Innovation

Semal Pty Ltd formally known as Consolidated Chemicals Co (CCC) is a company that acts as a wholesaler for chemicals and minerals, targeting their business on holding small amounts that can be transported quickly for immediate use.

They have had a warehouse and facility for the life of the business but this warehouse is not self-sufficient relying upon the state electricity grid. Due to the warehouse needing to be at certain temperatures through the year due to the substances that CCC store the warehouse uses electricity almost constantly both through the winter and the summer. There is also the need to power equipment such as the forklifts and lighting which has also been solely sourced from the state electricity grid.

The company has started the process of building a new warehouse but this time one that holds solar panels on the roof, and enough solar panels too not only power the new warehouse but also the old warehouse and office areas.

The reason for this innovation was Edward Huglin (Ted) the CEO and founder of CCC who wished to move CCC away from relying on external coal sourced electricity and try and find a means to run his business both sustainably and at a much lower cost than before.

Inspiration

The main inspiration for this innovation was first developed “from a review of the price of the old warehouses energy bill” as Ted both saw the financial cost of the building and how much capital is being placed into simply “keeping the lights on”. While also upon review of the amount of electricity itself being used and reading about where that electricity is sourced thought “that there has to be a better means for attaining the energy”. That then lead Ted and CCC to research solar power and review how efficient building a new warehouse using solar power would be for the business.

Overall impact

Ted has received the report of how much power the solar panels will be saving CCC once installed and that will be an “annual energy saving of 68,000 kWh” and an “annual energy bill saving of $13,500 after allowing for capital write down of solar panels”.

Business benefit

This will mean benefits of having the estate “entirely self-sufficient across the summer period” while “in the winter solar panels will supply energy for 5 hours of the day”, due to the increase energy requirements, and “in the Autumn and Spring supply energy for 7 hours of the day.”

As this will not only see the warehouses use solar panel sourced electricity but also the office areas with staff using computers, printers and even more lighting the business benefits of moving away from the power grid will be even more significant.

Social and environmental benefit

This will have the environmental benefit of “reducing the load on the state electricity grid by 62% over the year” which of course will have the intended effect of removing much of the facilities requirement of coal sourced electricity instead gaining over half from solar energy. This will also provide the employees the knowledge that they are sourcing their electricity from a more environmentally friendly means than before the introduction of solar panels.

Interview

Edward Huglin, CEO