Energy Smart Government - Reducing Energy Use - Ten Steps for Implementation

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Whether your agency is implementing an energy management program for the first time or fine-tuning an existing program, paying attention to a few key steps will help to ensure the success of your program. These are outlined in SEDO's recommended ten steps (PDF 12 KB) that can be used as a template for development of a tailored energy management plan. More detailed information is provided below.

Step 1. Organise management resources:

It is important that senior management is committed to effective energy management within your organisation. This should include specific accountability for energy management, allocation of financial and staff resources, and documented reporting procedures.

Step 2. Appoint an Energy Executive and Energy Management Team:

For maximum benefit, energy management must be applied over the whole of an agency's operation. To assist the implementation it is critical that each agency appoint a person to undertake the role of an Energy Executive.

For successful energy management, the Energy Executive should be part of the Corporate Executive or at the very least have direct access to it. In some circumstances it has been beneficial to rotate the position through senior officers in different areas.

The individual will need to demonstrate commitment to energy management and be able to convince others of the opportunities that an energy management program can provide.

The Energy Executive will be required to network with other management levels within the organisation. Senior experience in a managerial role with proven program implementation and management skills is essential. The Energy Executive must be able to raise the importance of energy management within the agency and then maintain its profile over a sustained period.

The Energy Executive can be appointed from any area of the agency as each area has features that are conducive for effective energy management. For example, the personnel section has experience in training staff, the finance section is experienced in sourcing program funds and the technical section has relevant knowledge on energy use.

The Energy Executive's duties include overall program coordination and reporting to senior management. It is recommended that the Energy Executive be responsible for:

Establishing and chairing an energy management team
Identifying and implementing energy saving opportunities
Raising and maintaining energy awareness within the organisation
Reporting to senior management and staff on achievements against targets and key performance indicators

An Energy Management Team should be established within the agency to encourage leadership and to identify and drive energy efficiency initiatives. The team should be able to provide an integrated organisation-wide response to the Energy Smart Government policy.

To be most effective the team should be diversified and have representation from all areas of the agency. The team should report through the Energy Executive to the Chief Executive Officer and be responsible for the identification and implementation of energy efficiency practices and projects. This would include implementing staff training and awareness programs and energy saving capital investment projects.

Step 3. Develop an Energy Smart management policy:

An energy management program is likely to be more effective if the Energy Executive, and the organisation as a whole, have a clear policy directive on what is to be achieved.

Clearly defined energy management roles and responsibilities endorsed in a policy statement by the Corporate Executive will help ensure that a uniform commitment and operational priority is given to minimising energy consumption.

An official written energy policy has the dual effect of publicly demonstrating agency commitment and providing a working document to guide energy management practices through periods of staff changes and reallocation of duties.

Policy Structure

When developing your energy policy there are many issues to consider. Saving energy should not be pursued without ascertaining its effect on other aspects of your agency such as staff morale, productivity and health and safety issues. Your energy policy should be developed in such a way that it enhances and protects your organisation's primary function.

A cohesive approach to energy management can lead to additional gains across your agency as energy efficiency initiatives implemented in one area may also have a positive impact in other parts of the agency.

A comprehensive policy would include the following key sections:

Introduction and purpose of the energy management policy, including intended outcomes and targets.
An action plan that includes a commitment to examine procurement policy along with a timetable of planned energy saving initiatives. This could include procuring an energy audit. The plan should include the resource requirements (including staffing levels, capital expenditure and training needs) necessary to successfully implement the program
Designated responsibility and accountability for the program
Review procedures for the program

A sample energy management policy (PDF 13 KB) is provided to help develop your own policy statement. A shorter example (PDF 6 KB) is also available.

Step 4. Prepare an action plan:

Each agency should establish an action plan that is focussed on achieving the objectives of the Energy Management Policy. The action plan provides the Energy Executive clear direction on what needs to be achieved. Specifically, the action plan should include details of the energy management activities (including those for Steps 5 to 10) to be developed and undertaken by the agency. The plan should address:

Development and implementation of an internal communications strategy to raise staff awareness of energy use
Establishment of a mechanism for collection, monitoring and reporting of all data on energy consumption, energy costs, energy savings and key performance indicators
Development of energy efficient purchasing policies for office equipment, office accommodation and for energy sources
The procurement of an energy audit to assess the opportunities for reducing energy consumption
Development of a timetable for staff training and for implementation of the actions identified in your energy audit, including capital upgrades. The timetable should be divided into short, medium and long term payback periods, and identify capital expenditure and energy, cost and greenhouse savings.
A mechanism for regular reviews of the action plan to determine the effectiveness of the projects being undertaken.

Step 5. Benchmark, monitor and report on energy use and expenditure:

Establish an information system to collect, analyse and report on energy use and expenditure. This can be phased in but the priority is to establish benchmarks prior to efficiency initiatives being undertaken. This will enable you to measure the success of your program.

Regular monitoring of energy use is also important so that any significant fluctuations can be identified quickly and the causes identified and if necessary addressed.

Step 6. Raise awareness of staff:

Your energy management program is unlikely to succeed without the support of staff. Maintaining motivation of staff is crucial and communicating the program strategy and results of initiatives will help achieve this. Providing staff with a sense of ownership through training and recognition for energy saving initiatives will also encourage them to contribute to the program. Providing feedback to agency staff on a regular basis is an effective method for enlisting and maintaining staff commitment to the policy.

Step 7. Undertake an energy assessment:

An energy assessment (or audit) will identify cost effective initiatives to reduce energy consumption across your agency. Having your energy bills examined will help determine the level of assessment appropriate. A good assessment will provide recommendations for technical and behavioural changes, including energy and cost savings and pay back periods for energy saving initiatives. It is important to implement the recommendations to realise the benefits and reduce energy consumption.

The Sustainable Energy Development Office has funding available to assist agencies to undertake energy assessments and implement the recommendations.

Step 8. Undertake and monitor actions:

Implement projects according to the priority attached in the action plan. Monitor the progress of each project to ensure that budgets are maintained and projected energy and greenhouse savings are achieved within the targeted time frame.

Step 9. Review the results:

It is important to monitor and review energy consumption regularly. Results should be reported to and considered by management. The results should also be communicated to staff to help maintain staff awareness and encourage ongoing commitment to the program.

Continuous monitoring and regular reporting of agency achievements to staff and the Corporate Executive enables progress to be clearly demonstrated. It also assists with implementing early intervention strategies should they be required.

Step 10. Annual review and reporting:

Your energy management plan and in particular your action plan should be reviewed on a regular basis. Regular examination of the items on the plan may see a change in priority as the benefits of longer term projects increase. Reporting your agency's achievements in your annual report and to SEDO each year is a requirement of the Energy Smart Government program and can be considered as a way of raising the corporate and environmental profile of your agency.

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