Committing to a capital investment is no easy task, especially when time is money, and money is tight. But there are plenty of opportunities to take action. And seizing some of these opportunities can make a big difference for your organization.
Smarter, Stronger, Sustainable: The Case for Energy Efficiency
Pursuing heightened energy efficiency is about more than simply cutting your bills and complying with government regulation or building codes. It’s a growth market, and you can take advantage.
In its 2015 Annual Energy Outlook, a comprehensive report forecasting energy consumption and growth through 2040, the U.S. Energy Information Administration (EIA) predicts several trends that will contribute to the ongoing importance of energy efficiency. Among them:
- “Rising costs for electric power generation, transmission and distribution, coupled with relatively slow growth of electricity demand, will produce an 18 percent increase in the average retail price of electricity over the period of 2013 to 2040.”
- “Rising long-term natural gas prices, the high capital costs of new coal and nuclear generation capacity, state-level policies and cost reductions for renewable generation in a market characterized by relatively slow electricity demand growth favor increased use of renewables.”
In light of these trends, the opportunity exists for companies of all stripes to capitalize on becoming more energy efficient. Industrial facilities in particular are well positioned to take advantage. Says the American Council for an Energy-Efficient Economy: “The industrial sector offers tremendous opportunity for energy savings and a significant opportunity to instill the tenets of energy efficiency within facilities that, in turn, employ and influence millions of people.”
Think about it: As we mentioned earlier, much of the industrial sector is constantly striving to create and maintain value for owners and shareholders, and pursuing energy efficiency can be one of the most reliable ways to meet those goals. Energy efficiency will become a necessity—if not in the very near future, soon after that. Deploying smart energy-efficiency solutions can contribute to innovative business models and help boost competitiveness in an increasingly global economy.
And it’s truly about more than simply benefiting your company—efficiency in industrial facilities is good corporate citizenship, and it can have a ripple effect across all facets of the business. The dollars spent to keep the lights on in your plant or facility directly affect the ways the organization spends and conserves dollars. More spent on energy bills can mean less spent on salaries, development, innovation and more.
So what can you do about it?