Benefit from an Energy Manager

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Smart business owners and facility managers know that sound energy management is an essential component of successful business performance. They also know that energy management can best provide long-term savings when it is integrated into business management practices.

The problem is that even though building owners and managers may recognize energy-saving opportunities in their facilities, they often lack the time or the skills needed to transform the opportunities into reality. The solution for an ever-growing number of organizations is to hire an Energy Manager.

What is an Energy Manager (EM)?

An EM is someone who manages an organization’s energy use to maximize energy efficiency. This includes overseeing all energy systems in the facility – the lighting, heating, ventilation and air conditioning systems, plus all the equipment and controls involved in operating them – and engineer ways to improve overall efficiency.

Usually an EM is a full-time, dedicated position. For smaller customers, a roving or part time EM can be used. They will perform the same functions but on a part time basis where full time EM is not required. The EM positions may be filled from within the organization or by an outside energy specialist. An EM can focus on the job and is in a good position to view all of the building’s systems as an integrated whole.

Why hire an EM?

Without someone who is responsible for ensuring that all energy systems are running efficiently, problems and inefficiencies can be overlooked until they become crises or an organization may have potential savings they do not know exist. These inefficiencies create unnecessary costs that lower an organization’s profitability and competitiveness.

On the other hand, an EM can help an organization reduce energy and operating costs, in the short term, through sound day-to-day energy management, and in the long-term, through integrated energy planning. In addition to financial savings of energy and money, the improved energy efficiency can enhance employee comfort, increase productivity, lengthen equipment life and help an organization meet its environmental goals.

What does an EM do?

An EM’s job may involve the following roles:

• Ensuring that all mechanical and electrical systems are running at peak operating conditions
• Monitoring the organization’s energy use and developing an energy management plan
• Setting energy targets and reviewing performance against the targets
• Conducting energy audits to identify energy-saving opportunities throughout the facility
• Evaluating and presenting energy-saving initiatives to senior management for investment
• Advising on the purchase of energy-efficient equipment and technologies
• Implementing energy efficiency projects and
• Training, educating and involving employees in identifying and implementing energy efficiency initiatives on an ongoing basis

What steps can EMs take to improve an organization’s energy efficiency?

Typically, EMs use three strategies:

• Best practices: Behavioural measures that require no capital outlay, such as getting people to turn off lights. These can lead to energy savings of 10%.
• Low-cost improvements: Steps that require moderate investment, such as insulating heating pipes and ducts. These can result in energy savings of 10 to 15%.
• Medium- to high-cost improvements: Measures that require large investments, such as installing new HVAC equipment or retrofitting the lighting system. These can produce energy savings of over 30%.

EMs also ensure that employees are following best practices and that all equipment is working to its highest efficiency before making big investments in energy projects. Often, large-scale projects can be paid for with the savings from less costly initiatives, which means that upper management does not have to reduce resources to any department to fund projects.

Who can benefit from hiring an EM?

Large institutional, commercial, manufacturing and industrial organizations with many facilities or complex energy systems are the best candidates. Older buildings are also good targets, since many of their technologies are out-of-date and have the potential to return significant energy savings if they are replaced. For small businesses or those whose energy costs are a very small component of overall operating costs, hiring an EM may not make sense, although the potential for other benefits, such as improving the indoor environment, may make it worthwhile.

Is the organization ready for an EM?

Before hiring an EM, an organization should consider three key questions:

• Are energy-saving opportunities available?
  A good first step is to conduct an energy audit of the facility to identify the potential for energy savings.
• Is upper management committed to improving the organization’s energy use?
  Only if upper management is fully behind the goal of energy efficiency will the EM be able to generate the support of others in the organization. An important part of an EM’s role is to show senior management the value of investing in energy efficiency by pointing out both the monetary and non-monetary benefits of energy projects
• Are the needed resources available?
  Because an EM cannot carry out energy-saving initiatives alone, an energy management team – preferably one with representatives from each department – should be established. Needed resources include staff to participate on the team as well as funds for the EM’s salary and the proposed energy efficiency projects.

Tips for success

Sometimes Energy Managers run into roadblocks because they try to do too much too soon or attempt major changes without building widespread support. Here are some guidelines for Energy Managers to follow:

• Ownership of the program. To ensure that everyone in the organization takes ownership of energy efficiency initiatives, involve employees from all levels. Be open to their suggestions and give them credit for those that are implemented.
• Be selective. Work with the departments that are most enthusiastic about the energy management program first. After seeing the cost savings and improved operation, other departments will show interest.
• Be a team player. The energy management team is your best ally. Share your energy-saving ideas with team members and enlist their help in educating management and other employees.
• Use proven technology. Do not get side-tracked by new technologies for their own sake. Stay focused on the energy efficiency goals of the project and go with technologies that you know will work.
• Set goals. Start with projects that have short-term results and modest goals, since they tend to motivate people better. Measure savings and other benefits carefully and communicate them throughout the company.