Energy management is the collective term for all the systematic practices to minimise and control both the quantity and cost of energy used in providing a service. Establishing sound energy management practices is an essential part of successfully achieving the objectives of the Energy Smart Government policy.

Important components of energy management include:

• Staff involvement and awareness
• Minimisation of energy wastage
• Ongoing monitoring, target setting and reporting to ensure energy use remains within policy objectives
• Optimisation of energy efficiency through passive means and/or the use of appropriate technology
• Use of the most appropriate energy source (eg electricity, gas, solar) with due regard to the environmental benefits
• Purchase of energy at the most economical price
• Modification of operations, where possible, to make the best use of energy price structures
• Increasing the use of energy from renewable sources
  

Relationship to other business management plans

Energy Smart management should not be undertaken in isolation but should be a strategic component of a comprehensive business management plan. It is a key part of any philosophy of continuous improvement. Energy management not only makes good financial sense it also protects the environment by reducing the amount of greenhouse gas emissions attributable to government operations.

Agencies that incorporate an energy reduction strategy under the umbrella of a total business management plan are more likely to achieve greater energy savings. Proper planning at the time of procurement can provide lasting financial and environmental benefits to your agency.

Energy management practices should be reflected in your agency's procurement plans for:

Many organisations regard energy costs as unavoidable and fixed. However, energy costs are one of the more controllable variable costs within an agency. Generally, all that is required to ensure the success of an energy management program is the commitment of all staff, from the most senior level down to the office floor.

Raising the awareness of energy use and potential energy savings is therefore one of the key drivers to a successful program. In most cases a successful Energy Smart management policy will only require a small capital investment and over the short to medium term will actually save money.

Benefits of energy smart management

Being Energy Smart means agencies should focus on:

Minimising operating costs
The implementation of a comprehensive energy management program can reduce operating costs through good housekeeping practices. Investment in energy efficient technology upgrades can provide further opportunities for savings.

Improving process control
Paying close attention to the operation of building controls will usually improve the performance of building systems, including the elimination of systems working against each other (e.g. heating and cooling on at the same time).

Improving work environment
An efficient and better-controlled building leads to an improvement in general working conditions for staff. More comfortable surroundings contribute to a more productive workplace.

Reducing environmental impact
For every kilowatt-hour of electricity consumed, approximately 1 kilogram of greenhouse gas is emitted to the atmosphere. Implementing an energy management program not only saves money; it reduces the environmental impact of your agency.