SAINSBURY'S has signed an agreement aiming to reduce energy consumption in its 458 stores by 11 per cent in the next two years.

The company, which has two stores in Worcester, currently spends more than £50 million a year on energy.

Under the four-and-a-half year contract, RWE Solutions will manage a £14.5m investment programme of energy efficiency measures.

The programme will contribute to Sainsbury's environmental target of reducing carbon dioxide emissions from its buildings by 10 per cent.

Energy consumption at all Sainsbury's stores will be assessed by RWE, which will develop an intensive energy reduction programme, covering refrigeration, lighting, heating and ventilation projects.

RWE will review the effectiveness of existing equipment and will modify refrigeration systems, monitor temperature controls, upgrade lighting and infrastructure and ensure that heating and ventilation systems are operating at optimum efficiency.

The work will supplement Sainsbury's current programme of upgrading all its supermarkets.

Gas and electricity to all Sainsbury's sites in the United Kingdom, including offices, depots and stores, will be provided by RWE Trading Direct.

Important step

"This contract represents an important step in helping us meet our environmental responsibilities and further reduce our expenditure," said Sainsbury's group energy manager Julius Brinkworth.

William Fortescue, chief operating officer for RWE Solutions, said it was one of the first contracts of its type to combine commodity supply with a project-driven energy reduction programme.

"The opportunities provided for both Sainsbury's and RWE are significant and we are looking forward to the opportunity to develop our partnership with Sainsbury's," he said.