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Energy Management System (EMS)

Find out what an energy management system (EMS) is, how to implement one, and why it helps support your facility’s sustainability goals.

Jonathan Haney headhsot
Jonathan Haney

Senior Director, Marketplaces

Modified on

August 28, 2024

What is an Energy Management System (EMS)?

An energy management system (EMS) is a computer-based tool used by operators of electric utility and power grids, to monitor, control, and optimize energy usage in a facility. Optimizing energy usage ultimately leads to reduced energy costs and lowers your company’s carbon footprint.

An EMS utilizes technology to track, analyze, and control energy usage. The EMS collects real-time data from various devices to identify patterns and inefficiencies. Then, it adjusts settings automatically to reduce energy wastage.

Implementing energy management software is a strategic investment that can provide lasting benefits. However, careful planning is required to ensure your facility gets the most out of this investment.

The Core Functions of Energy Management Systems

Data Acquisition

Energy management systems gather detailed information on energy consumption patterns from different areas within a building. The system then uses this information to pinpoint opportunities where businesses can improve energy efficiency.

Monitoring

An energy management system will continuously track energy usage patterns across your facility over time. By monitoring this data, they can identify areas where energy is wasted. These insights help you make informed decisions about how your facility can become more energy efficient.

Control

An EMS can automatically control energy-consuming systems such as HVAC and lighting. Such automation systems reduce overall energy consumption and ensure that your energy use aligns with your actual needs.

Analysis

Energy management systems perform data analysis to understand energy usage trends. They identify opportunities for improving energy efficiency and reducing costs. You can then use these insights to optimize energy consumption.

Reporting

EMS systems generate detailed reports on energy usage, efficiency, and cost savings. These reports inform stakeholders about current energy performance and guide future decision-making.

The Key Components of Energy Management Systems

Sensors and Meters

Sensors and meters perform real-time energy monitoring across various systems and areas of a facility. The data gathered by these devices can then be used to promote sustainable practices.

Control Systems

Control systems automate adjustments to optimize energy use. Advanced automation enhances both energy savings and extends each asset’s lifespan. That’s because additional energy consumption increases equipment wear.

User Interface

User interfaces, like dashboards or applications, let facility managers visualize energy data. They also provide control over settings, which allows for manual adjustments when necessary.

Data Storage and Management

Data storage and management systems handle the large volumes of data generated by the EMS. These systems ensure that energy data is securely stored and easily accessible.

Integration Capabilities

Integration capabilities allow the EMS to work with other building management systems. Strategic integrations support efficient and effective energy management.

Benefits of Using an Energy Management System in Your Facility

Cost Reduction

By identifying inefficiencies, an EMS helps cut costs. Your facility can reduce costs on your utility bills simply by implementing higher-efficiency energy management practices based on real data.

Enhanced Sustainability

Implementing an energy management system will support your facility’s energy conservation measures. It’s much easier to reduce your carbon footprint when you know exactly where your carbon emissions are coming from. Having this knowledge is useful for educating employees on environmental sustainability.

Regulatory Compliance

Many regions have environmental health and safety (EHS) standards that all businesses must follow. Keeping track of energy usage makes it easier to ensure compliance.

Improved Operational Efficiency

Reducing energy consumption will also reduce operational costs and increase equipment efficiency. That’s because overusing energy resources may increase unplanned downtime due to equipment wear.

Occupant Comfort

Energy management software can improve the overall comfort of building occupants by maintaining optimal conditions. It adjusts heating, cooling, and lighting based on customer needs. For example, energy systems may automatically increase heating when the winter months begin.

Better Corporate Social Responsibility (CSR) Rating

Implementing an EMS shows that you are working towards sustainability goals. Having such goals will increase your company’s CSR rating. Since 32% of investors will avoid companies with a low CSR rating, increasing yours may attract more shareholders.

Challenges of Implementing an EMS

High Upfront Investment

The initial cost for an EMS can be high. However, long-term reductions in energy costs usually justify the initial investment.

Complexity

An EMS can be complex to configure and requires specialized expertise to manage effectively. Proper training is crucial to making your energy management system work as expected.

Technology Integration

Integrating an EMS with existing systems and ensuring compatibility requires a thorough understanding of both the new and old systems. Assess your current tools before you choose an EMS to avoid technical difficulties.

Strategies for a Successful EMS Implementation

Conduct a Needs Assessment

Evaluate your facility’s current energy consumption to help you determine where your facility has the highest energy demand. This assessment will guide the selection and customization of your EMS.

Engage Stakeholders

Include key stakeholders in the planning and execution stages to align the EMS with the needs of all users. Their input ensures the system’s design and functionality meets practical requirements. Stakeholder engagement also promotes buy-in which supports a smoother implementation.

Choose Scalable Solutions

Select an EMS that can adapt to changing energy needs and integrate new technologies. This flexibility ensures that your energy management system remains effective as your facility evolves.

Provide Training

Proactively train your staff on how to use the EMS to maximize its potential. Proper training helps employees understand the system’s functionalities and leverage its energy efficiency benefits.

Monitor and Adapt

Continuously monitor the performance of the EMS and make adjustments as necessary to optimize energy savings. Monitoring also ensures that the system keeps up with changing energy management strategies that you may introduce to adhere to new regulations.

Pair Technology With Energy Management Programs

It’s unwise to rely solely on your energy management system to optimize energy usage. Following best practices, switching to renewable energy, and using distributed energy resources is always recommended. Consider your EMS as an additional tool that supports your goal of improving your environmental impact.

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