Introduction to Energy Management Plan Template:

Run our Quarterly Energy Management Plan Template to take control and manage energy use for your organization. Increase energy efficiency, conserve energy, and invest appropriately in renewable energy sources.

Running this checklist will give a good appreciation of what is needed for effective energy management.

We are entering an energy crisis. 80% of the U.S. energy coming from fossil fuels, which will begin to run out in the next ~50 years.

This will not only impact us on a personal level, it will also permeate negative effects through society and our economy. For businesses to survive, organizations must take responsibility for their energy usage, for which energy management is key.

Our Quarterly Energy Management Plan Template has been produced using the Carbon Trust's Energy Management: A comprehensive Guide to Controlling Energy Use.

By using this checklist, you can continuously access your organization's energy demand, improve energy efficiency, conserve energy, and switch to alternative renewable energy sources.

How to use this checklist

At the beginning of this checklist, you will be presented with a set of specialized questions given as form fields. You are required to populate each form field with your data.

Work through the tasks in each section. The sections in this checklist, given in order are:

  • Commit
  • Understand
  • Plan and organize
  • Act
  • Control, monitor, and review
  • Keep going

By the end of this checklist, your established targets will be set in motion to conserve energy, improve energy efficiency, and make the switch to renewables.

In this template, you will come across the following Process Street features:

  • Stop tasks - To ensure task order.
  • Conditional logic - To adjust the template so it is adapted to your needs.
  • Role assignment - To delegate tasks within your team ensuring your supervisors are appropriately assigned to the review tasks.

Record checklist details

In this Quarterly Energy Management Plan Template, you will be presented with the following form fields which you are required to populate with your specific data. More information for each form field is provided via linkage to our help pages:

This checklist is to be run by an energy champion. According to the Carbon Trust approach, the energy champion should:

  • 1
    Be the firm's eyes and ears for energy wastage;
  • 2
    Be responsible for reading meters and checking fuel bills;
  • 3
    Develop a weekly or monthly checklist of duties;
  • 4
    Consider forming an action team to report on progress to stimulate further action.

Select your energy champion using the members' form field below.

Next, use the form fields to record the energy champions details, company details, and checklist details.

Energy champion details

Organization details

Checklist details

Energy management roadmap

The key elements for delivering successful energy management are illustrated in the roadmap given below.

Senior management commitment is the foundation of good energy management, which is delivered through a formal energy policy and a supporting energy strategy with an action plan.

An initial review will be needed to get things going and it will take time to put all the elements in place. This checklist has been designed to adhere to the below energy management roadmap.

Step 1 - Commitment:

Work to gain complete organizational commitment

Make energy management part of company policy (whether that's as part of procurement or corporate social responsibility or simply raising awareness to best practice).

Energy efficiency needs to be embedded in your company's culture to demonstrate your organization's commitment to energy efficiency. Start by making energy efficiency, conservation, and the switch to renewables part of your company policy.

You can use the long text form field below to detail this new policy.

Make sure your policy includes:

  • 1
    The context, concerning corporate vision and mission, plus other specific environmental policies.
  • 2
    Clear expectations of the organization's energy/carbon vision and aspirations.
  • 3
    A commitment to develop and maintain an up-to-date energy strategy ensuring the integration of energy management across all relevant decision-making.
  • 4
    A commitment ensuring that sufficient resources are in place to meet the policy. objectives
  • 5
    A commitment to meeting the training and development needs of energy management staff and raising the energy awareness of all staff.
  • 6
    A commitment to regular and formal review. Good practice would be to review the policy annually, though this does not mean that it has to be redrafted each year.

Keep the energy policy formal and brief, signed off by the Chief Executive, and as a public document.

Conduct your initial review

Before the formal development of your energy management approach, an initial understanding needs to be gauged of how energy is currently used and managed in your organization. Also, consider the main issues for your organization, which includes the impact of:

  • Energy spent on your organization's finances,
  • Energy and climate change legislation and taxation on your organization's finances and operation,
  • Good energy management on your corporate reputation.

Review your energy management systems using the below checklist. This checklist details best practices for optimal energy management. Check off tasks your energy management system abides by:

    • 1
      A structured management approach is used to target energy issues.
    • 2
      Energy costs are not treated as an overhead.
    • 3
      Gives clear accountability and responsibility for energy management.
    • 4
      Energy monitoring extends outside the accounts department, beyond simple financial control.
    • 5
      A review of energy suppliers is done regulary.
    • 6
      There is planning to address issues such as the CRC Energy Efficiency Scheme (CRC) or Display Energy Certificates.
    • 7
      There is extensive awareness about energy issues at all levels of the organization.
    • 8
      Energy is seen as an issue for all the workforce.
    • 9
      ISO 14001 certification includes energy as a significant aspect.
    • 10
      Energy management is seen as an opportunity to improve performance and reduce operating costs.
    • 11
      Energy is reviewed as a strategic issue with an endorsed, active mandate to manage energy, supported at the highest organizational levels.
    • 12
      Adequate resources (financial and human) are allocated to energy management.
    • 13
      There is a reliable and effective system for monitoring and reporting energy performance.
    • 14
      Energy procurement is an integrated, proactive process.
    • 15
      There is planning to meet upcoming regulations.
    • 16
      There is a maintained level of energy awareness throughout the organization.
    • 17
      There is an active engagement of the workforce around energy issues.
    • 18
      There is a full integration of energy management with other management systems.
    • 19
      Energy management is seen as an opportunity

    Use an energy management self-assessment tool

    On top of this initial review, use an energy management self-assessment tool to gauge your performance across the different areas of energy management.

    Download the Carbon Trust's energy management self-assessment tool below:

    Using this assessment, you can produce:

    • The energy management matrix: This too helps organizations assess their strengths and weaknesses across the following six areas of energy management:
      • Policy
      • Organizing
      • Training
      • Performance measurement
      • Communication
      • Investment
    • The energy management assessment (EMA): This tool provides a more comprehensive self-assessment through the following criteria:
      • Management commitment
        • Energy policy
        • Energy strategy
        • Organizational structure
      • Regulatory compliance
      • Procurement and investment
        • Procurement policy
        • Investment procedures
      • Energy information systems and identifying opportunities
        • Monitoring and analyzing energy use
        • Target setting
        • Opportunities identification
      • Culture communications
        • Staff engagement and training
        • Operational procedures
        • Communications

    Both tools can be used to identify areas for improvement, to show how balanced your approach to energy management is.

    Once you have completed the Carbon Trust's energy management self-assessment tool, you can upload your assessment using our file upload form field below.

    How did your organization score?

    Use the long-text form field below to summarize how your organization scored.

    When conducting your self-assessment, consider the following points:

    • Reaching the upper levels in all areas may not always be appropriate,

    • It is recommended that you re-visit your self-assessment periodically.

    Get upper management onboard

    Any energy management initiative is likely to falter without the support of senior managers. To gain their commitment they will need to understand clearly:

    • What your energy management system is
    • Why your energy management system is needed
    • The benefits your energy management system will bring
    • How much your energy management system will cost

    Detail this information using the long text form fields below.

    High-level commitment will provide:

    • Advocacy from senior managers,
    • Visibility of the issues across your organization,
    • The impetus for the organization to implement energy management,
    • Resources, both human and financial.

    It is good practice to designate a board member or other senior manager to act as a sponsor for energy management within the senior energy management team (SMT). The Responsible Senior Manager will provide the link between the

    Find out about prior energy management strategies

    It’s worth finding out whether an energy management strategy is already in place, to learn from mistakes, or to reinstate good practice that has since lapsed.

    Make your case for energy management

    Make a case for energy management, by:

    • Articulating what the costs and benefits will be
    • Explain how it can be implemented
    • Outline who should be involved
    • Propose a timeframe and milestones
    • Clearly state what the next actions should be

    (Refer to the information detailed in task 8)

    Use the long-text form fields provided to detail this information.

    Step 2 - Understand (establish the facts):

    Designate an individual to take regular meter readings

    To understand your current energy performance you need to take regular meter readings.

    Designate a team member/team responsible using the members form field below.

    Take regular meter readings through the quarter

    It is important to take regular meter readings. It is not enough to look at invoices to determine the amount of energy used.

    Incorporate a meter reading system to:

    • 1
      Spot abnormal consumption and get to the causes quickly;
    • 2
      Check invoices and make sure actual fuel use is paid for;
    • 3
      Compare current data with historic records;
    • 4
      Compare all your sites, processes, or buildings;
    • 5
      Benchmark similar businesses;
    • 6
      Look for any seasonal differences in usage.

    It is recommended that you take meter readings every month. Take meter readings at the same time of day and the same day of the week. Energy usage can then be displayed on a graph, making it easier to detect trends and spot any abnormal consumption spikes. Investing in a smart meter makes this stage easier.

    Use the date form field below to select the start date for the period readings will be taken over, and a due date for the quarter-end.

    This will utilize Process Street's dynamic due date feature, notifying the individual when meter reading recordings are due in.

    You can use online documentation software to track your data recordings such as Google Excel.

    If you do, link to this online documentation using the website form field below.

    Upload meter reading recordings for the quarter

    Upload your meter reading recordings for the quarter using the file upload form field provided below.

    Benchmark current performance

    Understand your current energy performance by collecting and analyzing data. Assess which sets of data are most useful and how much is needed.

    Trends and issues that need investigating often emergy quickly, simply by looking at year-on-year or month-on-month data. Data needs to be linked to appropriate drivers, such as turnover, tonnes of material processed, and so on, as relevant to the site.

    • 1
      Identify the most useful data sets.
    • 2
      Determine how much data for each data set needs to be recorded.
    • 3
      Link data sets to appropriate drivers, such as turnover, tonnes of material processed, and so on. For instance, performance could be expressed in terms of energy used per square meter of occupied office space.
    • 4
      Reference to published consumption benchmarks for other similar organizations, buildings, or processes, but make sure to compare like-for-like instances.

    Analyze stakeholder needs

    People will be interested in helping to shape a company's energy management strategy. Consider the following stakeholder needs:

    • 1
      Customer: Demand value for money. Customers are increasingly preferring businesses with green credentials.
    • 2
      Investors: As well as return on investment, they want to see businesses managing their environmental impact to minimize risk in the future.
    • 3
      Community: May have concerns about how the business or organization affects the environment.
    • 4
      Taxpayers: Who hold public sector organizations accountable for the effective use of funds.
    • 5
      Staff: May appreciate comfortable working conditions and a positive, proactive approach from management.

    Set KPIs, objectives, and targets

    When developing objectives and targets, there're a number of factors to take into account, both in terms of the size of targets and how they're to be achieved.

    These include:

    • 1
      Assessing energy reduction targets to calculate the cost and potential return on investment.
    • 2
      Building on management strengths and identifying any gaps in resources.
    • 3
      Expressing objectives and targets in ways that provide incentives for people at all levels in the organization.

    Energy-saving targets are often expressed in terms of a percentage reduction in energy consumption or CO2 emissions. It is important to ensure that targets are realistic and reflect the organization’s potential.

    Alternatively, reductions can be expressed in terms of improvement compared with benchmarks, either those taken internally or those published in comparable organizations if available.

    Set key performance indicators, using the subtask form field provided to check off the KPIs included.

    • 1
      Increasing the percentage of annual energy expenditure invested in reducing consumption.
    • 2
      Achieving a greater return on investment in improving energy efficiency.
    • 3
      Increasing the awareness of staff, measured by a staff questionnaire, and the impacts of staff actions.
    • 4
      Increasing the number of key personnel given energy training.
    • 5
      Improving on the Energy Management Assessment tool or Entergy Management Matrix.
    • 6
      Reduction of energy consumption, measured in terms of c02 emissions expressed as a percentage or in terms of improvements made compared with benchmarks.

    While setting objectives and targets in accordance with listed KPIs, it's important to keep in mind barriers to success.

    The following are common weaknesses that can lead to a poor energy management strategy:

    • 1
      A lack of support from senior management.
    • 2
      Not succinct.
    • 3
      Lack of specific targets and commitments.
    • 4
      Out of date, not a living document.
    • 5
      Not supported by a strategy with the ability to deliver.

    When developing your KPIs, objectives, and targets, think about:

    • 1
      How you can make energy efficiency improvements
    • 2
      How you can conserve energy
    • 3
      How you can make the switch to renewable energy sources

    Document your KPIs, objectives, and targets. Upload this documentation using the file upload form field given below.

    Understand energy use

    Ask questions to understand how and why energy is used in a broader context.

    1. How does the core work of the business affect energy use?
      1. Manufacturers, for instance, need energy for their processes, meaning consumption will fluctuate depending on the production levels. In offices, energy correlations may be less direct, but energy is needed for heating, lighting, and office equipment. Energy for heating and lighting might go up in the winter months.
    2. How does legislation affect the organization?
      1. Understand what legislation is relevant to the organization, which may include legislation designed to encourage energy savings, but also legislation that tends to increase energy demand through, e.g. pollution control.

    Step 3 - Plan and organize:

    Confirm understanding of the importance to include stakeholders to devise your energy strategy

    When it comes to meeting your energy management goals, you want to include stakeholders to help you develop an energy strategy.

    Policy, targets, and objectives will not deliver the energy savings required, but rather they set the mandate and focus on the development of an effective energy management strategy.

    Strategies should not be developed by a single individual, or fully handed over to an external organization, though it can be helpful to involve external facilitation if the cost can be justified.

    Before anything else, acknowledge why it is important to include stakeholders when devising your strategy. For this, confirm understanding of the points given below:

    • 1
      Consulting stakeholders will give input and ‘buy-in’ from the people that the strategy affects and those who will be responsible for implementing the various elements.
    • 2
      Consulting stakeholders will spread resource requirements.

    Acknowledge key issues that could block the implementation of your energy strategy

    It is important to understand key strategic issues, so you can address these issues ahead of time.

    Key strategic issues to resolve are:

    • Will a formal management system be used - for example, ISO 14001, BS EN 16001, or ISO 5001?
    • What will be the responsibility or the accountability structure for energy management?
    • Can the energy management framework be delivered with existing staff?
    • Gaining stakeholder input and ensuring there is shared ownership from all those whom it affects can be a challenge.
    • Gaining senior management support, including the assignment of responsibilities to a range of staff can be a challenge.

    Use the long-text form fields provided to detail your response to the above.

    Take the time to consider what your energy strategy should deliver on.

    Use the subtask form field below to confirm understand that your energy strategy needs to:

    • 1
      Be an operational document that sets out how the organization will ensure that the energy policy objectives are met.
    • 2
      Ensure that the necessary systems, processes, and resources are in place.
    • 3
      Be a formal written document adopted by the Senior Management Team (SMT), all of whom take responsibility for its successful completion.
    • 4
      Be subject to a process of a formal review and each edition of the strategy should provide a plan of action for a specific period.

    The detail of the strategy will of course depend not only on the policy objectives but also on the existing energy management position and nature of the organization.

    Devise your energy strategy to cover the following aspects

    Whatever the organization’s starting position, the following aspects should be covered by the strategy:

    • 1
      Assignment of energy roles and responsibilities across the organization with sufficient resources allocated to ensure that these responsibilities can be properly delivered. This includes staff time, staff grades, and budgets.
    • 2
      Development and maintenance of organizational structures so they support energy management and related processes.
    • 3
      Compliance with energy and carbon regulation.
    • 4
      Development and maintenance of procedures for operational and capital financing of energy efficiency activities and projects, which are consistent with the policy aims.
    • 5
      Development and maintenance of procedures for the procurement of energy-consuming equipment, energy-related services, and energy itself.
    • 6
      Energy information management including metering, monitoring, analysis, and reporting of energy performance and related issues.
    • 7
      Methods and processes for identifying energy reduction opportunities.
    • 8
      Training and development of staff across the organization, which supports the energy policy objectives.
    • 9
      Communicating the energy policy, targets, and particular initiatives both internally and externally where appropriate.

    These topics are covered in more detail later in this checklist.

    Upload your energy strategy

    Use the file-upload form field to upload your energy plan.

    Step 4 - Act:

    Organize energy management

    Energy manager and energy management team

    There is no ideal model for the energy management team, as to how it works will depend on the characteristics of the particular organization.

    Staff on the team may also have other functions and duties - it is therefore important that they have sufficient time, expertise, and resources to perform their energy management responsibilities effectively.

    The energy management team as a whole should encompass the following functions:

    • 1
      Ongoing monitoring and reporting on energy use, energy cost, and related carbon emissions through the use of appropriate energy metering, monitoring, and analysis tools and systems. Benchmarking performance, identifying exceptions, and instigating corrective actions.
    • 2
      Communicating with staff to encourage all employees to be energy-aware and play their part. Providing support and advice to staff.
    • 3
      Identifying and implementing opportunities for reducing energy consumption and for using alternative lower-carbon sources of energy.
    • 4
      Keeping abreast of and managing relevant regulatory requirements, new technical developments, and identifying sources of external funding for energy efficiency investment and support.
    • 5
      Specifying energy-efficient features in maintenance operations, plant replacements, building refurbishments, and new builds. Approval of equipment purchases from an energy efficiency perspective.

    If you are a larger multi-site organization or those with very high energy use, it is beneficial to designate an Energy Manager as a full-time role, or even employing more than one person to manage the program. If this latter model is used, then it's important each person is given a specific area to look after, but that one person retains overall responsibility. For smaller companies though, an energy champion such as yourself may be enough.

    There are a number of characteristics that should be put in place to facilitate effective energy management and ensure that key decision-making considers the consequences for energy, as given below.

    Use the subtask checklist to confirm that each consequence has been considered:

    • 1
      There should be a clear reporting structure from the Energy Manager and team through to the Senior Management Team via the Responsible Senior Manager.
    • 2
      Particularly strong relationships are necessary between the energy management function and those responsible for the operation of buildings (e.g. facilities manager) or process plant (e.g. production manager). For new or refurbished buildings or plants, Energy Managers need to liaise closely with the specifiers/designers.
    • 3
      Communications need to be underpinned through specified processes and not be dependent on ad-hoc relationships between departments or individuals.

    For the greatest effect, an energy management plan needs to be fully integrated within an organization's operations to be effective. This means responsibility lies with all employees.

    Energy management best practice will include clearly specified energy-related responsibilities for:

    • 1
      The chief executive.
    • 2
      The Responsible Senior Manager and the Senior Management Team (SMT) as a whole.
    • 3
      The Energy Manager )or person who has that role) and Energy Management Team.
    • 4
      Other key managers and their departments, for instance - Production and Service Delivery, Assets Management, Finance, Procurement, IT, Human Resources, Security, Cleaners, and Caretakers, etc.

    Allocate resources

    It is important to ensure that people with energy management responsibilities are given adequate time, budget, and resources to fulfill their responsibilities effectively.

    A minimum guideline is that for every $2.5 million spent annually on energy, an organization should have one or more full-time equivalent (FTE) people assigned to energy management activities, excluding activities related to energy procurement. An organization, for example, with a $5 million annual energy bill really requires two FTE in total allocated to energy management.

    Address regulatory compliance and incentives

    Take the time to become fully aware of the compliance framework affecting your organization, and the opportunities there may be from incentive schemes.

    This is a constantly developing area and it is vital that organizations ensure they keep up-to-date, particularly with their legal obligations.

    Across the globe, various carbon and energy-related schemes are devised to ensure secure and affordable energy suppliers while also addressing climate change.

    The aim of these schemes is to reduce greenhouse gas emissions and encourage diversification of energy supply, particularly towards alternative and renewable sources.

    Such regulatory schemes can be divided into two broad groups, as detailed below.

    Those that place mandatory requirements on organizations, including...
    • CRC Energy Efficiency Scheme (CRC)
    • Building Regulations and Energy Certificates (EPCs and DECs)
    • Climate Change Levy (CCL) and Climate Change Agreements (CCAs
    • EU Emissions Trading System (EU-ETS)
    • Fluorinated Gas (F-gas) Regulations
    Those that provide direct financial incentives for implementing certain technologies and alternative energy sources, including...
    • Enhanced Capital Allowances (ECAs)
    • Feed-in Tariffs for renewable technologies (FITs
    • Renewable Heat Incentive (RHI)

    Understand how to implement a good investment practice

    Energy management good investment practice can be characterized by all or some of the following:

    • 1
      A ring-fenced investment budget for energy efficiency/sustainable energy that is under the management control of the Energy Manager. This avoids the danger of funds that may nominally be allocated to energy efficiency within a specific capital project, being diverted for other purposes within the project.
    • 2
      Retention of at least a proportion of energy savings by the function to which they relate. This provides an incentive and reward for pursuing energy efficiency.
    • 3
      Retention of at least a proportion of energy savings for investment in further sustainable energy measures.
    • 4
      Appraisal on a whole life cycle basis (see below) when comparing energy efficiency investments with competing demands on capital funding.
    • 5
      Maximizing the use of support from organizations such as the Carbon Trust to complement and strengthen in-house endeavors.
    • 6
      Presenting clear and thorough business cases for investment appraisal.

    Ensure the success of your energy strategy

    Acknowledge the common barriers to success for an energy strategy, and think about how you can mitigate these barriers.

    Check off each task in the subtask form fields below to confirm the barriers to success have been acknowledged and acted on.

    • 1
      Increasing energy costs can reduce the availability of funds to invest in energy efficiency. Keep senior management aware of the risk of increasing energy costs and how energy management can mitigate this.
    • 2
      If energy end-users receive no financial benefit from reducing consumption there may be little incentive to invest time and resources in energy efficiency actions. Consider ways of incentivizing different departments, perhaps by devolving energy budgets or the sharing of savings.
    • 3
      Not ring-fencing funds makes energy efficiency vulnerable to the perceived priorities of other demands on capital. Gain senior management support for the ring-fencing of funds and ensure business cases for energy projects are sound.
    • 4
      Poor presentation of business cases to senior management for energy efficiency investment. Make sure you are prepared – follow the advice in Making the business case for your carbon reduction project.

    Calculate life cycle costing for investments made

    Calculate the life-cycle cost for your investments made.

    Life Cycle Costing is about getting the full picture of how much equipment will cost, over its whole life.

    The energy cost of running most equipment is many times higher than the original purchase price. This can justify a higher purchase cost for more efficient equipment. For example, the capital cost of an electric motor may be as little as 1% of its lifetime cost.

    To calculate the life cycle cost, determine the following:

    A. The total power demand for the equipment (in kilowatts). The supplier should be able to provide this information.

    B. The number of hours the equipment will operate each year.

    C. The unit price of energy ($ per kilowatt-hour). Check energy prices and the current tariff, usually on the energy bill. Consider if future price changes are likely.

    D. The annual maintenance cost of the equipment ($).

    E. The number of years for which the equipment will be used.

    F. The equipment capital cost ($).

    The annual running cost of the equipment is then:

    • (A x B x C) + D = Y
    • Y x E = lifetime running cost 
    • Lifetime running cost + F = total life cycle cost of the equipment

    • 1
      Use life cycle costing to compare the effectiveness of different options to determine the most attractive solution.

    Implement effective procurement of energy, equipment, services, and buildings

    Energy procurement

    Energy procurement is about getting the best price for the supply of energy.

    To make smart decisions in regard to energy procurement, you need to understand:

    1. The market
    2. How your organization uses and will use the energy

    With energy management, it comes as a balancing act between where the energy is obtained from and the cost.

    For a more sustainable source of energy, it is highly recommended that you switch to a green energy supplier.

    Equipment and service procurement

    An energy action plan may have identified certain inefficiencies that could be rectified in the long term with capital investment in new plant or equipment.

    It is best practice in energy management to have procedures in place that ensure that the energy performance of such items is taken duly into account when procurement decisions are being made.

    Below, best practices are listed. Check off each practice to confirm it has been read and understood.

    • 1
      An energy efficiency/low carbon procurement policy is in place, possibly as an element of a wider sustainable procurement policy. The principal responsibility for developing and implementing this policy should be with the procurement department, with strong involvement from the energy management team.
    • 2
      The procurement policy and its related procedures should ensure that service provision agreements incorporate terms and conditions that ensure energy efficiency is taken fully into account in line with the objectives of the organization’s energy policy.
    • 3
      The procurement policy and procedures should include a reference to particular standards, such as Energy Star for IT equipment, or guidance provided by the Energy Management Team.
    • 4
      Under the policy and its related procedures, the Energy Manager has a formal role in the procurement decision-making process for strategic items or service contracts, with a sign-off requirement that the procurement is consistent with the objectives of the organization’s energy policy.

    Procurement of buildings

    The procurement of buildings, whether through a lease or actual purchase, can be a key factor in the long-term energy performance of the organization.

    Consider leasing, purchasing, or commissioning buildings to meet the highest energy efficiency standards.

    Acknowledge and act on common success barriers

    • 1
      Energy Managers are frequently distracted from the objective of managing energy consumption by the administrative demands of energy procurement and supply. It is important that sufficient resource is provided to avoid this situation
    • 2
      In some organisations, the people purchasing the energy and equipment have little or no contact with staff implementing the energy policy. This can be a strategic issue which needs to be tackled. Although supply contracts might need to be negotiated by a specific department, purchasing for efficiency should be an integral part of the organisation’s energy strategy.
    • 3
      There are many instances in the procurement of buildings, services, and equipment where opportunities for energy efficiency and reduction in life cycle costs have been overlooked due to the decision-makers’ lack of awareness and inadequate procedures that do not involve the Energy Management Team.
    • 4
      Procurement staff will frequently consider just the initial purchase cost, rather than the cost of ownership over the entire life of the item to be procured.

    Access your meter, monitor, and target system

    For your energy management to be effective, it is important to have formal systems in place for data collection and analysis.

    A good way of identifying waste initially is to stage an energy walkabout. These walkabouts can be completed by yourself or other employees.

    Energy usage patterns will inevitably vary, so vary the staged walkabout throughout the day at different times, to match, for instance:

    • When the cleaners are in;
    • At lunch;
    • At night or over weekends (if your meter readings indicate that there is an unexpectedly high energy use during these periods).

    Your metering, monitoring, and targeting system should:

    • 1
      Report regulary to the Senior Management Team in terms of progress in implementing the energy strategy and meeting policy objectives.
    • 2
      Department heads should receive reports on the energy performance of their departments and progress on specific initiatives.
    • 3
      All staff should be informed about the organization's progress and performance.
    • 4
      Reports should be produced for inclusion in external communications such as the organization's CSR report.

    On top of the above, you need effective Metering, Monitoring, and Targeting (MM&T) as an integral part of your energy strategy.

    An effective MM&T system will give an energy manager the below-detailed information.

    Check off each subtask to confirm your MM&T system provides the stated.

    • 1
      Timely, relevant information on energy use.
    • 2
      The ability to investigate the energy performance of buildings and processes.
    • 3
      The ability to take action to rectify exceptions in performance and to improve energy performance over time.
    • 4
      Energy reports to support accountability for energy use.
    • 5
      The ability to verify savings made following project implementation.
    • 6
      All utility invoices are checked for accuracy, site, tariff, readings (consumption), climate change, and arithmetic.
    • 7
      Estimated readings are not accepted, actual meter readings are provided to the supplier where this is an issue.
    • 8
      Full use is made of data held by the supplier. This is also downloaded and archived at regular intervals.
    • 9
      Taking up opportunities for automatic reading where available.
    • 10
      All utility meters are of a current standard. For electricity, this means that they are half-hourly meters and old meter have been "swapped out".
    • 11
      Where onsite generation is used, the energy produced is metered.
    • 12
      A sub-metering strategy/plan is in place and meters equal to or better than the Enhanced Capital Allowance (ECA) criteria are used.
    • 13
      Energy cost accountability has been defined and implemented. Regular reports are produced to inform and motivate the enery user.
    • 14
      Energy use is related to the factors that drive it, such as weather, production, and activity.
    • 15
      An annual energy statement or balance is prepared.
    • 16
      Energy savings are tracked after each project has been implemented.
    • 17
      There is a sound audit trail for energy data and information.
    • 18
      Stakeholders have been involved in the development of the system.

    Be aware of common barriers to success when it comes to Metering, Monitoring, and Targeting energy use. 

    Check off the subtasks given below to acknowledge common success barriers are understood:

    • 1
      Energy data from suppliers is frequently inadequate for energy management purposes, due to estimated readings, errors, and the time lag in availability.
    • 2
      Data handling can be a very time-consuming process without the right MM&T system.

    Schedule daily walkabouts

    A good way of identifying waste initially is to stage an energy walkabout.

    Energy usage patterns will inevitably vary, so vary the staged walkabout throughout the day at different times, to match, for instance:

    • When the cleaners are in;
    • At lunch;
    • At night or over weekends (if your meter readings indicate that there is an unexpectedly high energy use during these periods).

    From these walks, identify:

    • 1
      Where the energy is being wasted;
    • 2
      The reasons why the energy is being wasted.

    Energy waste might occur due to a lack of understanding, procedures being overlooked, inadequate repair, or capital investment.

    Make sure to record your findings, and divide recommendations into three main categories:

    • 1
      No-cost measures (good housekeeping).
    • 2
      Low-cost measures.
    • 3
      Measures that require capital investment for specialist advice.

    Make sure an energy survey system is in place

    An energy survey is a key element in any energy management program.

    Ideally, your first survey should take place as part of the development of your energy strategy. Objectives can then be set based on knowledge rather than instinct.

    Practices and technology change, so you should consider running a full energy survey around every five years – more frequently if circumstances dictate.

    An alternative approach is to have a rolling program that looks at different parts of the organization in stages.

    Considering opting for a commercial energy survey. Then look at equipment suppliers to assist you in areas where you think that investment is required. If you

    Identify opportunities

    Use your MM&T system to identify opportunities for energy saving through a number of techniques, including:

    • 1
      Examining energy demand during out-of-hours periods (e.g. overnight and weekends).
    • 2
      Statistical analysis of data to understand the relationships between energy demand and drivers, such as external temperature (degree days) or production volumes
    • 3
      Implementing automatic exception reporting to flag when energy use falls outside expected norms.

    Develop your action plan

    Developing the strategy will identify which initial actions are needed to put good energy management into effect.

    These actions should form a live energy plan that is regularly updated to show progress and development. The action plan will expand to include specific actions to identify opportunities and implement energy reduction projects.

    To be effective an action plan should:

    • 1
      Be agreed and approved by the appropriate level of management
    • 2
      Involve the senior manager who is ultimately accountable for energy management performance
    • 3
      Prioritize actions
    • 4
      Relate actions to individual objectives and targets, which should come, in turn, from specific policy commitments and strategy development
    • 5
      Assign actions to individuals with clear deadlines for reporting progress and completing the task
    • 6
      State a realistic time and budget allocated to individuals to complete each action
    • 7
      Indicate who has authority for approval and signing off each action when it has been completed.

    Drive to alter the organizational culture

    Create organizational change from the inside out.

    Everyone in a company should be responsible for their actions when it comes to energy use. There needs to be an understanding of what makes the organization tick and what will drive people to do what you want.

    People are more likely to change their actions if they understand how their actions affect consumption.

    • 1
      Take time the plan your energy savings campaign.
    • 2
      Distribute our Green Guide checklist - given below - to employees.
    • 3
      Provide an opportunity for employees to give energy management suggestions.
    • 4
      Demonstrate the benefits of the energy management changes made.
    • 5
      Offer training in simple energy management, including practical habits that people can adopt.
    • 6
      Make sure you have people trained to operate the MM&T system or the Building Management System.

    You can access our Green Guides here.

    The success of any workforce engagement can be measured through hard energy data, but it may be difficult in the early stages to clearly see the impact. Lights and computers that are switched off over the lunch break may be a simple sign of behavior changing.

    Step 5 - Control, monitor, and review:

    Set up a record-keeping and monitoring system

    Energy management is a process of continuous control and improvement, and not a one-off blitz.

    You want to check that targets are being met by setting up recording and monitoring systems.

    Monitoring and Targeting (M&T) - The process of continuous recording and monitoring of energy use against consumption targets - is shown to be an effective management tool in many organizations.

    • 1
      Set up a record-keeping and monitoring system

    Publicize performance

    Spread the good news to encourage people who have contributed towards success and to let stakeholders know their interests are being met.

    Be sure that publicity is relevant to the target audience. For instance, senior management will want to see how much money is saved. Employees will want to find out how their working conditions have improved.

    Producing an energy management report is key to communication. To achieve full participation, everyone in the organization must understand:

    • What action is being taken,
    • What is being done, for example, the aims and targets set,
    • When the action will occur, for example, campaign launches and milestones,
    • How they can be involved.

    Use the long-text form field to record this information.

    Publicizing action to be taken should:

    • 1
      Build a greater understanding of the importance of energy efficiency – both for the business and the environment as a whole.
    • 2
      Create a sense of ownership of the problem and the solution.
    • 3
      Share relevant technical information with stakeholders.
    • 4
      Focus attention on key issues.
    • 5
      Demonstrate how people can help.
    • 6
      Dispel myths.
    • 7
      Report progress.

    It is clear that where best practice takes place, there is positive communication both internally and externally. Good communication is essential for both the deployment and sustainability of the best practices.

    There are a number of channels that an organization can use to publicize its activity and results.

    Internal channels include:

    • 1
      The organization's intranet.
    • 2
    • 3
      Strategy documents.
    • 4
      Information publications and guides.

    Value can be added to internally generated statements if they can be shown to be verified or independently assessed.

    External channels include:

    • 1
      The organization's web site.
    • 2
      Annual reports - CSR, accountability, best value.
    • 3
      Magazine, newspaper, journal articles.
    • 4
      Certification to a standard.
    • 5
      External awards.

    Be aware of common barriers to success. Check off the tasks below to confirm an understanding of the barrier.

    • 1
      Poor data availability inhibits the ability to communicate performance and cost information. This should be addressed by developing an effective MM&T system. The data you have from bills and best estimates can be used, though estimates should be presented as such.
    • 2
      Fear of failure and bad results being publicised. If results are disappointing don’t be afraid to say so, but understand the reasons why. Use these as a spur to greater action or to revise the strategy. Don’t be afraid to address problems directly.
    • 3
      Energy Managers and others are sometimes reluctant to ‘blow their own trumpet’. Seek support from your senior managers, which might include providing communications and presentation training. Fairly sharing out the praise to everyone who has helped can make you feel more comfortable with publicising your efforts and results.

    Management review

    In practice, your energy management systems will need to be BS EN 16001 or ISO 50001 certified to run a regular management review.

    Step 6 - Keep going:

    Make sure you have systems to continuously monitor your finances

    If you stop monitoring your energy regulary then slippage will set in, which is where the waste will start to re-occur. The key is to embed behaviors in the fabric of the business to ensure continual improvement. So keep


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