First Report of the Shepreth Community Energy Working Group
Building on the success of the Village Hall refurbishment, Shepreth Parish Council (SPC), in association with Sustainable Shepreth (SusShep), obtained funding from the UK Government’s Great British Energy Community Fund to undertake a feasibility study for a local low carbon energy project to lower cost and carbon footprint. SPC and SusShep appointed a Working Group (WG), members listed below, with representation from the Friends of the River Shep and appointed Scene Energy Ltd., a community energy consultancy, to assist in determining the best options available to the village. Scene have now reported back and the WG is now pleased to submit its first report to stakeholders.
The objectives for a low carbon energy project were to:
- Be viable and benefit as many residents as possible.
- Deliver an energy system which offers community ownership of energy assets and revenue generation for further investment in energy savings for the village.
- In the shorter term, achieve tangible and immediate savings from the bulk purchase of energy efficiency equipment and services.
Scene quantified the annual spend on energy by Shepreth households and businesses at £1.8m, split equally between domestic and commercial users. The greater part of domestic spend is on heating at 82%. The village generates a total of 2,569 tonnes of carbon emissions:
| Energy Demand | Domestic Properties | Non-Domestic Properties | Total |
| Heat (MWh) | 5,375 | 4,487 | 9,862 |
| Electricity (non-heat) (MWh) | 1,116 | 2,060 | 3,176 |
| Total Energy Usage | 6,491 | 6,547 | 13,038 |
| % of which is for heating and hot water | 82% | 67% | 75% |
| % of which is for electricity (non-heat) | 18% | 33% | 25% |
| Total Carbon Emissions (tonnes CO2e) | 1,284 | 1,285 | 2,569 |
Gas is the most common source for heating (73%), followed by oil (16%), with heat pumps, electricity and biomass lagging well behind. The average annual household spend was £1,335 on heating and £1,054 on electricity, for a total of £2,389.
The report examined three low carbon technology options and a strategy for improving energy efficiency around the village:
- Communal Heat Network
Two locations using ground-source heat pumps were modelled, covering 112 and 90 properties respectively (of the 329 dwellings in Shepreth). Heavy capital costs (c£4m each) and the current level of gas prices means that neither is financially viable. For the financially minded, the net present value (NPV) of the capital invested in each project would be a loss of around -£7-8m. There would be no return and no breakeven. Of no lesser importance would be the considerable disruption of several kilometres of pipelaying and the fact that each project serves barely one-third of the village. This option will not be pursued.
- Wind Generation
One location for a 200kW wind turbine was modelled. Whilst more reasonable in capital cost at £0.7m, the project is barely viable with an NPV of a loss of £-72k, a 20-year breakeven and a rather woeful annual return on investment of 1.8%. There would also be significant planning risk. This option will not be pursued.
- Ground-mounted Solar PV Array
The report modelled two locations in the village for arrays of broadly similar size at 452kW, each with c 900 solar panels each and a generation capacity of c 560,000 kWh. One site carries a planning risk, being on good arable land. The second site is a brownfield location. Both show strong financial viability with a typical NPV of £440,000 an internal rate of return of around 12%, a return on investment of 4.2% with a breakeven of 13 years. Each project will contribute around £1.1 m to the village. Both options will be explored further.
| Ground-Mounted Solar PV | Scenario 1 – 452.2 kW | Scenario 2 – 424.0 kW |
| Capital Cost (inc. grid connection) | £630,800 | £601,385 |
| Budgeted Grid Connection Costs | £150,000 | £150,000 |
| Year 1 | ||
| Export Income | £14,121 | £8,676 |
| Local Supply Revenue | £64,529 | £67,796 |
| Operational Cost (OPEX) | £9,652 | £9,275 |
| Carbon Emissions Reduction (tCO2e) | 95 | 89 |
| Operating Cash Flow | £40,612 | £40,134 |
| Lifetime (25-year) | ||
| Export Income | £465,408 | £285,954 |
| Local Supply Revenue | £2,126,866 | £2,234,526 |
| Operational Cost (OPEX) | £423,011 | £403,919 |
| Debt Service (Principal & Interest) | £1,028,278 | £980,328 |
| Carbon Emissions Reduction (tCO2e) | 2,299 | 2,122 |
| Cumulative Net Income | £1,140,986 | £1,136,232 |
| Financial Performance (25-year, real terms) | ||
| Annualised Return on Investment (ROI) | 4.22% | 4.34% |
| Annualised Return on Capital Employed | 6.14% | 6.22% |
| Project Internal Rate of Return (IRR) | 11.64% | 11.94% |
| Net Present Value (NPV) | £441,839 | £451,863 |
| Breakeven Year | 13 | 13 |
| Energy Performance (25-year) | ||
| Local Supply (% of generation) | 70.74% | 80.75% |
| Self Sufficiency (% of demand) | 43.04% | 36.44% |
| Local Supply Bill Savings (£, year 1) | £40,578 | £42,632 |
| Export (%) | 29.24% | 19.25% |
One major factor to consider is that any generation facility can under current rules only export 200kW of capacity (therefore 40-45% of output) to the National Grid. It is therefore critical to the project viability that a large commercial user be found to take the remaining output from each site and thereby ensure compliance with export constraints. Solid commercial agreements will also need to be in place before funds are committed. The WG has identified a number of potential users and will look to begin discussions in the coming weeks. It will also be working to identify methods of financing the £650k capital cost of each array to minimise risk to the village.
As noted above, each location could bring around £1.1m to the community over its 25 year lifetime. These funds will be applied to a community fund to invest in supporting individual household energy generation projects, and domestic energy efficiency upgrades, providing further savings for Shepreth residents and improving the comfort and condition of our building stock. Such benefits however are unlikely to be available in meaningful amounts until at least the year 13 breakeven has been reached. Add say a minimum of two years of design and construction and it will probably be 15 years before grants can be made. For this reason, the WG has set a fourth objective to develop a more immediate method of lowering energy bills, particularly given the current high costs of heat pumps relative to gas.
- Improving Home Energy Efficiency
An analysis of current and potential energy efficiency ratings in Shepreth, suggests that while 58% of properties in the area are rated C or higher, there is significant scope for further improved energy performance within Shepreth’s building stock. A further 33% of properties have the potential to reach C or better.
These upgrades range from the simple to the more complex and expensive, as illustrated by the review of EPCs in Shepreth below:
| Complexity | Recommendation | Number of Properties | Indicative Cost |
| Low | Thermostatic Controls | 9 | £1,800 |
| Low Energy Lighting | 176 | £60,860 | |
| Moderate | Roof Insulation | 12 | £18,400 |
| High | Floor Insulation | 145 | £362,500 |
| Glazing Upgrade | 6 | £72,000 | |
| Wall Insulation | 27 | £414,000 |
The WG hopes to develop a community-led bulk purchase scheme to lower individual unit costs for home heat pumps, solar panels, insulation and similar energy efficient equipment. It would also wish to take advantage of scaled use of diagnostic services such as thermal imaging. The WG is aware that much of this already exists in various forms and is anxious to tap into existing knowledge and resources and avoid reinventing the wheel. The WG is pleased to have opened a dialogue with Cambridgeshire County Council’s Community Energy Team, who have shown a strong interest in the project, and hopes to benefit from their expertise and guidance in the future.
Community-led initiatives can play a crucial role in accelerating the adoption of rooftop solar PV, air-source heat pumps and energy efficiency upgrades in domestic properties. By providing residents with trusted information, practical support and funded services, these initiatives can help residents overcome financial and logistical barriers to decarbonisation. The table below outlines the financial and resource implications for possible community-led activities. Note: We made a funding allocation for community engagement in our original grant application to the Great British Energy Community Fund and could cover many of these expenditures without the need to draw on Parish Council funds.
| Community Action | Description | Cost | Cost Details | Resource Requirements | Example |
| Lead Consultant Support | Identify grant provider and obtain grant for consultant support and direction for Phase 2 | TBC, but grant-funded |
TBC |
Working Group to determine.
|
As Phase 1 |
| Energy Advice Cafe | Regular drop-in sessions where experts provide informal home energy advice. | £1,500 | Training for two volunteer energy champions | Two volunteer energy champions.
2 days per month. |
Transition Town |
| £250 per
session
|
Certified energy advisor fee. | Paid advisor.
2 days per month. |
Bath & North | ||
| Grant &
Finance Support |
Identify and help residents to access funding such as ECO4 | £1,500 | Training for two volunteer energy champions | Two volunteer energy champions.
2 days per month. |
Wigan Warriors |
| Community
Development Officer |
Leading and coordinating local energy projects | £18k per year | Part-time salary | One part-time paid officer. | South East |
| Home Energy
Information & Awareness Events |
Public sessions covering technology benefits, practicalities, and local installers. | £250 per event (max) | Speaker fees, materials, and follow up resources | 3 volunteer days. (Organising, speaker coordination, promotion, material preparation). | Cumbria Action for |
| Bulk
Purchasing Scheme (Solar) |
Coordinating group buying initiative to reduce solar PV costs. | £7,500 | Outreach, admin, supplier engagement, coordination, legal support, information sessions | One part-time paid coordinator. | Brighton &Hove |
| Open Homes
Events |
Tours of homes with solar PV, ASHP and/or high energy efficiency to showcase benefits | £100 | Promotion, learning materials, hosting costs. | 3 volunteer days + participating homeowners. | Muswell Hill |
| Home Energy Assessment | Detailed home surveys and retrofit plans, with case studies for typical local homes. | £900 per home | PAS 2035compliant assessment by qualified assessor. | Paid Assessor (2 days per home)
Volunteer organiser: (10 days for small scale scheme coordination). |
Biggar Area Climate Care |
| Energy
Efficiency Workshops |
Practical training on energy efficiency upgrades | £500 per event | Includes trainer fees and materials. | Fully qualified trainer.
3 volunteer days |
Carbon Co–op |
| Thermal
Imaging Camera Sessions |
Providing thermal imaging services to assess home heat loss. | £3,000 | Lease of camera and training for two community champions. | Volunteer energy champions:
2-day training course + 1 day per home |
Transition Bath |
A public meeting was held in Shepreth on March 24th, 2026, attended by 35 people, at which the WG and Scene presented the report and its conclusions. There was overwhelming support to continue work on the brownfield solar array, the bulk purchasing strategy and retrofit options. Some concern was expressed at the use of arable land for the second array and it may indeed be difficult to obtain planning permission. The WG intends to proceed with caution on this second option.
This essentially completes the first phase of the project. The major steps for the second phase include, but are not limited to, the following:
- Establish a risk mitigation framework to minimise risk to the village.
- Establish working relationships with local government and other relevant organisations (100 Green, Energy Local, Cambridge Retrofit Hub, Cambridge Carbon Footprint, Green Heat Coop).
- Identify funding bodies and apply for grants for solar array design work and community initiatives.
- Obtain in principle agreement from relevant landowners.
- Discuss with SCDC and CCC options for alternative field solar panel arrays.
- Identify successful bulk purchase and retrofitting schemes, evaluate likely benefits and develop plans for community events to raise awareness.
Throughout this process, The WG will be updating residents on the project’s progress. We welcome your engagement and support. To find out more, ask questions, or get involved with the project, please contact a member of the project team:
The Working Group
Cllr. John Fisher, Shepreth Parish Council:
Elisabeth Spain, Sustainable Shepreth:
Kate Laugharne, Clerk, Shepreth Parish Council:
Nick Downer, Friends of the River Shep:
April 21, 2026
Appendix: Detailed Next Steps
The first stage focuses on building awareness and understanding within the community. Engagement with Shepreth residents will help explain the objectives of the community energy initiative and identify local priorities, such as reducing energy costs, improving home energy efficiency, or supporting renewable energy generation. At the same time, additional funding and specialist expertise will be sought to support project development. This will enable the establishment or strengthening of a Community Benefit Society structure through SPC, providing an appropriate legal and governance framework for community ownership and delivery of future projects.
- Community Investment in Commercial Solar
Once the community organisation and project concept are established, the next phase is the development of a community-owned solar generation project.
Stage 1 – Engage Stakeholders
- Secure Heads of Terms with the landowner to demonstrate commitment to the project.
- Appoint legal advisors to support agreement drafting and ensure regulatory compliance.
Stage 2 – Business Case Development
- Prepare a detailed business case to assess financial viability and provide transparency for stakeholders and potential investors.
Stage 3 – Secure Legal Agreements
- Negotiate and finalise Power Purchase Agreement (PPA) terms for the sale of generated electricity.
Stage 4 – Fundraising and Community Investment
- Develop and launch a community share offer for local residents to invest in the project.
Stage 5 – Procurement and Installation
- Procure a solar PV contractor through a competitive tender process.
- Secure grid connection and planning approvals.
- Deliver installation, commissioning, and operational monitoring of the solar system.
- Community-Led Home Decarbonisation
Alongside renewable generation, the initiative can support residents in reducing home energy use and carbon emissions.
Stage 1 – Community Coordination
- Develop a community energy action plan based on local priorities.
- Prepare a delivery business plan and secure funding.
Stage 2 – Engagement and Advice
- Deliver outreach and volunteer recruitment.
- Host energy café events covering topics such as solar PV, heat decarbonisation, and energy efficiency.
Stage 3 – Thermal Imaging Service
- Purchase thermal imaging equipment and train volunteer operators.
- Deliver winter surveys to help residents identify heat loss in their homes.
Stage 4 – Home Energy Assessment Scheme
- Train or appoint energy assessors to undertake detailed home energy assessments.
- Use results to develop retrofit case studies for common house types.
- Create an online information hub with guidance, installer information, and access to surveys.
Together, these staged activities provide a practical pathway for developing community-owned renewable energy and supporting household decarbonisation across Shepreth.
Reports from Scene Energy
Shepreth PC – Final Stakeholder Briefing
GBECF-Shepreth-Public-Meeting-Presentation