Energy management begins with understanding where and how energy is used within your organisation. The fundamental principle ‘you can't manage what you can't measure’ is particularly relevant here. Good energy management starts with comprehensive measurement and understanding of energy consumption patterns.

A 10% reduction in energy usage can significantly impact your profit margins. Consider this: every €1 saved on energy costs is equivalent to €10 in sales revenue for the same profit impact. According to guidance from the Sustainable Energy Authority of Ireland, if you're wasting €1,000 annually on energy due to poor management, you would need €10,000 in additional sales to generate the same profit (source).

Management Commitment

 Success in energy management requires full commitment from management in terms of both time and financial resources. This commitment should be demonstrated through the appointment of an energy coordinator with decision-making authority. The coordinator should be given adequate resources for implementation and support for ongoing monitoring and improvement initiatives.

Energy Statement

 Develop a formal energy statement that clearly outlines your organisation's commitment to energy management. The statement should articulate your overall objectives for energy management, specific targets and expectations, implementation strategies, commitment to continuous improvement, and communication plans for staff engagement.

Understanding Bills and Tariffs

Bill Analysis:

Regular review of energy bills is essential to understand usage patterns and trends. Pay particular attention to night unit consumption, unusual spikes or anomalies, any penalties or additional charges, and verify Maximum Import Capacity (MIC) accuracy. 

MIC charges are particularly important for larger SMEs, as these are based on your agreed electrical capacity. Exceeding your MIC can result in significant penalty charges.

Tariff Optimisation:

Regular tariff reviews are essential as significant savings can be achieved by ensuring you're on the most appropriate rate structure. Your tariff selection should consider usage patterns, timing, and volume considerations.

Consumption Monitoring:

Take control of your energy monitoring by recording actual meter readings rather than relying on estimates. Submit regular readings to your energy supplier and maintain detailed records for comparison. Track consumption patterns across different time periods to identify trends and opportunities for improvement.

Identifying Opportunities:

Conduct a thorough assessment to identify major energy-consuming equipment and processes. Consider factors influencing energy use such as production, weather and operational hours. Identify key personnel who can influence consumption and assess seasonal variations and their impact on energy use.

Action Planning

Plan Development:

Your energy action plan should include clear objectives and targets, budget allocation, responsible personnel assignments, implementation timelines, and progress tracking mechanisms. Each element should be clearly defined and measurable.

Project Prioritisation:

When prioritising initiatives, consider available resources, potential energy savings, implementation complexity and opportunities for quick wins. Projects that offer high visibility and encourage staff engagement should be given special consideration.

Implementation

Operational Actions:

Establish regular maintenance programmes and optimise existing systems and processes. Staff training in energy-efficient practices should be ongoing, with regular monitoring and adjustment of operations as needed.

Procurement Considerations:

Energy efficiency should be a key factor when purchasing new equipment, calculate lifetime energy costs for major purchases. Review energy supplier options regularly. Consider green energy alternatives as part of your procurement strategy.

Awareness and Engagement:

Your awareness programme should effectively communicate the importance of energy management throughout the organisation. Recognition and rewards for energy-saving initiatives can help maintain engagement. Ongoing training programmes should support these efforts.

Financing & Funding Opportunities

Energia

Further details: https://www.energia.ie/business-grants

SEAI

Further details: seai.ie/grants/business-grants

Enterprise Ireland

Further details:enterprise-ireland.com/en/supports/funding-and-grants

Monitoring and Review

Regular Monitoring:

Implement a system of bi-monthly bill comparisons and continuous consumption pattern tracking. Anomalies should be identified quickly and addressed promptly to maintain efficiency.

Continuous Improvement:

Maintaining momentum requires regular review of targets and achievements. Action plans should be updated based on results, and staff engagement and training should be ongoing. Integration with other business systems and regular reporting on progress and savings helps ensure sustained success.

Measuring Success

 Success in energy management can be measured through various comparative metrics. Consider energy use per employee (kWh/employee), energy use per revenue (kWh/€revenue), energy use per unit area (kWh/m²), and energy use per unit of production (kWh/output). Time-based consumption patterns should also be analysed to track improvements.

Long-term Sustainability

 According to Tricia Murray, Energy Services Manager at Energia, for long-term success your energy management programme should become an integral part of your business operations. 

“Regular reviews of targets and achievements, updates to action plans based on results, and ongoing staff engagement are essential,” Tricia advises. “Integration with other business systems and consistent reporting on progress and savings will help maintain focus and demonstrate value.

“Success depends on consistent application, regular review, and strong commitment from all levels of the organisation. Remember that energy management is an ongoing process that requires continuous attention and adjustment to achieve optimal results.”

Quick-win Efficiency Measures

• Several low-cost interventions can deliver immediate savings. 
• Installing occupancy sensors ensures lights only operate when needed. Draught-proofing and proper insulation reduce heating costs significantly. 
• Regular maintenance and review of time schedules and set points for heating, ventilation and air conditioning systems ensures optimal efficiency. 
• Smart meters and energy monitoring systems help identify wastage and unusual consumption patterns quickly.