Energy Saving Tips for SMEs

Many small to medium enterprises are conscious of the impact rising energy prices are having on their bottom line. While they are keen to reduce their energy consumption and save money, many are unsure about how to do just that.

Here we’ll look at some strategies that your business can implement now to save on power, and two business programs available to support businesses wanting to be more energy efficient.

Energy Saving Tips Businesses Can Use Now

There are a number of simple things businesses can do to reduce their power usage. These are mostly about working smarter with energy and employing good maintenance tactics to save on waste.

Change the temperature set point of the air conditioner – the temperature set point is the temperature setting to which the air conditioner is trying to cool or heat a room. The lower this is in summer and the higher it is in winter the harder the air conditioner needs to work and the higher the energy consumption will be.

A one degree change in the temperature set point can reduce energy use by up to ten per cent.

Air Conditioner Maintenance – as with everything the performance of an air conditioning system changes as equipment deteriorates over time. A maintenance program can deliver significant savings over the air conditioner’s life.

It is vital that the system is checked regularly and that these checks include the cleaning and replacement of the building’s air filters. It is also wise to check the location of thermostats to ensure they are not located near heat sources, which will cause the system to work harder unnecessarily.

General Air Conditioning Tips

  • Ensure the system settings match work patterns so that unused areas aren’t being heated or cooled for no reason.
  • Check that the building has adequate roof and wall insulation.
  • Consider using ceiling fans, automatic timing switches and blinds, curtains or window awnings as needed to reduce the amount of direct sunlight that is heating your premises in summer.
  • Replacing air conditioners that are more than ten years old can deliver a saving of 20 to 40% on annual heating and cooling costs.

Energy Efficient Lighting – a saving of up to 82% can be gained by replacing current lighting with energy efficient lighting. Most businesses are unaware that lighting can account for as much as 50% of their electricity bill – the saving with energy efficient lighting can be significant.

Wherever possible natural light should be maximised, such as in warehouses and factories to reduce the unnecessary use of power. Other strategies include light level sensors and/or infra-red motion sensors to turn lights on only when needed.

Air conditioner use, maintenance and energy efficient lighting are small things every business can do now for substantial improvements in energy efficiency and consequent reductions in power bills.

Business Programs Supporting Energy Efficiency

There are two main programs available to businesses to encourage and support energy efficiency.

The first Energy Saver is designed to assist small to medium businesses to make savings to the business’s bottom line and help the environment by improving their energy efficiency. The program offers businesses the technical support they need to deliver on energy efficiency projects, utilise resources for energy efficiency and deliver the training required.

Sustainability Advantage Program

The second is more applicable to the larger businesses in the SME sector. The Sustainability Advantage Program is an initiative of the Office of Environment and Heritage applicable to businesses looking to save water, energy, raw materials and waste. It is underpinned by the understanding of how sustainability can add value to business.

There are a number of facets to the program.

The program allows businesses:

  • to identify and manage risks by introducing environmental compliance programs
  •  lower costs by minimising waste and optimising raw material use
  •  improve productivity through better planning and engagement.

The Sustainability Advantage Program gives businesses access to the latest advice and support to achieve greater energy efficiency and reduce waste. Following through on a sustainability program can lead to businesses becoming known as suppliers and employers of choice.

There are 480 companies already using the program. It is relatively easy for a business to access, only requiring

  • a minimum 18 month participation commitment,
  • the business to undertake a sustainability management diagnostic,
  • commit to quarterly meetings on progress and progress reports and
  • selection of 2 or 3 of the most relevant of the 7 modules of the program.

The 7 program modules include:

  • One designed around the development of a sustainability roadmap for the individual business – Vision, Commitment and Planning
  • Education and training on compliance with environmental law and undertaking a risk assessment in the Environmental Risk and Responsibility module.
  • The module for businesses looking to effectively improve their bottom line by reducing waste and using less raw materials – Resource efficiency
  • A Supply Chain Management module designed to deliver the best environmental results from products and services by working with key customers and suppliers.
  • Staff Engagement – a sustainability model for business would fall over without staff engagement and training to implement it. This module offers what is needed to garner the commitment of staff.
  • External Stakeholder Engagement -designed to strengthen relationships with community, government, shareholders and suppliers.
  • Climate Change – a greenhouse gas inventory including identification of risks and opportunities.
  • The program is designed to be actionable and to deliver results to business.

There are a number of ways SMEs can reduce their energy consumption. Some small changes in behaviour and equipment use can have a dramatic impact on efficiency and the bottom line.

Businesses serious about saving energy consistently over the longer term should consider one of the two programs open to businesses in NSW depending on whether they are just looking to reduce their bills – Energy Saver – or looking for a bigger program of sustainability for their business – Sustainable Advantage Program.