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6 reasons for energy management in SMEs

Why energy management pays off in SMEs

Industrial and commercial enterprises in Germany account for a good 40% of the country's total energy consumption. Sigmar Gabriel describes energy efficiency in industrial SMEs as the "sleeping giant of the energy transition". More than 90% of the manufacturing companies in Germany make up the industrial SME sector. In our blog post, we would like to give you 6 reasons why energy management is important in industrial SMEs and what potential it can uncover.

An energy management system enables the systematic recording of all consumption within a company. On the basis of the recorded data, there is the possibility of a more in-depth analysis of electricity consumption. Depending on the system, this makes it possible to analyse questions about electricity consumption per workpiece or the occurrence of a load peak. In the future, new sophisticated analysis algorithms will also make it possible to minimise downtimes through early detection of faults or wear. The analysis of deviations in the energy data provides the basis for early detection of possible machine failures due to defects or wear. But why should a medium-sized company acquire an energy management system?

With the help of a Sankey diagram, energy flows within the operation can be visualised in real time.
With the help of a Sankey diagram, energy flows within the operation can be visualised in real time.

1. Cost saving

The new transparency provided by the recorded data offers the possibility to identify unrecognised consumers. Our customers' experience shows that the typical savings potential lies in reduced transformer losses, unnoticed standby loads and avoidable load peaks. For example, the typical savings potential in energy costs after the introduction of an energy management system is 5%-20%. The lower cost level thus also increases the competitiveness of an industrial company.

2. Increase productivity

By definition, productivity in production increases when the output quantity rises in relation to the input quantity. The result is that more is produced with the same amount of resources. An energy management system offers the possibility to measure the amount of energy that flows into production and thus to uncover weak points that lead to unnecessary additional consumption. Our experience in small and medium-sized enterprises shows the following typical weak points that stand in the way of efficient production:

  • Facilities and operating hours in excess of demand
  • Lack of controlling of energy costs
  • Unrecognised need for maintenance


3. Saving resources

Saving resources is one of the direct consequences of reduced and more efficient energy consumption. This is not only reflected in the company's electricity bill, but also benefits the environment.

4. Facilitation of the energy audit through continuous energy management

In the context of the energy transition, energy audits of companies are becoming more important for the legislator. Even if small and medium-sized enterprises are excluded from the obligation to conduct an energy audit, the energy audit is the prerequisite for tax advantages. An existing energy management system significantly simplifies the implementation of energy audits. The energy audit provides for the collection of energy data in preparation for the on-site inspection by the energy auditor. By implementing an energy management system, the relevant data for the audit are already available and can be made easily available to the auditor.

5. Troubleshooting for critical operating conditions

With the help of an energy management system, operating states can be monitored via the recorded power consumption. If it is necessary that certain systems, such as pumps, are permanently in operation and a failure is to be avoided, the energy management system helps to ensure this. In addition, the power quality of the electricity supplier can be monitored and possible problems in the voltage quality, such as harmonics, can be detected. Furthermore, the risk of fire can be reduced by monitoring the neutral conductor currents.

6. Higher data accuracy

The continuous collection of energy data in high resolution makes it possible to carry out a more detailed analysis compared to a selective manual collection. The availability of high-resolution data over a longer period of time makes it possible to learn from historical consumption and to derive targeted measures. For example, it is possible to determine the optimal maintenance time for a machine on the basis of historical data and thus minimise potential downtimes in production.

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