Powerful partnerships for energy security in the public sector

Adriana Ziemianek, energy and carbon analyst Salix

The recent global energy shock from rising oil and gas prices has certainly placed a recent emphasis and a greater appetite for self-sufficiency and energy sovereignty. Since electricity is priced through the wholesale market, it is closely linked to fluctuations and therefore prone to absorbing impact from the spike in gas prices. This creates a challenging environment for the UK – particularly as decarbonisation targets must be met to achieve the national net zero goal by 2050.

The UK Government predicts that a sizeable portion contributing to this transition will be attributed to 70% of electricity being generated from renewable sources by 2030. For public sector buildings, where energy demand is high as well as being an unavoidable operational cost, the need for renewable energy generating assets is a crucial necessity.

At Salix, we are working with public sector organisations across the UK to support them in the energy transition and we’re pleased to be working with governments to achieve this. My job is to monitor data and help drive progress alongside a dynamic team.

In the UK, efforts to improve energy security and expand renewable generation have led to increased funding for technologies such as solar PV, while also improving access to these systems for public sector organisations.

Earlier this year, the Scottish Government announced a funding boost of up to £2 million for solar PV projects. At Salix we have been able to allocate the funds to  public sector clients who applied for the Scotland Solar Energy Efficiency Loan Scheme.

This has enabled successful applicants to install their solar PV and improve their resilience by importing less electricity from the grid through increased on-site generation. In doing so, these buildings are better positioned to manage their exposure to volatile energy prices and take greater control over their long-term energy supply.

While many public sector buildings often utilise their large rooftops to support a sufficient PV array, organisations with larger estates such as universities may have the spatial capacity to invest in ground-mounted solar farms and distribute their own generated electricity to multiple buildings locally through a private wire network. In the past, at Salix we have supported projects focusing on maximising self-consumption across the site, such as Neath Port Talbot Council’s campus-style microgrid between its Service Response Centre and nearby Salt Barn in Wales. This approach to installing renewable sources of energy can provide many benefits. Public sector buildings on the same site with a more integrated, locally controlled energy system can not only include sites where roof-mounted solar PV is not feasible but also be able to avoid network constraints as grid connection capacity becomes a growing issue and poses a risk to energy security.

However, energy sovereignty is not just about generating electricity – it is also important to be able to use it when it is needed. Some sites might find that the annual generation yield may sometimes be greater than the building’s energy demand. In these cases, battery storage becomes essential in optimising the system so that electricity can be stored and used later rather than be exported back to the grid or not used and lost locally on-site.

Through Scotland’s Recycling Fund, Salix has supported the University of St Andrews with the funding for a battery storage system to minimise imported energy for their 1MW solar farm.  While the benefits of installing this technology are impactful, the capital cost of storage technologies can pose a barrier to integrating storage facilities within the system.  This is a challenge the public sector must meet.

This is where partnership-led funding models become appealing, enabling the public sector to install solar PV and battery storage through using a blended finance approach.

In recent months, we have collaborated with Welsh Government and Welsh Government Energy Service (WGES) to deliver a joint loan and grant scheme as part of the Ymestyn programme to fund solar PV and battery storage. This is in collaboration with Great British Energy. This partnership has allowed up to £9 million offunding to be allocated to Welsh public sector bodies. For example, it has focused on funding renewable energy projects for various primary schools including 13 Newport City Council schools.  The application process was streamlined to allow applicants to gain approval and access different funding streams for the installation of their solar PV and battery storage for quicker approval.

From the joint loan and grant programme of Ymestyn and the Wales Funding Programme (WFP), public sector applicants were able to maximise their funding profile and spend to strengthen the energy security of their assets and invest in their net zero strategy across their estate. It means that similar partnerships can function as an enabler in achieving energy security across the public sector more efficiently by granting access to finance to lessen the burden of up-front costs.

Energy sovereignty is therefore not a siloed function achieved solely through the installation of one technology. Within the public sector, partnerships can play an important enabling role in the improved financial accessibility to renewable technologies as well as better system optimisation. When applied effectively, this enables solar PV, battery storage and private wire networks to be more likely to deliver their full value when they are supported by funding and delivery methods that make renewable project installation pathways sustainable in achieving long-term energy security.

At Salix, we work every day alongside public sector and housing organisations across the UK to tackle pressing energy challenges. While complex, real progress is being made and it’s driven by collaboration, shared innovation and a clear, ambitious vision for the future.

www.salixfinance.co.uk


This article appeared in the May 2026 issue of Energy Manager magazine. Subscribe here.

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