Energy is used in many ways, from heating to cooling to power and motion. Opportunities to lower energy use are available in all of these areas. The challenge is to identify the best areas for reducing energy consumption by balancing opportunities with their costs. It’s possible to find a positive net present value (NPV) for many different upgrades.
Energy Audits
For many building owners and managers, an energy audit is a worthwhile first step. Often there are some glaring opportunities that easily apparent. Old technologies that use lots of energy are an example. Energy audits can provide a list of items where deficiencies exist, which can be prioritized and addressed by order of value.
Technical Fixes
The low-hanging fruit for energy reduction efforts is through the application of technical fixes. In new-builds as well as in retrofit situations, older technologies are being supplanted by new. Many leading industrial companies such as 3M, GM, and Volvo Group have made great efforts to reduce their use of energy in their processes. For example, Volvo Group announced in May 2018 that they have successfully reduced their energy consumption by 25% at their US facilities! As a company in an energy-intensive business, Volvo Group’s savings is impressive, and impactful. Reducing costs, lowering environmental impacts, and increasing competitiveness and investor returns are all resulting benefits.
Technical fixes are also available for other large energy users such as multifamily buildings, hospitals, and hotels. Larger organizations may have in-house expertise, or work with management companies that dedicate staff to energy reduction efforts. Smaller and medium size organizations in these business areas also stand to benefit from significant cost savings, and a corresponding increase in profitability.
Operational Fixes
As noted in the article at the Volvo link (above), that company is going beyond technical fixes: “As we shift from technical changes — which tend to have a large one-time impact — to operational and behavioral changes that are more people-driven” the company’s objectives are to continue to reduce energy consumption.
Companies like Volvo Group are showing great leadership in their commitment to, and success in reducing energy consumption. The behavioral and operational changes are a frontier that is ahead for everyone, though for the time being, for most, it is the technical changes which will bear the quickest payback.