Energy Audit and Management: A Long Term Commitment

Dr R.P. Singh Kumar Shaswat

Professor Research Scholar
JECRC University, Jaipur Bennett University, Greater Noida
Email: ravindra10765@jecrcu.edu.in Email: er.kumar.shaswat@gmail.com

Abstract
The main objective of energy auditing and its management is sustainable development. And it is
a long term commitment not just something that you do once and forget. In this paper, needs of
P2 (Pollution Prevention) and E2 (Energy Efficiency) for sustainable development of any
organization are presented. Aim of P2 and E2 could be achieved by regular energy auditing and
proper management.

Key Words
Pollution Prevention, Energy Efficiency, Sustainable Development, Continual Improvement,
Performance Assessment and Opportunities

Introduction

As per the Energy Conservation Act, 2001, Energy Audit is defined as "the verification,
monitoring and analysis of use of energy including submission of technical report containing
recommendations for improving energy efficiency with cost benefit analysis and an action plan
to reduce energy consumption".

Energy management is the process of monitoring, controlling, and conserving energy in

a building or organization. Proper planning and management of the energy production and
utilization can reduce the damage that we are doing to our planet, Earth. As a human race we
would probably find things rather difficult without the Earth, so it makes good sense to try to
make use of natural resources meaningfully.

From each and every corner need is being felt to reduce our dependence on the fossil
fuels that are becoming increasingly limited in supply. Main focus is on reduction of CO, CO2,
NO2 and other harmful gases and fly ash produced from thermal power plants and chemical
industries because these do not only create health hazards on human beings but also adversely
affect performance and health of machineries and equipments. So, reduction of pollution level as
well energy cost for any organization is essentially required for sustainable development. Man
made contaminations are again threat to human being’s health as well performance of
machineries and equipments.

There are many suggestions like using energy efficient LED bulbs, energy efficient
machines and instruments, optimum use of energy as and when required etc and by adapting
those measures energy consumption could be reduced that cause lesser need for production of
energy and hence reduction in pollution. On the other hand there is opportunity of increase in
profit. No need to say profitability is the key point for sustainable development of any
organization.

Sustainable Development
Sustainability has become an essentially important element for any business strategy in the
global economy and competition, and is a key factor in lowering costs, opening new markets and
driving efficiency and innovation throughout an organization.

There are following two foundation pillars of sustainability and those promote long-term
cost savings and improve environmental performance:

(i) Pollution Prevention (or P2) measures and effectiveness

(ii) Energy Efficiency (or E2) strategies and its appropriate implementation into day-
to-day operations

The full support of management is essential in planning, structuring and implementing

sustainability efforts within a business framework and an organization that is committed to
achieving P2 and E2 outcomes will need to integrate into its day-to-day operations strategies that
include eliminating or reducing pollution at its source. Organizations must play proactive as
well reactive role in systematically implementing pollution-prevention and energy-efficiency
opportunities into business operations.

Performance metrics of an organization

A proactive organization is driven by strategic planning and long-term commitments to

improving its operations. And on the other hand Reactive organization is typically driven
primarily by regulatory compliance or by trying to correct problems that could have been
prevented through proactive planning. Strategic planning and effective management systems are
key elements of a proactive organization. The more proactive a company is, the better positioned
it will be to respond effectively to implementing P2 and E2 opportunities.

Energy Management

Energy Star Seven- Steps Process

It is generally recommended to those organizations which struggle to overcome built-in-barriers

and lack of basic knowledge about sustainability strategies to begin to plan and implement a
successful program through a systematic and established process. The framework of the Energy
Star Seven-Steps Guidelines for Energy Management has been proven to be an effective way for
organizations to systematically get to P2 and E2 outcomes.

Following are seven established processes of energy management in which one can
assess performance and opportunities.

Step 1: Make a commitment

Step 2: Assess performance and opportunities
Step 3: Set performance goals
Step 4: Create an action plan
Step 5: Implement action plan
Step 6: Evaluate progress
Step 7: Recognize achievements

Flow chart of Energy Star Seven-Steps

1. Make a Commitment

Now days Facilities Managers and Energy Managers have become neccesity of Modern
industries. An Energy Manager may bring ideas to the table that may upset the status quo of the
current structure of the organization. Facilities Manager is responsible for so many parts of the
system that they are focussed soley on keeping the business running. So it is responsibility of
Facilities Manager to install and provide facilities which are best in practice. And on the other
hand, responsibility of the Energy Manager is to keep Energy cost as low as financial freedom
and environmental aspects allow. Change is never easy.

The commitment to continual improvement is the most critical step to overcoming the P2
implementation gap. Achieving P2 and E2 implementation success through the seven-step
process requires top level support communicated by an environmental and energy management
policy, by establishing a cross-functional team representing the administrative and process
knowledge of the organization. In order to ensure continuity of focus, communications and effort
appointment of an officer who can lead is required. A team effort actively supported by
management as a critical business strategy will ensure the ability of a company to identify and
achieve P2 an E2 outcomes.

2. Assess Performance and Opportunities [Audit]

Identifying environmental performance opportunities begins with understanding current and past
waste generation and energy use. A cross-functional team-based assessment that evaluates
performance, systems and equipments leverages the intellectual capital of an organization and
allow it to recognize improvement opportunities from many perspectives. Conversations with
staff at the operational level solve problems and find creative solutions. Assessing environmental
performance based on analyzing collected data and establishing baselines to measure progress
while using the knowledge base of the organization create new ways of seeing the business
opportunities that P2 and E2 can provide.

3. Set Performance Goals

Effective goals determine the scope and estimate the potential for improvement. Setting
aggressive but realistic goals for improving energy saving and environmental performance drive
activities that get to successful outcomes. This step provides a common view of improvement
throughout the organization while capturing the commitment to reduce pollution and energy
usage. Performance goals help to monitor the success of the environmental and/or energy
management program by identifying specific areas of progress and setbacks.

4. Create an Action Plan

An action plan provides focus for the team by indicating the scope and scale of goals, targets,
roles and resources. It serves as a blueprint to guide and monitor the systematic approach to
improved environmental performance. To promote success, the plan should be accepted by all
areas of the facility that it addresses.
5. Implement the Action Plan
Creating a communication plan for motivating staff and raising awareness, building capacity to
track and monitor progress are main elements for successfull implementation of the action plan.
Communicating the action plan is critical and will require an overarching message about
mission, policies and progress. While the communication plan serves to raise awareness about
energy efficiency and environmental sustainability, employees, customers and the community
should also be educated on how they can contribute in improvement of environmental
performance. Identifying training needs can also contribute to successfully implementing
pollution prevention and energy efficiency opportunities. Continual feedback on successes
achieved can help motivate employees to continually improve.

6. Evaluate Progress
Action plan evaluation periodically keeps the team informed about progress made on established
environmental performance improvement goals. Reviewing the action plan further identifies any
efficiency measures that should be modified or added.

7. Recognize Achievements

The commitment to continual improvement needs to be maintained over the time for the seven-
step process to be successful. Once the momentum of achieving P2 and E2 outcomes has been
established, it is important to keep it going. A committed leader to drive the process and a
motivated team to carry it out provides the best opportunity for a long-term program that
achieves results.

Checks and Balances

It is important to note that good energy savings and pollution protection can not be
impelemented at the expense of company product quality. Process staff of the company need to
make sure that the change will not adversely affect the product. Facilities staff need to ensure the
employee safety and comfort are maintained. Everyone in the system is required to be causus and
alert.

Conclusion

The most successful programs include external and internal recognitions both. External
recognition, such as press releases and community outreach, provide positive public relations
opportunities for the organization which can mean improved brand loyalty and
acknowledgement as an environmentally responsible organization. Internal recognition of staff
and team members connects their efforts directly to the success of the program and provides
motivation for the staff. Hence recognizing achievements helps to maintain the momentum of
environmental improvement initiatives. A company that has a positive environmental reputation
and good energy savings has a competitive advantage.
References

1. Nissanga Nishad Rasanajan Mendis and Nisal Perera, “Energy Audit: A Case Study”,
International Conference on Information and Automation (ICIA 2006) Sustainable
Development Through Effective Man Machine Co-Existance, Dec 14-17, 2006 held at
Colombo, pp 45-50.
2. Pedro Linares and Xavier Labandeira, “Energy Efficiency: Economics and Policy”,
Journal of Economic Surveys, Vol 24, Issue 3, July 2010, pp 573-592.