You're facing skeptical clients about energy efficiency. How can you convince them of the benefits?

Energy efficiency refers to the ability to achieve a desired level of energy output with minimal wasted energy. Energy efficiency offers a wide range of benefits across various sectors of society. Here are some of the key benefits of energy efficiency, 1) Energy efficiency reduces the amount of energy required to perform a specific task, thereby minimizing energy waste ultimately reduces energy consumption. 2) By using resources more efficiently, we can meet current energy needs without compromising the ability of future generations to meet our needs. 3) Energy-efficient buildings and workplaces often provide better indoor air quality, temperature control, and lighting, which can enhance comfort, health, and productivity.

Whether the subject is providing services or producing products, when it comes to costs, energy costs constitute approximately one-third of the total costs. With the widespread use of the internet and the advent of Industry 4.0, prices are determined by the market on a global scale. Therefore, reducing energy costs plays a critical role in companies' profitability and, more importantly, in their ability to sustain their existence.

First step - understand the reason why they are sceptical. The six measures listed here miss one very large reason why energy savings measures aren't taken forward. Reason is that defining/implementing them can be really disruptive/require work on behalf of the client, for which they need to find suitably qualified personnel with bandwidth to "take on" such a project. If a client is government funded, there's further procedural challenge requiring them to run a formal tender process, which is not easy, quick, or cheap. I've been in a position where I could offer multi-m equipment that delivered multi-10m's savings in a few years, completely financed from energy savings, and client said no - too hard.

Energy efficiency should not be a black box, where only a few experts are able to understand and advice. Energy efficiency is about some easy concepts and their implementation. Only a little guidance and a huge will to improve are necessary. It should not be a one-off task, and should be converted into a kaizen activity, where the use of the right metrics is key to understand the progress. A 5-year plan and beyond in not difficult to build, and the metrics set-up is very easy. All you need is action.

Escuchaba recientemente en el Foro de ESG y Sustentabilidad de México 2024, a un director de sustentabilidad hablando de este tema, y explicaba una realidad en donde las certificaciones no les aporta a las empresas, esto en general, y como ellos han logrado identificar el valor de las certificaciones sustentables comparando diferentes propiedades de su portafolio. De esta forma han podido identificar que las edificaciones con certificaciones, las cuales cuentan con un diseño, implementación y operación continuo a favor de la eficiencia energética tienen menores consumos de energía eléctrica, agua, y adicionalmente cuentan con una tasa de operación (y renta) mayor a las propiedades que no cuentan con estas certificaciones ni programas de ee

By meeting its electricity needs with a solar power plant or wind power plant that it can directly install on its roof, a company can reduce its dependence on electricity distribution and production companies, preventing unplanned outages from adversely affecting it and causing production losses. This approach increases profitability and facilitates crisis management by preventing production losses. By this way the company increse its value with respect to the its rivals

When facing skeptical clients about energy efficiency, emphasize the significant increase in property value as a key benefit. Energy-efficient buildings are highly attractive in the real estate market, as they promise lower operating costs and enhanced sustainability. This appeal not only ensures quicker sales but often commands higher prices. Additionally, energy-efficient upgrades such as improved insulation, energy-efficient windows, and modern HVAC systems can significantly enhance the building’s appeal, functionality, and longevity, making it a more valuable asset in the long term.

Strategic Investment: Emphasize that energy efficiency is a smart business investment, not just environmental choice. Reduced Operational Costs: Show how energy-efficient systems and appliances directly reduce operational expenses. Quick ROI: Explain that the upfront cost of energy-efficient solutions is quickly recouped through consistent savings, offering a solid ROI. Long-term Savings: Highlight that over time, energy efficiency measures lead to significant cumulative savings, benefiting the client’s financial health. Enhanced Profitability: Illustrate how reduced energy costs can free up capital, enabling the client to reinvest in growth. Data-Driven Insights:Provide eg. of how energy management tools help monitor & optimize energy use.

For a client or user, the value in the certification is measured by the value that certification brings to them. Is the rent lowered? Is the building more comfortable? Is the space more desirable, either in reality or perception? The owner that can substantiate that will be rewarded by increased economics.

Convincing skeptical clients about energy efficiency requires highlighting the operational benefits clearly. Emphasize cost savings through reduced energy consumption, leading to lower utility bills. Point out enhanced equipment lifespan due to decreased strain, minimizing maintenance and replacement costs. Highlight improved system reliability and performance, reducing downtime and increasing productivity. Stress the positive impact on regulatory compliance and potential incentives. By demonstrating tangible, immediate benefits, clients can see energy efficiency as a strategic investment rather than a cost.

Talking about my favorite topic of Centrifugal pump concering energy efficiency. Selecting efficient pump means lesser operating cost and more reliable operations. Centrifugal pump efficiency is highest at BEP (Besr Efficiency Point) on it's characteristic curve. So, while selecting pump, if the rated or normal capacity is close to BEP, it will be more energy efficient. On top of that, operation at or close to BEP, means highest reliability and assured uptime. That is because of balanced radial load, minimal shaft deflection, no or low internal recirculation, and best NPSH margin. Comparative analysis with tangible and intangible benefits and supporting case studies help to convince customer to take data driven decision.

Energy efficiency offers significant operational benefits that go beyond cost savings. By optimizing energy use, businesses can enhance equipment lifespan, reduce maintenance costs, and improve overall productivity. Energy-efficient systems lead to more consistent performance, minimizing downtime and disruptions. Moreover, adopting energy efficiency can improve a company's reputation, positioning them as a forward-thinking and responsible leader in their industry. To convince clients, emphasize how energy efficiency not only cuts costs but also streamlines operations, boosts reliability, and strengthens their market position. It's an investment in both their bottom line and operational excellence.

Institutions aiming for energy efficiency can improve their existing processes by working to reduce or eliminate all forms of unefficient-consumption that can be considered wasteful in the work environment. In this way, the culture of continuous improvement can be spread within the company. Energy-saving activities contribute to the transformation of a culture, thereby helping to reduce all wasteful activities.

Este punto de beneficios monetarios puede ser muy relevante dependiendo del país. Un ejemplo es Colombia, donde existen beneficios fiscales para proyectos de eficiencia energética. Lo cual permite tener un retorno de inversión en menor tiempo. Punto clave, conocer los programas, los requisitos y reglamentación del país en donde se encuentre el proyecto.

Governments sometimes can play helpful role in enhancing energy management in a nationwide scale. As an instance government can offer incentives to the energy sector plyers who design and run energy conservation schemes or provide solutions to utilize more economical or greener energy sources in different sectors. Incentives can be offered in a wide range like tax reduction, low interest rate bank facilities, custom tariff reduction and so on.

By adopting energy-efficient practices, businesses can align with current regulations, avoid penalties, and even benefit from incentives or rebates. One of my usual approaches is to always back up my explanation with a real-world case study I was involved in, demonstrating in this case how compliance not only mitigated risk but also added value to the business.

Topics such as carbon footprint and the Green Deal, which are particularly prominent in Europe, are becoming increasingly important. Therefore, companies that have not achieved a green transformation are likely to find it more challenging to secure business compared to their competitors. For this reason, businesses should join the leading group in this field before it is too late and incorporate ways to use energy efficiently and effectively into their processes.

Unfortunately, the world does not have unlimited resources, and every product we waste while consuming leads to the destruction of the world and nature. We need energy, and it is an indispensable necessity, but we must keep in mind that energy production pollutes the environment even under the best conditions. Therefore,we should use it wisely and we should strive to leave the world cleaner for future generations.

No matter where you stand on climate change, the lower energy footprint building will be better for the environment. Lower cost in, and lower emissions out. That isn’t debatable. What is debatable are the equation variables to get there. Understanding the economics of those variables will determine success.

In my experience, addressing skepticism about energy efficiency can be effectively done by emphasizing its environmental benefits. It is no secret that energy-efficient solutions significantly reduce greenhouse gas emissions and minimize the carbon footprint, which is crucial for combating climate change. By adopting these measures, we not only contribute to global sustainability efforts but also enhance our corporate responsibility. Highlighting these positive environmental impacts can make a compelling case for the value of energy efficiency in fostering a greener future, even for energy efficiency skeptics!

Desde mi punto de vista, adoptar prácticas de eficiencia energética no solo mejora la sostenibilidad de una empresa, sino que también puede ser un diferenciador clave en un mercado competitivo. Sin embargo, para que estas prácticas realmente aceleren y aumenten su eficacia, es crucial contar con una financiación adecuada de la innovación. Al invertir en tecnología y procesos energéticamente eficientes, las empresas no solo refuerzan su imagen pública como responsables y sostenibles, también demuestran un compromiso tangible con la innovación. En un mercado que valora la responsabilidad corporativa, financiar la innovación energética es una inversión estratégica que puede transformar la eficiencia en una ventaja competitiva sostenible.