Scaling success in energy management

EDF Climate Corps in partnership with Meister

Nearly a decade of data—viewed from our unique perspective—reveals clear trends

Since the summer of 2008, EDF Climate Corps has embedded over 700 “fellows” inside leading organizations with one, simple goal in mind: to advance energy projects. Each year fellows have built the business case for investment in efficiency and clean energy, and presented these opportunities to their organizations for adoption.

EDF has been carefully tracking and assessing these recommendations, and over the years, has built the largest known database of onsite energy management project recommendations, consisting of over 3200 projects.

"Scaling Success in Energy Management" [PDF] is a longitudinal exploration of leadership in energy management and how it has changed over time. The data reveals the emergence of some clear trends and changes.

1

Energy Efficiency is just the beginning

Companies are getting more strategic and sophisticated about energy management.

In the old days it might have been okay to only work on simple, single site energy efficiency equipment upgrades and basic retrofits, but this is no longer the case. Now, alongside ongoing energy efficiency efforts, many organizations are doing much broader work, including high-level strategic analysis with a heavy reliance on big data and increasing integration of clean energy technologies.

  • Commercial & industrial energy efficiency
  • Financial evaluation & planning
  • Data analysis
  • Sustainability strategy
  • Engagement
  • Clean energy

Climate Corps projects by type over time
(as % of total projects)

Climate Corps projects by type over time Climate Corps projects by type over time Climate Corps projects by type over time Climate Corps projects by type over time Climate Corps projects by type over time Climate Corps projects by type over time Climate Corps projects by type over time Climate Corps projects by type over time Climate Corps projects by type over time
About 1 in 3
of 2015 host organizations worked on a clean energy project

Percentage of EDF Climate Corps host organizations with clean
energy project recommendation(s)

Percentage of Climate Corps host organizations with clean energy project recommendation(s) Percentage of Climate Corps host organizations with clean energy project recommendation(s)
2

Turning one win into many

Companies are scaling up their energy efficiency projects

In the past, efficiency projects proposed by fellows mainly focused on a single site. Now, organizations are asking fellows to design investment opportunities for multiple sites or multiple buildings at a time. Clearly, the success of pilots/single site activities has set the stage for larger, multi-site projects.

Number of facilities covered by recommended projects

Number of facilities covered by recommended projects
3

Front-loaded costs...
but greater ROI

Project financial performance has improved but may require larger upfont investments

The days of the low-cost, no-cost energy efficiency improvement may be over. Many projects call for organizations to make substantial upfront capital investments, but these projects deliver more value.

Average initial investment has grown by nearly a factor of four since 2008

Average initial investment has grown by nearly a factor of four since 2008 Average initial investment has grown by nearly a factor of four since 2008

Average NPV has grown nearly three-fold since 2008

Average NPV has grown nearly three-fold since 2008 Average NPV has grown nearly three-fold since 2008
4

More environmental bang for the buck

Energy projects are increasingly good for the environment

As technologies have improved and companies have become more strategic about how they choose and implement energy projects, their investments are providing better environmental returns. Between 2008 and 2015, the average GHG reductions of evaluated projects grew more than five-fold, outpacing the increases in average NPV, initial investment and annual savings.

Average estimated potential GHG emissions reductions has grown five-fold since 2008

Average of annual CO2 reductions (metric tons)
Average estimated potential GHG emissions reductions has grown five-fold since 2008 Average estimated potential GHG emissions reductions has grown five-fold since 2008
"In nearly a third of all projects, no barriers to action were identified."
5

Setting goals is easy, but...

Organizations still face major challenges to improving energy management

For each project recommendation, fellows assess potential barriers to implementation. Our 2015 data shows that despite significant progress over the years, organizations in all sectors still face major challenges in moving their energy projects forward.

  • Government
  • College/university
  • Company
  • Non-profit
  • Overall

Potential barriers by sector of organization

Click on the icons below to browse the project barrier data

  • Lack of executive or high-level support
  • Lack of funding or competing priorities
  • Lack of visibility or reporting
  • Limitations of project analysis or insufficient data and tracking
  • Lack of staff or expertise
  • Factors unrelated to project
Lack of executive or high-level support
Lack of funding or competing priorities
Lack of visibility or reporting
Limitations of project analysis or insufficient data and tracking
Lack of staff or expertise
Factors unrelated to project
Lack of executive or high-level support

What's Next?

After analyzing these results EDF has some clear recommendations for what actions organizations should take:

Get into the game!

Those sitting on the sidelines should get in the game: smart energy management delivers significant ROI and strong environmental impacts.

Be ready to invest

Company leaders need to be ready to devote internal capital to energy projects. Bigger projects call for bigger upfront investments.

Integrate clean energy

Clean energy is now a viable component of the energy management programs of leading companies and all companies should be exploring this.

Ask for help!

EDF Climate Corps has helped 400 organizations identify ways to save $1.5 billion dollars while helping the environment. Contact us to learn more!