Are you new to the business and want to know what energy efficiency is, or an established businessman wanting to know how significant it actually is for your business and how to incorporate it into your business model?
Whoever you might be, you have found yourself at the right place because in this post we discuss all aspects of energy efficiency in regards to business.
What is energy efficiency?
Energy efficiency is basically an idea to reduce energy consumption requirements to produce products and services.
It is the use of less energy to perform the same tasks, thus saving energy, and is typically accomplished through modern methods.
For example, efficient LED light bulbs have recently been used as a replacement for incandescent light bulbs, providing the same light but consuming approximately 70% less energy.
The Impact of Energy Efficiency on Businesses
This phenomenon reduces running costs, lowers carbon emissions, and also builds the company’s reputation as being environmentally responsible. Most methods for energy efficiency demand simple logical thinking and inexpensive solutions.
That is if companies have a progressive approach to get over the initial fear of additional costs and look at their larger business plan.
How to start implementing it?
If a company’s revenue plan cannot be cut for monetary solutions, it can still put forth energy efficiency measures by, let’s say, reducing wasted energy in the form of computers and lights being kept on unnecessarily.
Building a change in attitude by obligating that these electrical devices are turned off can be the first step in becoming an energy-efficient business altogether.
If you find yourself with a budget to actually invest in energy-efficient solutions for the greater goal, a great option is the use of Variable Speed Drives (VSDs).
These are extremely cost-effective and great at minimizing the power needed for electrical motors. This is specifically important for appliances that can’t be turned off and are kept running 24/7, as it helps reduce power usage at times when the device isn’t required to work at full speed.
If you still find yourself unable to decide exactly which energy supplier to confide in, you can always try to go for a business energy comparison that will guide you by making all the comparisons for you.
The advantages of being an energy-efficient business:
Lower operating costs:
The fact that only large enterprises can afford to make the financial cuts to implement energy efficiency is nothing but a myth, especially in recent times.
This is because the cost of environmentally friendly products has dramatically dropped, and it’s actually the perfect time to make use of that to completely adapt to the image of being one of the few energy-efficient businesses.
Higher Market Value of Buildings:
There is a significant increase in the demand for green buildings due to the tangible nature of their outcomes.
These outcomes include greater resilience, higher reliability, reduced costs, as well as lower operating expenses, as discussed earlier. In the long term, your building’s efficiency is what will give you growth as a business.
Improved Brand Image:
In this new digital era of technology, the reputation a business carries holds significance in terms of its client flow and profits.
A positive outlook towards the environment is something the public is greatly attracted to in terms of choosing businesses to work with.
There is great public recognition of businesses for being energy efficient, and they are given the tag of being more responsible by the people themselves.
It is important to remember that not only will an eco-friendly image attract clients, but it will also attract possible employees.
From good insulation to better air quality, energy-efficient solutions tend to build a safer, healthier environment for the employees working, whose satisfaction can contribute directly to a company’s growth.
The advantage in terms of competition:
Energy efficiency helps a business optimize their energy expenditure, which in this time and age provides a great edge to businesses against their competition.
In a market like todays, advantages that put you even slightly above the competition can greatly reflect on the revenue you generate and the profit, as well as sales and speed.
The Market Value of the Business:
The actual value that a business delivers to its shareholders substantially increases as it puts forth the business as being futuristic.
While being aware of the greater good of the environment, the shareholders also know that energy efficiency is great for business as it ensures the stability of the business and its long-lasting nature at a time when it may be a norm, or even an obligation, to make your business energy efficient.
Laws and Regulations:
Even though the laws regarding energy consumption do not force energy efficiency upon businesses, the rules and regulations are becoming more and stricter as time passes by and the conditions of the environment worsen, and the related movements gain heat.
So, to be on the safe side of not having to deal with possible future lawsuits, it is highly recommended that you start considering adding energy efficiency to your business plans.
The need for energy efficiency
After discussing the reasons that it can actually help in the growth of the business itself, let’s discuss the immediate need for it in terms of the environment.
While businesses are meant to think strategically and not for the general good, when it comes to the needs of the entire planet, there are no exceptions to who shouldn’t have to take responsibility.
Globally, Climate change concerns are rising rapidly due to the rapid effects of global warming, among other things, and the effects will be felt by all alike, which is a fact that cannot be denied.
Individual energy consumption has decreased significantly since climate change movements gained traction, but businesses, in general, have lagged far behind in accepting responsibility.
Apple and Google have proved to be great inspirations in times like these by switching to 100% renewable sources of energy and yet still flourishing more than ever, proving that if it does affect your business, it does so only in a positive manner.
From the above-given information, it can be reasonably inferred that energy efficiency is not just good for the environment but contributes greatly to the actual growth of the company as well, so encapsulating it in your business model is a smart approach to go!