Energy Management - An Introduction

Why Do We Need Energy Management?
Energy costs are rising and there is no reason to believe that they will decrease in the future. This is driven by factors such as:

Increasing use of taxation and other financial instruments.
Increasing supply and distribution shortages.
Decreasing security of supply.
Increasing importance of environmental issues and the public perception of these.
Increasing importance of corporate social responsibility.

For many plastics processing sites, energy costs are approaching the cost of direct labour and energy costs are almost always higher than the actual profits of the site. Experience shows that for typical sites, where little action has been taken in the past, over 30% of the energy use is ‘discretionary’ - this means that the cost is incurred because the site management has either decided to take no action or because it has not recognised the opportunities for improvement. In most cases, energy use and costs can be reduced by over 30% and these savings add directly to the site profits.

Where are the savings?

Energy costs can be reduced by:
Management actions that typically cost less than £1,000
Maintenance actions that typically cost less than £1,000
Capital investment actions that typically cost more than £1,000

energy cost savings chart

What are the returns?
The returns from energy management actions are quick, certain and need only internal effort. The payback for almost all management and maintenance actions is 6-9 months and for almost all capital investment actions is less than 4 years.
The returns from energy management are much better than the returns from increasing sales.

What do we need to start?
Implementing energy management requires an energy management system and this must include at least the following:

The company energy policy. The policy should include the following sections:

Performance assessment. The ideal way to build this would be to produce an energy map of the site to inform managers on where to concentrate time and efforts by revealing where money is being spent, especially energy efficiencies.
Targets for short and long-term performance.
Reporting - Systems must show results to get resources.
Auditing.

A Climate Change Agreement could help you achieve these goals. Click here to see how.

Free Resources

Browse net zero and sustainability related practical guides, written by renowned industry experts and proven to aid plastic processors in their journeys to becoming energy and cost efficient. See below for a selection of our most up-to-date net zero resources, most you can access for free, or you can view our full publication library here

Your Energy Management Toolkit: Insights from Dr Robin Kent

Energy Management Workbook (Free to download for BPF Members and CCA Partners)

Energy Management Information Sheets (Free to download)

Energy Management In Plastics Processing Booklet

Managing Sustainability in Plastics Processing: A Quick Start Guide

Net Zero for Plastic Processors: A Practical Guide (2022)

Sustainability Management in Plastics Processing: Strategies, Targets, Techniques and Tools

Energy Management in Plastics Processing - Fourth Edition

Take Your Energy Management Knowledge to the Next Level - With a CPD Accredited Short Course

Join the plastics industry's acclaimed online short course on energy management. Gain lifetime access when you enroll and learn how to monitor, track and optimise your energy use in this 2.5 hour training designed specifically for plastic manufacturing processes. Click here to start today (exclusive discount available for BPF members).