Staff and pupils at an Oxford primary school where electricity is generated with a wind turbine have won a £5,000 environmental award.

The £28,500 windmill at Sandhills Community School, in Terrett Avenue, Headington, was unveiled earlier this year, and produces a quarter of the school's supply, saving £1,500 in fuel bills.

The school has run an energy efficiency programme since May 2006 and, on Monday, came second in the schools section of the Ashden Awards for Sustainable Energy.

The awards scheme aims to inspire sustainable energy solutions in the UK, and a total of 140 applications were made to the 2008 awards.

The awards were founded in 2001 by the Ashden Trust, one of the Sainsbury family's charitable trusts.

Headteacher Joe Johnson said: "It's great to get this award and the money will help us to continue the energy-saving work we have already started.

"I am talking to the managing director of a local energy company so we may use the money to try to lever in more funding for similar projects.

"Installing solar panels is one possibility and we are also considering reusing rain water to flush toilets, which will in the long run save money and water.

"Teachers, including Maureen Stephens and Emma Lacey, have worked very hard on these projects."

Ms Lacey added: "We are really excited to receive this Ashden award. We hope that this will encourage other schools to integrate environmental awareness into their everyday lives in creative and exciting ways.

"We hope to develop our energy efficiency programme at Sandhills and look forward to creating a greener future together."

Pupil Adrian Scott, eight, said: "We were very pleased to do so well in the awards.

"Sandhills is the top environmentally-friendly primary school in the country."

At the school, an energy team was set up, and themed energy days were set aside to explore issues around saving energy.

Sandhills has already become one of four in the country to receive Level Three of the Sustainable Learning Certificate for Energy and Water, the top mark in a scheme run by the Department for Education and Skills to encourage the green use of water and energy in schools.

Michael Waine, Oxfordshire County Council cabinet member for schools improvement, said: "This is an absolutely magnificent achieve- ment.

"Well done to Sandhills - they are an example to all schools."