A UK hospital trust is set to save as much as £1.3m ($1.7m) per year through an Energy Performance Contract (EPC) with Veolia that includes two combined heat and power (CHP) units.

For the Morecambe Bay NHS Foundation Trust, which has 734 beds and serves a population of 365,000 patients through two hospitals and an infirmary, Veolia is set to deliver two 800 kW CHP units as part of a 15-year EPC.

Veolia will be responsible for the design, delivery, installation, commissioning and operation of the units, which are expected to reduce the Trust’s CO2 emissions by 2500 tonnes per year.

In addition to generating electricity for the Royal Lancaster Infirmary and Furness General Hospital, the CHP units will provide low temperature hot water at Furness, and steam through a waste heat boiler at the Lancaster facility.

At both sites the CHPs will be connected to the Trust HV network via a new step up transformer and ring main unit, Veolia said.

The firm currently provides energy management for 108 hospitals in the UK and Ireland.

Estelle Brachlianoff, Veolia’s senior executive vice-president, UK & Ireland, said: “Enabling the NHS to become more sustainable, and helping to focus budgets on patient care is very important as it enhances facilities and directly improves healthcare.

“Energy performance contracts now meet these aims by delivering the necessary investment and payback to upgrade energy provision, reduce carbon emissions and build long-term energy resilience.”