Mitie: Embedding Net Zero Operations Into The Energy Sector

The energy sector is witnessing a fundamental shift in how organisations approach decarbonisation, with the greatest progress being made by those integrating net zero targets directly into their core business operations.

According to Mitie's Net Zero Navigator report, treating decarbonisation solely as a compliance obligation is proving far less effective than embedding it as a central strategic priority.

Drawing on insight from sustainability leaders, the report reveals an increasing emphasis on energy resilience, operational compliance and long-term cost stability.

These factors are helping to unlock the commercial benefits of decarbonisation for energy-intensive organisations across multiple industries.

Private capital drives clean energy investment

The energy financing landscape is evolving rapidly, with private capital stepping in to fill gaps left by reduced public sector funding.

Nearly three-quarters (71%) of sustainability leaders report that access to finance for decarbonisation has become more difficult over the past year.

However, according to Mitie's report, private capital is expected to contribute between 65% and 90% of the US$40bn required annually to meet the UK's 2030 clean power target.

This shift is creating opportunities for organisations with strong business cases, particularly as falling costs for solar, battery and other renewable technologies continue to improve investment appeal.

 “As decarbonisation efforts accelerate now is the time for organisations to take decisive action and secure investment,” says Mark Caskey, Managing Director, Projects, Mitie.

“Our findings show that integrating net zero projects into core business operations delivers real economic and energy security benefits. 

“Organisations can stay ahead of the curve by investing in energy storage, creating better-performing buildings and managing water usage as closely as their energy resources.”

Despite this progress, more than one-third (33%) of leaders indicate they need better access to data and reporting tools to manage compliance and risk as energy efficiency regulations evolve.

Grid infrastructure and storage capacity expansion

Recent initiatives such as the National Energy System Operator's Demand Flexibility Service are supporting investment in energy storage solutions.

Almost one-half (49%) of respondents are planning to invest in on-site battery storage in 2026, as the UK's operational battery capacity is set to rise from around 6.3 GW to approximately 27 GW by 2030, representing an increase of about 330%.

Alongside this expansion, Ofgem has provisionally approved US$24bn to upgrade Britain's energy networks and introduced major grid connection reforms in April 2025 to address the UK's 738 GW energy connections queue.

The aim is to shift from a first come, first served approach to prioritising projects based on readiness and net zero impact.

This could help to accelerate clean energy deployment, improve grid efficiency and security of supply and enable organisations to sell energy back to the grid.

The findings suggest that integrating net zero projects into core business operations could deliver tangible economic and energy security benefits.

Organisations can potentially stay ahead by investing in energy storage, creating better-performing buildings and managing water usage as closely as their energy resources.

“Make no mistake: the market is now running ahead of politics on net zero,” says Dr Rhian-Mari Thomas, OBE, CEO at Green Finance Institute.

“Solar and battery costs continue their rapid decline. Renewable capacity deployment remains robust. 

“Investment banks still commit capital to clean energy projects, even while retreating from high-profile climate coalitions. 

“These aren’t ideological choices.

"They’re economic realities. 

“The technology has become too competitive and the business case too compelling, to ignore.”

Energy sector refocuses on value-driven decarbonisation

Despite setbacks, momentum in the energy transition has not stalled.

Organisations are repositioning rather than retreating, focusing on decarbonisation that delivers value through robust business cases rather than climate ambition alone.

According to a World Economic Forum report, the global green economy has reached multi-trillion-dollar scale, with green revenues outpacing established sectors and annual investment in climate adaptation exceeding US$1tn.

The narrative has shifted towards energy resilience, efficiency, climate adaptation and broader ESG priorities.

Organisations increasingly recognise that delaying net zero action could heighten long-term reputational, financial and operational risk.

However, challenges remain within the energy sector, including acute skills shortages.

There are just 4,000 qualified heat pump installers against a requirement for 150,000, threatening progress in decarbonising heat, which accounts for around one-third of UK emissions.

Severe grid connection bottlenecks persist, with the current queue standing at approximately from 700 GW to 800 GW.

Mitie highlights that sustaining momentum into 2026 will depend on targeted green finance, digital tools such as data platforms and AI to support delivery and reporting, accelerated skills programmes and a holistic approach that positions net zero as a pathway to resilient, adaptive and value-generating organisations.

The energy market appears to be advancing independently of political shifts on net zero.

Solar and battery costs continue their rapid decline, while renewable capacity deployment remains robust.

Investment banks continue to commit capital to clean energy projects, even while retreating from high-profile climate coalitions.

The technology has become increasingly competitive and the business case potentially too compelling to ignore, suggesting that economic realities are driving the energy transition forward.