us to embrace our own environmental obligations and improve the sites green credentials. Installers : Why did we choose Arizon? Richard Hollingsworth, Arizon Energy, first installed a small PV system in 2010 that operates our Bore Hole. That again has been a great success and represents a saving of £4,500 a year for an outlay of £10,000, a two and a half year payback. This supplies all the water for the site and was designed and constructed by a company from North Wales called Dragon Drilling.
Due to the success of that, I felt that they were the right company for the job. They have now installed 4 PV systems in total, including our solar thermal that we use to heat the hot water in our toilet and shower block. This again has been a great success generating this year in excess of 13,000kwh of heat. This equates to a feed in tariff of £1105. Installation Costs In terms of costs, the system was roughly £66,000. We were fortunate that at the time in 2011/2012 we could claim 100% Capital Allowance which has now fallen to 20%. I do believe that this has now changed, but in my opinion, even though the feed in tariff has dropped from 39.5p to 21p, I would do it again, bearing in mind the cost of the panel have come down too. Annual costs Before installing the system in late October 2011, we were paying £1857 per month to Scottish Power. We reviewed these figures with Scottish Power in August and agreed on a figure of £1005. So the immediate saving was £852 per month. The initial estimate we received from Arizon Energy for the system was 18,000kwh per year. As from the 1st January 2012 to today, 6th December we have produced 19,400kwh, and this is in what may be one of the worst years weather wise. This equates in money terms to £7566 in feed in tariff. On top of this, 50% of this figure which is 9700 X 3% has an extra £291 in export tariff. The annual saving from Scottish Power is £10224, adding to that the feed in tariff of £7566, and export tariff of £291 equates to a total difference of £18,081. 2011 Scottish Power bills £22,284 - 2012 Scottish Power bills £12,060.
Our actual annual cost now is ÂŁ4203 All our renewable heat incentive payments and feed in tariffs are all index linked so these figures will change for the better each year.
Summary These figures go to prove that the solar PV are definitely working for us. In addition to this , we also made a conscious effort of changing all the light bulbs for low energy LED's where possible, and looking at all our electrical equipment to run as efficiently as they could. Also, all our Seasonal Tourers were fitted with meters and the savings here are plain to see. (People did not leave Halogen Heaters on in awning when they went out as they now pay for their own electric) Funding/Investment We did not receive any funding, or indeed find any suitable sources. Predicted return on investment on the figures above is approximately 4 years. To arrange a Solar PV installation contact Leisure Park Energy ( click here for the web site ) Footnote What a success story. The barrier of course can be funding such a project, which is when we have to look for real world savings, the main subject in the rest of this guide. Biomass boilers are also worth a look on the next page..
Biomass is beautiful With the Renewable heat incentive in full effect, biomass is the latest solution to energy price hikes If it's a small installation to heat shower blocks, or a solution to reduce the massive heat radiation from a heated swimming pool, sustainable wood pellet burning biomass boilers work. Here's a typical case scenario: Fuel Savings: 55% typical payback period: 4 years Index linked payouts running for twenty years. This is a profit scenario â€“ when did your park last generate a positive payment from energy instead of an overhead? For a free Solar or Biomass assessment Email firstname.lastname@example.org
Funding Attractive funding options and allowances against tax apply to Solar PV and more so of late to Biomass. Now wouldn't it be more attractive to pay for an installation using hidden funds you were not aware you actually had? Although there are never any promises or guarantees, this is where things could get very interesting â€“ and as you may already know Leisure Park Energy are keen on unearthing any money to be had from retrospective reclaims. That's step 4 of our 'reverse engineered' process. Next we have three more strategies to cover before we conclude.
Step 3: Rising energy costs : damage limitation This is actually the core of my existing business, the provision of energy contracts and free energy price comparisons. A few years ago my associated brokers Power Solutions ( for over six years ) were often able to make cost reductions compared to previous energy supply contract costs. Now the landscape and energy markets have changed with dramatic rises imposed on us all. Energy is certainly in the news. What I'm finding now is that it's a case of damage limitation; just reducing the shock of almost inevitable cost increases year after year by giving a greater choice of suppliers to consider on the free cost comparison report. The trend is for my customers to opt for longer contracts, generally three years on average in order to reduce the risk of damaging price hikes. I'm pleased that a number of customers now choose quotes and ultimately contracts from 100% green sourced energy supply companies. No climate change levy adding around Â˝ penny to every unit used either. All this makes for good marketing for caravan parks and good savings compared to sites that aren't exempt from CCL . Speaking of CCL, I'd say that this is the single biggest service that attracted more loyal customers to Leisure Park Energy over the years. This is the subject of Step 1, towards the end. Next in our reverse countdown we have Step 2: Tax breaks (off at a relevant tangent) ..
Step 2 : Hidden Allowances - rewards worth having Capital Allowances Get tax back and offset future tax This is where we veer away from energy for a moment: thinking laterally I bumped into CAs after my success with CCL refunds ( step 1 towards the end of this report ) I have to say this struck me as a 'no brainer'
Capital Allowances : a caravan park specific case study (This is a successful case carried out by my associated partners, CATAX) Christmas Comes Early For North Wales Caravan Park The owner of a North Wales Holiday Park thought Christmas had come early when in met Catax Solutions in July 2011. He had bought the park a number of years earlier for ÂŁ4 Million and had never thought that he would be able to claim Capital Allowances against any of that purchase price. Like most people the owner believed that Capital Allowances only applied to business equipment such as office desks, computers and machinery. When he heard the truth from Catax Solutions he signed up straight away to their No Win No Fee basis.
The surveyor from Catax visited within a couple of weeks and identified nearly ÂŁ580,000 of Capital Allowances with the main
items being:Electrical distribution network to individual caravan bases. £269,000 Disposal & Foul Water Drainage System from individual caravan bases. £204,000 Fresh water system and distribution system network to individual caravan bases. £69,900 Heating system £5,000
Other assets that can often be claimed can include Security Systems, Air Conditioning, Communications Systems, Mechanical Plant and Fixed Internal Fittings in any buildings housing central amenities or management offices to the site. Within a month the claim was submitted to HMRC and 21 days later the owner received a refund of tax he had already paid plus he reduced his tax bill for a further three years. As a Limited Company his total benefit from the exercise was over £100,000. The whole process took around 8 weeks but this involved the owner for less than a single day and didn’t disrupt his day to day business in anyway. In cases like this it isn’t just about the money that can be reclaimed, it’s about what that money can be used for within the businesses. Maybe to expand the business, refurbish the bar, increase the marketing budget or even to install a solar
power system. The money received can often generate increased future profits far in excess of the already considerable tax windfall.
So. Does your park qualify? To go ahead with a free appraisal, answer the following • Either I purchased as an already working holiday park or I paid an outside developer a fee to expand and develop the site into a working holiday park (owner developed sites, for example a farm being converted to a park do not count) • The park has a value of at least £500,000 • company pays UK tax • To claim a free appraisal contact Leisure Park Energy, who will refer you to Catax. A referral will not add to possible charges levied at completion compared to a direct approach to Catax, please see the following statement. No charge will be levied at any time, except in the case of a successful award from HMRC, which is always deducted after any award has been paid to the client. Therefore there is no upfront cost or charges to be paid prior to any refunds received.
Information Overload : Who me? No one wants information overload: I've included Capital Allowances since it makes sense â€“ we'll now return to the final part of our four stage process to profitability. Increasingly, Leisure Park Energy is filtering out financial opportunities for UK park operators, since many service providers approach me on a regular basis. As a very 'niche' provider I do curate and pass on very carefully examined opportunities. In business success is down to how we invest our time, so I'll be offering a few carefully selected services via my email news channel. This is your opportunity to access that channel, where exciting developments await. Right now, I'm restricting this advanced information to subscribers only. I want my existing clients and readers here to benefit before anyone else gets a hold of the information. Click here to register for free insider news
We're almost there. The final step is waiting for you on the next page ..
Step 1 : More tax breaks The Green Levy - CCL exemption for Holiday parks (potential refund ÂŁ8501) Green levies are in the news. There's talk of rolling back climate change levy charges to lower energy costs. What many park owners across the UK don't yet realise is that LPE has been at the forefront of advising Holiday Parks to claim their right to green levy exemption for years. Take a look at your electricity bill. Do you pay full rate of VAT, thus attracting ccl ? If so you are loading around half a penny onto each unit of energy you consume. Consequently let's say you're taking a 5% hit right now, as you read this. How does that feel? No false promises, but it is quite likely that you needn't ever pay this again going forwards. There's more .. You can actually reclaim ccl exemption all the way back from november 2007, in other words, a refund. With cooperative energy companies the average reclaim has turned out to be an average of ÂŁ8,501. My clients have been happy to say the least. So I not only did I write a special report. I built a mini ccl exemption website to raise awareness. No charge to you, no profit for us. Simply a free, high value resource. I believe in 'paying it forward' .
Conclusion I sincerely hope this small report has given you a powerful chance to stay ahead of the pack and be progressive in helping the Environment as well as your baseline profits. These reports are personally written by me, which is a lot of thinking, collecting, collating and typing. I hope I'm helping over and above energy suppliers and brokers in my own small way. If you have read to the end it is appreciated; you've definitely done very well. What to do now If you would like to find out more I'm free to talk. There's no charge for a conversation. Simply dial 08000836698 (direct to my mobile) Alternatively email me for no obligation advice To your success!
Adam Beckett, owner Leisure Park Energy
A free to share resource I run a globally unique energy consultancy for caravan parks .. my top 4 tips gude includes * solar panels for c...