Energy Efficiency in Companies - a Hot Topic

In many companies, there is considerable potential for reducing energy consumption. Yet measures to increase energy efficiency are often not introduced, even when highly profitable. This is the conclusion reached within the scope of this project, in which researchers from the Infras and Impact Energy consulting firms as well as the University of Neuchâtel investigated how companies in energy-intensive lines of business are trying to save energy. The researchers conducted a survey of 3670 so-called large-scale energy consumers (LSECs). These include companies in the cement and metal industries, but also paper mills and construction companies. More than 300 concerns completed the online questionnaire. The researchers then selected 26 of these companies for personal interviews, in order to confirm or reject their previous assumptions. In a last stage, the results of these two surveys were enhanced by means of five case studies in individual companies. Among other things, the researchers investigated the energy consumption and the energy efficiency measures already implemented by these businesses.

Energy management in companies

Prior to their investigations, the researchers hypothesised that better energy management would contribute to the company's view that energy efficiency is strategically important. However, the empirical analysis revealed the exact opposite mechanism: a company that considers energy efficiency an important matter has better energy management at its disposal. This should provide decision-makers with data on energy consumption, costs and potential for savings. On the whole, however, the level of energy management in Switzerland is still low: on a 23-point scale, local companies only score an average of 10.3 points. For example, many companies are hard put to quantify their investments in energy efficiency. Often, concerns do not even have a budget category for energy-saving measures. Based on these observations, the researchers conclude that in many companies energy issues are not high priority. They pinpoint the low cost of energy, typically in the range of one to three percent of annual sales, as the reason for this situation. Though 60 % of the companies that have implemented efficiency measures say their energy consumption has decreased, these are qualitative assessments and hard figures are rarely available because many companies do not implement appropriate monitoring. The case studies have also shown that the savings potential is not being fully exploited. For instance, electrical appliances such as pumps or compressors are outdated or facilities are oversized.

Politicians are called upon to take action

Legal regulations have a significant influence on whether energy-intensive companies attempt to take energy-saving measures. The most important regulations at present are the federal government's CO₂ targets. Most companies do not anticipate the setting of further targets or a possible rise in energy prices. Their decisions are often based on current prices, with no thought for potential increases.

Precisely because requirements specified by the Confederation and the cantons can lead to a more economical use of energy, the researchers believe that federal and cantonal policy should be further strengthened in this respect: firstly, by drawing up target agreements with companies to demand greater progress in terms of efficiency, as a sine qua non for CO₂ exemption; secondly, by contributing to raising the corporate energy management profile and equipping it with better arguments and tools by means of accompanying measures in the areas of information, training and professional guidance; and thirdly, by pursuing in an objective and committed manner the debate on higher energy taxes and more far-reaching regulations, such as a compulsory energy audit for large-scale consumers.