Business Solutions Sustainability Energy Efficiency

September 23, 2024

Use Energy Efficiency to Reach Business Sustainability Goals

Invest in your company’s sustainable future and capitalize on the benefits of energy efficiency.

Help both your business and the environment

Businesses that embrace energy efficiency are utilizing one of the least expensive and most effective levers to reduce emissions and contribute to important carbon reduction strategies worldwide (based on the Paris Agreement targets), while reducing operating costs.

In 2023, energy efficiency in the United States saw significant improvement, with energy intensity decreasing by 4%, as reported by the International Energy Agency. This notable reduction is among the most substantial annual declines in recent decades. “Global investments in efficiency have grown by 45% since 2020, and in 2023, countries representing 75% of global energy demand have strengthened energy efficiency policies or introduced new ones.” To build on this momentum, businesses have the opportunity to achieve the 2023 global pledge set in Dubai to double global energy efficiency improvements to 4% per year by 2030.

How small businesses can be more sustainable with energy efficiency

Whether your sustainability goals include reducing plastic or packaging waste, reducing Scope 2 emissions throughout the supply chain, upcycling through production measures, or showcasing your business as a B-corp, energy efficiency should have a place at the table. Dollars saved through energy efficiency can have a direct impact on a business's bottom line. Operational savings and utility cost savings can help small businesses be more competitive in today's market. They also contribute to important reductions in carbon emissions and enhance sustainability in business efforts.

One of the easiest and most effective strategies a business can implement is upgrading to energy-efficient lighting. Switching to LED lighting can drastically reduce energy use and lower utility bills. Incorporating smart lighting controls—such as occupancy sensors and daylight harvesting—further enhances these savings by ensuring that lights are only used when needed. Other ideas like auditing your HVAC energy efficiency with a trained contractor and using smart thermostats for zone heating and cooling can quickly impact efficiency gains. Many small businesses reside in commercial buildings smaller than 50,000 ft2, which consume 44% of U.S. commercial building energy use (nearly 3 quadrillion Btu annually). This means changes made by business owners can have a big impact on small business sustainability.

Ways to save: Maximizing efficiency in larger commercial buildings

When it comes to energy efficiency in commercial buildings, even small changes can lead to significant savings. For example, manufacturing is energy-intensive. Most manufacturers can improve manufacturing energy efficiency by managing energy as a controllable cost and focusing on continuous improvement.

Beyond lighting, operations and maintenance best practices play a crucial role in maintaining energy efficiency. Regularly scheduled maintenance and following a checklist of energy-saving measures ensure that equipment operates at peak efficiency. Simple steps like calibrating thermostats, sealing ducts and maintaining HVAC systems can lead to noticeable reductions in energy consumption. Additionally, integrating renewable energy sources into a building's energy strategy can significantly enhance energy and efficiency efforts. According to ENERGY STAR, efficiency upgrades can shrink a building's energy load by 30% or more, which not only lowers overall energy costs but also increases the effectiveness of renewable energy integration investments.

Sustainability for larger commercial buildings using energy efficiency programs

Investing in energy efficiency within larger commercial and industrial facilities is not just a smart business move; it's a critical strategy for meeting broader climate change goals. Deep retrofits—including comprehensive upgrades to a building's systems, like lighting, HVAC, and insulation—present an opportunity to significantly reduce energy consumption. Returns on retrofits are clear. According to the American Council for an Energy-Efficient Economy (ACEEE), the savings generated by energy efficiency upgrades will ultimately outweigh the initial costs, providing a compelling financial incentive for businesses to act now.

Furthermore, with buildings accounting for a significant portion of global energy use, scaling efficiency investments is essential. Deep retrofits offer the potential to transform older, inefficient buildings that contribute positively to the environment and the bottom line.

By reducing energy consumption, businesses can save money, lower their carbon footprint and demonstrate a commitment to greener business practices. Sustainability is increasingly valued by customers, employees and investors and offers a competitive edge. Energy efficiency provides the foundation for a sustainable, cost-effective energy strategy. See how Ameren Missouri can help your business benefit from energy efficiency improvements.