The energy market is currently experiencing a period of high volatility, with soaring wholesale energy costs resulting in the failure of several smaller suppliers and higher bills for end users.
The impact on businesses – particularly those in energy intensive industries – is becoming clear, with increased prices threatening production processes and disrupting supply chains.
With high energy prices set to be an ongoing issue, in a situation that is out of your control, it is important to focus on the areas you can control – particularly as we approach the winter period.
Taking time to refocus on energy efficiency is a no regrets action to take. Why? Because the cost of each kilowatt hour is escalating, so it’s more important than ever that the energy you use is making a meaningful contribution to your business operations.
Making every kilowatt hour count
The first step is to understand where, when and how energy is used. Conducting an energy audit will help to identify savings and opportunities for a more efficient approach, so your business can put the right measures in place to achieve maximum savings.
By doing this process regularly, energy saving projects that previously might not have delivered sufficient return on investment, may now play a significant role in reducing your energy demand in a climate of much higher prices. These could include relatively ‘small’ steps such as switching lighting, air conditioning or heating systems, to installing process control technologies, more efficient air compressors or steam boilers, to bigger schemes such as on-site generation.
Be more energy aware
In the current climate, the ongoing monitoring of energy consumption will also help identify any immediate spikes in demand so you can quickly put measures in place to reduce the impact. Without effective monitoring and measurement, a business will not have the information required to take the right action that will deliver savings.
Using a monitoring and targeting (M&T) system and energy management platform will ensure consumption is aligned to production, allowing KPIs to be set for individual processes. Efficiencies cannot be tracked without an effective M&T system, which provides accurate data on the impact of the measures implemented, ensuring future savings can be made.
More than ever, energy awareness needs to be at the forefront of everyone’s minds throughout an organisation. Communication and training are key to keeping the message alive – investing in an engaging training programme could be the most commercially sound decision you make to reduce energy consumption through these costly winter months.
Supporting sustainability and compliance ambitions
During a time of economic stress, it is understandable that sustainability projects may be put on the back burner. But they might just be part of the solution. What’s more, investing in energy efficiency will not only help to protect against the current market uncertainties, but it will also help you to meet your long-term carbon reduction targets and support your organisations’ compliance and regulatory obligations in areas such as:
- Energy Savings Opportunity Scheme
- Streamlined Energy and Carbon Reporting scheme
- Climate Change Agreement targets
- UK ETS participation
- Environmental Agency Permits
Your next steps to a more efficient future
In the current climate, there is no better time to refocus on the significant savings that can be achieved by taking a serious approach to energy efficiency.
As well as lowering consumption and therefore saving money, it is also good business practice. As the drive towards net zero intensifies, those businesses that have a proactive approach to energy efficiency will not only reduce costs, but also achieve significant emissions savings.
That is why now really is the optimal time to refocus, act and make every kilowatt hour count.
Envantage, the low carbon and energy experts, can provide comprehensive support with both energy efficiency and carbon reduction. Get in touch to find out more.