What is energy efficiency?

The Problem

Current Infrastructure
The way we generate and use energy is inefficient with loss of energy occurring from the point of generation all the way through to the end user.

While the largest losses (c.60% plus)1 occur on the supply side, buildings and industry can then waste some 25-30% of the energy they use.

Centralised energy generation can result in increased costs and greater carbon intensity due to low efficiency resulting from losses during generation, transmission and distribution. In addition, grid stability and reliability face increasing challenges as the energy system adapts to the change in sources of generation.

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The Solution

Energy efficiency
Energy efficiency involves the delivery of cheaper, cleaner and more reliable power and heat through generating at the point of use.

Distributed Energy – Onsite Supply

The most common technologies used in distributed energy include:

  • Combined heat and power/cogeneration/trigeneration (“CHP”): production of power, heat and/or cooling using waste gas and heat, natural gas or biomass
  • Solar PV: rooftop or ground mount systems, used in the production of power for use on-site
  • Heat pumps: ground sourced/geothermal or air sourced
  • Battery storage: used in conjunction with other technologies to provide efficiencies of supply

Demand Reduction

The use of applications to reduce/minimise consumption of energy at the point of use. The most common solutions include:

  • LED lighting
  • Heating, ventilation and cooling (“HVAC”)
  • Building Management Systems (“BMS”)

Benefits of Energy Efficiency

Benefits of Energy Efficiency

A combination of high energy prices, carbon emission reduction targets and energy security concerns renders energy efficiency as a crucial component in the development of the modern energy economy.
Case studies

Energy efficient solutions present an attractive proposition for end user clients, offering;

  • Reduction in energy costs: avoiding or reducing the significant generation, transmission and distribution costs associated with a centralised grid
  • Improved energy performance: greater efficiency due to minimal grid losses and reduced energy intensity through employment of efficient technology
  • Improved reliability: reduced reliance on increasingly constrained centralised power grids
  • Cleaner energy: increased efficiency reduces the reliance on existing traditional centralised generation, reducing carbon intensity
  • Environmental impact: energy efficiency is widely recognised as the most cost effective solution in seeking to reduce greenhouse gas emissions.

A decentralised solution provides cheaper, cleaner and more reliable energy for the end user.

See our case studies for examples of where energy efficiency solutions have provided these benefits.