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This short e-book describes the key elements in developing an energy and environmental management plan.
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The Elements of an Energy & Environmental Management Plan
This short e-book describes the key elements in developing an energy and environmental management plan
June 2011
Informative Document
Introduction
Companies of all sizes are feeling pressure from customers, investors, employees and the marketplace to design, build and manage their facilities in an environmentally sound manner.
Your organization may have energy efficiency activities underway or completed a benchmarking exercise, however what are next steps to build upon these actions and create a portfolio-wide program?
Our experience has shown that developing a plan which takes a holistic view of data and is focused on driving on-going tangible results is a best practice next step.
This short e-book will outline the key elements of an energy and environmental management plan and detail the importance of a total program approach.
What is an Energy & Environmental Plan?
A business strategy and framework for energy and environmental matters. Below represents a very simplistic way
of looking at the different stages involved in developing an energy and environmental plan. This framework will be
discussed through out this e-book.
Set up •Policies, Mandates Goals, and Objectives•Roles and Accountabilities Consequences •Goals and Targets Specific and Measureable
Design •Strategic Actions Benchmarking, Behavioural, Operational•Timelines 1, 3, and 5 Year Horizons•Investment Plan Strategic, Life Cycle, Cash Flows
Review •Regular Review Movement to Goals•Targeted Regular Reporting KPI’s, Trending, Scorecards•Recognition and Reward Performance Based Incentives
The Importance of Data
Data types, such as energy data, facility data, behavioural data and KPI data, are absolutely essential to developing achievable targets, prioritizing energy efficiency initiatives, engaging customers and employees and
tracking the success of the program.
Ensuring you have a robust data foundation in place before the program is designed is essential for program success.
Elements of an Energy & Environmental Plan
The diagram below represents the conceptual framework of an energy and environmental plan. The following slides will outline each element of this diagram in detail.
Framework for program Frequency of reporting
Target audience
Perform sample site audits Operational, behavioural
and capital investment opportunities
Outline responsibilities and accountabilities
Policy statement Goals and
targets of program
Continuous Improvement
Continuous Improvement
Strategy Design
Reporting, Monitoring and
Verification
Program Set-up DATA
Elements of a Plan
Element Details
Set-up Policies & MandatesWriting and communicating the policy to all members of your organization and any relevant stakeholders is a very powerful step that will build awareness and keep everyone on the same page.
Roles & AccountabilitiesThere are three key roles that need to be defined – Energy Champion, Executive Sponsor, External Support. It’s important you identify the human resource role for each area and outline accountabilities for your program.
Goals & TargetsSet appropriate and achievable goals and targets. A good place to start is a 3% reduction in electricity, natural gas and water consumption. Also set awareness and engagement targets to measure the effective your program is having on your employees.
Elements of a Plan
Element Details
Design Strategic ActionsTo start, consider the long term impact of your actions using a life cycle approach. Engage in behavioural and operational actions first to build momentum and to start saving money for your capital base. Make sure that the actions you are taking are aligned with your corporate strategy and positioning.
TimelinesIn order to establish a timeline for your program, you must keep two things in mind. What do I have to accomplish to meet my targets, and what does my cash flow look like. Start small by laying the foundation for increased returns by building awareness and taking advantage of low hanging fruit.
Investment PlanStart with low cost initiatives to prove the potential savings and once you’ve got momentum and strong foundation working in your favour, go out and perform the big expensive measures with the high financial returns.
Elements of a Plan
Element Details
Review Regular ReviewReview and track success towards targets, monthly, quarterly, and monthly. Having a robust and verifiable reporting framework will maintain momentum between program years and prove to internal and external stakeholders that their investment in the program is paying off.
Targeted ReportsMake sure that those receiving the reports are being given useful information from an appropriate perspective. E.g. executives should see high level scorecards of movement towards targets and the energy champion should see absolutely everything.
Recognition and RewardRecognition and reward can be the greatest tool at your disposal for maintaining momentum in the long term. There are three main groups that should be recognized for their contributions and appropriately rewarded – Customers, Employees and Yourself.
Final Words
The proper foundation will drive long term success.
Having a well thought out plan will
steer you in the right direction
during implementation and deliver best results
for the program.
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Energy Advantage Inc. provides total energy and environmental management solutions to our customers’ sustainability challenges, delivering them ‘best results’ in managing their risk, reducing their costs, and enhancing their reputation within the markets and communities they serve.