Many companies are under pressure to cut costs as the price of energy continues to grow. Manufacturing businesses are struggling to remain competitive in their industries due to higher prices. Now energy support is being reduced this could have more of an impact on these industries. By reducing energy consumption and therefore energy costs manufacturing businesses could remain one step ahead of the competition.
Measure consumption and carbon footprint
Measuring your business' carbon consumption is extremely important for ensuring that you are doing your part to achieve sustainability in the long term. Doing this can provide a comprehensive understanding of the business' energy use and which operations are contributing more than others to their overall carbon footprint. This data can then be used to develop strategies for reducing carbon emissions and improving efficiency.
Additionally, measuring carbon can help businesses comply with public policy regulations, such as those established by local governments or even large organizations like the United Nations. By keeping up with trending green initiatives, businesses not only protect their communities but also make themselves look better in the eyes of potential customers.
The best way to start measuring your carbon emissions is to split them into scope 1, scope 2 and scope 3 emissions.
Measure 3 scopes
Scope 1
Scope 1 emissions are a critical factor when it comes to measuring greenhouse gas emissions generated by organizations. These emissions represent sources owned or controlled directly by an organization, such as fuel combustion in boilers, furnaces and vehicles. This includes emissions emitted both on property owned or leased by the organization, as well as those resulting from activities of the organization occurring away from their facilities that are owned or controlled by the organization. Monitoring Scope 1 emissions helps to better understand how organizations contribute to global warming and respond accordingly with environmentally friendly solutions and practices.
Scope 2
Indirect emissions such as those found in Scope 2 are often overlooked when companies attempt to reduce their environmental impact. This is due to the lack of direct control a company may have over these emissions and the fact that for most operations electricity purchases make up such a small portion of spending that reducing emissions can seem futile. However, with modern renewable energy sources becoming more accessible and cost-efficient, taking steps to decrease Scope 2 emissions becomes quickly achievable by transitioning away from traditional fossil fuel grids to renewable energy providers. For example, our electric fleet vehicles can benefit immensely from renewable energy sources and should be taken into consideration whenever attempting to reduce our Scope 2 carbon footprint.
Scope 3
Scope 3 emissions are emissions that stem from sources outside of what a company directly owns or controls. In other words, they result from activities that companies have externalized to their suppliers and other entities further down their value chain. An example of Scope 3 emissions is when we consume goods produced by suppliers - even though the emissions that are produced may not be controlled by the company itself, it is still responsible for those emissions due to its complicity in the transaction. As awareness around the importance of tackling climate change continues to grow, companies have become more tuned in to monitoring and managing their Scope 3 emissions accordingly.
By understanding where your emissions come from you can reduce consumption which can not only save you money on your energy bills but also increase sustainability within your business. Sustainability is going to help businesses within energy-intensive industries such as manufacturing to create long term plans to increase their bottom lines and reduce expenditure.
Where is your manufacturing business losing the most energy?
Heating
Heating a large open warehouse can be a major challenge, especially when it comes to containing heat. With so many people coming and going on a daily basis, it's easy for energy costs to build up. In spite of this, there are ways to combat the energy loss associated with large manufacturing businesses.
Installing insulation and taking simple measures such as keeping external doors closed are excellent starting points for helping to contain warmth inside the building. Additional measures could include replacing old windows and investing in efficient heating systems that respond to outdoor temperatures or remote sensors, which help keep the warehouse at a comfortable temperature without overspending on energy bills. It is possible for a manufacturing business to keep warm, maintain costs and save money by using these simple but effective tips.
Lighting
Lighting plays a much larger role in energy consumption than most businesses might think. A large number of companies could be spending an unnecessary amount of money on lighting, up to 95% in the case of businesses based in warehouses. Luckily, there are a few sensible solutions that can help save on your energy costs related to lighting. By switching over to LED lighting, which is more efficient than the standard fluorescents used by many businesses, companies can enjoy both improved illumination and lower energy bills. Further savings can be found by using motion sensors so lights will only turn on when there is movement in the area and dimmers for rooms that don't require maximum brightness at all times. A little investment upfront into smarter lighting solutions may have a big payoff in the long run.
Equipment
Manufacturing businesses require a lot of equipment for daily operations that can take up a significant amount of energy. From water cooling systems to powering the machines that do the actual production, all of this requires energy which often accounts for the bulk of energy expenditure in these types of businesses. It can be quite costly, but it is necessary to keep operations running efficiently and quickly. With careful management and plenty of research into newer, more efficient models and technology, manufacturing businesses can make sure they're spending their money wisely on energy costs while still remaining productive.
How to combat this with energy efficient practices?
Insulation
Manufacturing businesses are often faced with high heating costs due to needing to keep warehouses warm, especially during winter months. However, proper insulation can significantly reduce these costs. Not only will insulation help maintain the desired indoor temperature, but it also helps to reduce energy bills by ensuring that heat isn't allowed to escape from the warehouse too easily. It is a smart investment for an industry that relies heavily on keeping temperatures consistent in order to protect its products and keep its workers comfortable. The benefits of proper insulation for business owners can be great – improved efficiency cost savings, and peace of mind.
Ventilation
Properly ventilating your industrial facilities can be one way to significantly reduce the amount of money spent on cooling systems. Appropriate ventilation means that not only does less air have to be artificially cooled, but humidity levels in a room are controlled so equipment and workers are not exposed to conditions that could reduce work quality or increase health risks. Even if the cost of proper ventilation may initially seem high, it can save money over long terms by eliminating energy waste associated with operating cooling systems in poorly ventilated areas.
Switch to low-energy light and allow for more natural light
In order to reduce the high electricity bills incurred by manufacturing industries, they must explore alternatives that can help them save on their energy consumption. Switching to LED lighting is one such effective option as LEDs are much more energy efficient than standard incandescent bulbs. Moreover, since sunlight is free for all and a major source of energy, industrial buildings should be designed and improved to allow the natural light to penetrate inside throughout the day. A combination of both these measures will not only bring down huge electricity bills but also ensure that the environment remains pollution-free, which is greatly beneficial for us all.
Energy management plans
At Resolve Net Zero we offer an array of energy management plans. We will take care of measuring your initial consumption and coming up with initiatives to lower this.
See more about our carbon management plans here.
Energy efficient infrastructure
Installing energy efficient infrastructure can be a major help to manufacturing businesses in reducing energy costs. This can be done by implementing newer, more advanced technologies that are more efficient. With such technology, businesses can make their operations more cost-effective and environmentally friendly. Newer equipment also ensures better performance and fewer breakdowns, thus making production lines run even smoother. Of course, businesses should understand their individual requirements when investing in energy efficient resources, as switching out infrastructure is a big investment and decision. With careful planning and implementation, though, businesses of all sizes can see substantial savings when it comes to energy costs in the long run.
solar panels
Solar panels allow your business to generate its own electricity which not only lowers your electricity bills but also your dependency on power from the grid.
This will allow you to cut overhead business costs as you will not be as affected by price rises in the energy market.
Find out more about solar panels here.
Voltage Optimisation
Installing voltage optimisers within your manufacturing business can reduce the amount of electricity actually needed to use your electrical equipment.
Most electrical equipment usually works at around 253v but only needs 220v to work efficiently. Therefore, a voltage optimiser will reduce the number of volts going to equipment to what they need to run. The additional electricity will be pushed back to the grid and you will not be charged for using it.
For high power users, this has the potential to save you up to 19% on your electricity bills. You will also save money on your equipment as you will not have to replace your electrical equipment as often as it will not be getting overvolted, which causes it to break quicker.
Find out more about voltage Optimisation here.
If you're ready to improve your energy efficiency whilst driving down energy bills then why not get in touch? With our carbon management plans we will give your business everything it needs to reduce consumption and maximise on savings. . Request a free quote now and start reducing your carbon footprint and energy bills today.
