How to beat your soaring energy bills
24th September 2021 |
I (Sam) have been in the process of trying to do a renovation on our house.
It’s nothing major, just changing a conservatory (such a British thing) to a proper room. The key ideas are: insulated; electrics; proper heating; energy efficient in the winter; energy efficient in the summer, and so on.
It has been a process that’s coming up to a year in the making.
We kicked it all off about this time last year, getting all the designs and plans sorted. Once that came through, it was time to find a builder.
That’s a bit harder.
Nonetheless, we’ve now managed to find a couple who come highly recommended and trustworthy that are fixing up quotes for us (finally!).
Hence, we’re pretty excited to get things properly rolling.
In our quest to make the house more efficient, a big part of that is to help manage our energy expenditure. After all, heating a conservatory with an electric blow heater in winter isn’t ideal. And trying to cool it in summer with a couple of electric fans… is not ideal either.
When one of the builders was on site to have a look at things and talk it over with us, we were stood out the back, where he pointed to our air-conditioning unit on the rear of the house and asked, “Is that a heat pump?”
I had no idea what he was talking about. I told him no, it’s just an air-conditioning unit. And that was the end of that.
However, when I don’t know something… I want to know something. I was curious as to what a “heat pump” was that looked like an aircon unit. So I went researching…
I quicky discovered it’s a way to heat air from the outside to help provide renewable heating for the home. These can either replace a traditional gas-fired boiler (which we currently have, as many people in the UK do) or you can get hybrid heat pumps to supplement the existing set-up.
I liked this idea of a hybrid heat pump. I’ve got an existing boiler, but don’t really want to rip it out. I’ve got space to install a water tank if needed. And, considering I’ve already got an external aircon unit, the idea of another one by it (they’re not that big) doesn’t bother me – not least because it can be hidden round the back of our place.
I’ve also seen that there are a few trial programmes that have been running across the UK for these hybrid heat pumps. So, I’m going to put my hand up for a trial.
With a bit of luck, I might also get a few quid in assistance for taking part in a trial, which would be helpful.
You see, there’s a fair bit of pushback against the idea that, in order to meet green energy targets, people across the UK will have to replace their gas-fired boilers with things like heat pumps.
Now the pushers-back do have a point. Crucially, no one wants to be forcibly made to do anything – let alone if it’s going to put them out of pocket.
But, if your boiler is about as old as the British Empire, then maybe looking at newer alternatives isn’t such a bad idea. And if the temptation in support of subsidies is right, then maybe shifting to new technologies like this makes a lot of sense.
Now, I will report back on my hybrid heat pump if we end up getting on to a trial and end up having one installed. If it saves me a few bikkies on my ever-rising energy bill, then it will be money well spent (in the long run).
Also, while my little trial participation (should it get off the ground) is one kind of future energy option, another that I’ve been craving is battery storage.
Ideally, I’d prefer to have a home battery and a not-ugly-looking array of solar panels on the roof or in the back garden. Frankly though, they’re all ugly, they’re all expensive and the payback is pointless. Also, the choice of batteries to store the energy is virtually nonexistent.
If there was a trial for better battery tech, I’d be all up for that too. But it does make us question how fast some of these future energies will come to market that have been some time in the making.
My colleagues, James Allen and Kit Winder over at Exponential Energy Fortunes, have a much clearer view than me of just how fast and profitable the energy market can be. They’ve even recently told me that with a little patience, all my energy dreams might just come true.
They also said that, that while I wait, they’ve got a hotlist of new energy investments that could more than offset my soaring energy bills.
Perhaps that’s really the smart move to play any impending energy crisis. As an Exponential Energy Fortunes reader, you’ve already seen James’ recommendation of NIBE to play the rise of heat pumps…
While we’ve got our share of green energy stocks here at Fronter Tech Investor in AMTE Power (LSE:AMTE), Velocys (LSE:VLS) and even throwing Argo Blockchain (LSE:ARB) in there (due to their use of renewables in their bitcoin mining operations), energy stocks isn’t our sole focus.
For James and Kit, that’s all they look at. And maybe the best way to combat your rising energy bills is to make some big profits on energy stocks.
Buy list update
Kanabo Group (LSE: KNB)
In our 5 August 2021 update, we notified you of Kanabo’s proposed acquisition of Materia, a Maltese-based processor and distributor of medicinal cannabis and cannabidiol (CBD) products.
The acquisition is yet to complete. However, Materia’s latest news could have a positive knock-on effect for Kanabo if a deal is sealed.
This is because on 14 September 2021, Materia’s Maltese facility was granted a commercial cannabis production licence by the Maltese medicines authority.
The licence was the final requirement for Materia to produce and export medicinal cannabis.
The production facility has an annual throughput capacity of 6000 kg of CBD oil, providing a potential sales value of around €36 million.
If the acquisition completes, Kanabo will be able to expand its distribution across Europe, bolstering revenue streams, and its reputation within the European CBD market.
With the European CBD market set to be worth €13.6 billion by 2025, according to a 2020 forecast, Kanabo could put itself in a position to gain a larger share of this growing, and increasingly popular, market with the acquisition.
Even if the acquisition doesn’t complete, our long-term view on Kanabo remains intact. We see it as a unique and credible CBD company, and one that looks capable of driving strong business and CBD industry growth.
As ever, we will keep you posted on the outcome of the acquisition, with any further action to take.
We reiterate our BUY recommendation. You can find the original recommendation here.
Spirent Communications (LSE: SPT)
Spirent finds itself at the heart of two booming industries of the modern day.
Firstly, in this age of 5G, Spirent is ensuring that internet connectivity is delivered in a faster and more powerful way than ever before.
And, more recently, the company is contributing to the transition towards autonomous systems and vehicles.
On 20 September 2021, the company announced the launch of GNSS Foresight.
GNSS Foresight is a cloud-based satellite navigation system that allows operators of unmanned aerial and autonomous vehicles to optimise journeys in suburban areas.
Often, large buildings in cities can block or alter satellite navigation signals from autonomous machines.
However, Spirent’s GNSS Foresight prevents this from happening. The system provides “real-world situational awareness” before journeys, allowing operators to successfully coordinate their journeys.
It does this through the use of high-definition 3D maps, providing pinpoint accuracy on where/if satellite signals could be blocked.
It’s a really cool piece of kit, which you can learn more about here.
Ultimately, the GNSS Foresight system prevents malfunctioning of autonomous vehicle systems, making them more efficient, and more importantly, safer.
In the transition towards autonomous vehicles, safety is of paramount importance.
Once safety of autonomous vehicles can be assured, the commercialisation of them will likely speed up.
With Spirent delivering an unmatched level of safety to autonomous vehicles, we believe it may start to attract the attention of the transport industry, which is becoming increasingly autonomised.
Alongside its 5G exploits, this makes for an exciting, yet potentially profitable avenue for Spirent.
We reiterate our HOLD recommendation on the stock. You can find the original recommendation here.
The Frontier Tech Investor “Top Three”
Sometimes it’s hard to decide on which stocks to invest in from our buy list.
Below is our Frontier Tech Investor “Top Three” section showing three stocks in open BUY positions. If you’re trying to figure out what to invest in next, these are three that we think are a great place to start.
This doesn’t mean our other stocks are no good; this is just a tool to help you spot the next Frontier Tech Investor stock that could be worthy of your consideration.
Surface Transforms (LSE: SCE) – this is car braking technology like you have never seen before. The carbon ceramic brake discs from Surface Transforms are notable for their efficiency, providing up to 70% in weight savings. Surface Transforms is the UK’s only manufacturer of carbon ceramic brake discs for automotive use, meaning it has something of a niche market all to itself. The durability and smoothness of the brakes enhances the driving experience for all. It currently has a buy limit of 68GBp. Make sure you stick to the latest advice and check the current price before investing. You can find the original recommendation here.
Mode Global Holdings (LSE: MODE) – Mode looks to revolutionise the way in which payments are being conducted. Its platform provides a seamless way to manage and spend assets from both monetary systems: the old, fiat currency system, and the new, crypto and digital assets system. The platform has unique features, such as the potential for you to earn interest on your bitcoin holdings. We see the popularity of Mode rising in line with the wider adoption of cryptocurrencies as a means of payment. You can find the original recommendation here.
Argo Blockchain (LSE: ARB)- Argo is a history-making crypto mining company. It is the first pure play crypto mining company to list on the London Stock Exchange. Its listing on the exchange shows how quickly the transition to the new money system is taking ahold. Through its powerful mining rigs, the company has the capability to mine thousands of bitcoin each year, earning potentially lucrative returns in line with the price of bitcoin. You can find the original recommendation here.
Sam Volkering
Editor, Frontier Tech Investor
Elliott Playle
Junior Analyst, Frontier Tech Investor
