What is Energy Management?

Defining energy management

Energy management means different things to different people - and organisations. Fundamentally, and regardless of the definition, managing energy requires the measurement and verification of data. 

Modern technology has made collecting and analysing data on energy use relatively cheap. However, the real value depends on how you use that data. Combining data on energy consumption and costs with property portfolio, building performance and occupancy statistics allows you to deliver on all your “energy management” goals. 

So, what does energy management mean for you?

Once you have a handle on your energy data, you can design and deliver an energy management plan that creates significant value for your organisation. This could mean:

  1. Benchmarking your energy demand against comparable buildings or industry types, to work out if you are over-consuming compared with peers. You can then narrow your focus to specific, inefficient buildings. For example, Nabers ratings can be used to help with benchmarking;
  2. Analysing daily, weekly or seasonal patterns - helping you understand what’s driving energy demand and where to focus your efforts. It's amazing how often this type of analysis finds simple, operational improvements that result in meaningful energy cost savings
  3. Calculating emissions for your organisation - an important starting point for developing an ESG strategy and action plan (increasingly the dominant driver of energy management plans, globally).
  4. Running modelling scenarios to determine the business case for energy saving measures like more efficient HVAC or lighting systems, or onsite energy supply options such as solar power and energy storage.

Energy management, ESG and Climate change

One of the most common reasons our customers give for developing an energy management plan is the need to drive down greenhouse gas emissions. 

This is often due to strategic pressure from external stakeholders, such as investors, but also internal leadership recognising all levels of society now expect organisations to address climate change. It can also include staff putting upward pressure on management, but also board members and executives driving leadership top-down.

An energy management plan, focused on sustainability goals, benefits from a continuous loop between data gathering, analysis of emission reduction options, procurement of the solutions and measurement of the outcomes. The process drives efficient and targeted multi-year investment programs, turning strategy into outcomes all stakeholders can celebrate.

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Energy expenditure management

Sometimes an energy management plan is more focused on managing and reducing energy costs. This could involve tracking energy expenditure across multiple sites, managing an energy budget and forecasts, and driving down supply costs with competitive procurement.

For all things related to managing energy expenditure, BOOMPower partners with Bill Identity (link). Our software talks to theirs, making energy easy. In other words, less time spent gathering and analysing data and more time focused on analysing options and delivering tangible outcomes.

Energy asset management

Energy asset management is almost like a management plan within an energy management plan. Energy asset management is about more than reducing energy costs and emissions.

Energy asset management means monitoring the performance of key energy products and equipment, quickly identifying faults, undertaking maintenance and replacing faulty equipment. For example, this could involve monitoring solar panels, an alert being sent the owner if they are producing less energy than expected, and triggering a callout to fix the issue. 

It also means staying on top of asset life cycles, being proactive rather than reactive about replacing things like hot water systems, and staying on top of technology trends to ensure you’re deploying the right assets at the right time. For example, assessing the viability of adding battery storage to your solar system is probably worth doing once a year as battery storage costs come down and battery energy management becomes more effective.

Energy asset management is sometimes used interchangeably with energy demand management - you can read our article on that topic too. However, in short, it means turning energy consuming, storing or generating devices on and off in response to energy price signals, or meeting other objectives like grid independence.

Historically, energy asset management has been the domain of very large energy users, but as hardware costs (for monitoring) and software costs (for analysing) have reduced, energy asset management is emerging as a new discipline for small-to-medium energy users too. 

BOOM software is used by property owners with large and complex portfolios to manage energy consuming and generating assets. Book a time to talk.

Time to give BOOM a try!

1. Schedule an appointment - discuss your needs with Alex and see the BOOM! platform.

2. Engage us to create a personalised, high-level plan based on your needs.

3. Agree, refine and execute the plan — together.