New international energy management standard provides opportunity for EEO participants

16 Aug 2011Archived News Climate Change Matters

The Australian Government's Energy Efficiency Opportunities program encourages large energy-using businesses to improve their energy efficiency by improving the identification, evaluation and resulting implementation of cost effective energy savings opportunities. Participation in the program is mandatory for corporations that use more than 0.5 petajoules (PJ) of energy per year.

The newly released ISO50001 International Standard for Energy Management will enable organisations to establish the systems and processes necessary to improve energy performance, including energy efficiency, use, and consumption. Implementation of this standard is intended to lead to reductions in greenhouse gas emissions, energy cost, and other related environmental impacts, through systematic management of energy. This international standard is applicable to all types and sizes of organisations irrespective of geographical, cultural or social conditions. Successful implementation depends on commitment from all levels and functions of the organisation, and especially from top management.

There is a strong correlation between the list of EEO requirements and the ISO50001 International Standard for Energy Management.
The EEO regulations are complemented by the International Standard, which specifies requirements of an energy management system (EnMS) for an organisation to develop and implement an energy policy, establish objectives, targets and action plans.
Consequently, it may be possible for the International Standard to act as a form of checklist for businesses reporting under EEO requirements.

EEO reporting organisations may find compliance with ISO50001 a straightforward process.

The International Standard is based on the Plan-Do-Check-Act continual improvement framework and incorporates energy management into everyday organisational practices.

The following table summarises the relationship between some key EEO requirements and the relevant sections in the ISO50001 International Standard for Energy Management. 

  EEO requirements ISO50001 International Standard for Energy Management
Leadership Energy assessment or energy use improvement objectives are established and communicated by senior and operational management to all personnel who are responsible for or have an influence on energy use and the energy assessment.
Resources (people, time and money) are made available to meet energy assessment or energy use improvement objectives.
4.1 General Requirements and 4.2 Management Responsibilities
4.2.1 (c) Top Management
Providing the resources needed to establish, implement, maintain and improve the EnMS and resulting energy performance. (Resources include human resources, specialized skills, technology and financial resources).
People Personnel with appropriate skills and expertise are involved in the analysis of energy and process data.
The energy efficiency opportunity identification, evaluation and business case development process involves a broad cross section of people.
4.2.2 Management representative
(h) Promote awareness of the energy policy and objectives at all levels of the organisation.
Information, data and analysis Business contextual information that influences energy use is identified and documented.
A data collection process is identified, documented and implemented.
An energy analysis process to assist in the identification of energy efficiency opportunities is identified, documented and implemented
4.4 Energy Planning
4.4.3 Energy Review
4.5.4 Documentation
Opportunity identification and evaluation A process to identify potential opportunities is implemented and documented. The process should involve review of information, data and analysis and use of necessary people, and result in a comprehensive list of opportunity areas.
For all the opportunities with up to a four year payback, make recommendations based on business criteria. Recommendations should include whether the opportunities should undergo further investigation, be implemented, or not be implemented.
4.4 Energy planning
Decision Making Management responsible for investment / resource allocation determine the business response including which opportunities are to be implemented, which are to be further investigated (including improvements in data and evaluation accuracy) and which are not to be implemented.
Timelines, resources and accountabilities are allocated for the business response to the assessment
4.5.6 Design
4.5.2 Competence, training and awareness
4.5.7 Procurement of energy services, products, equipment and energy
Communicating Outcomes A clear message on the outcomes of the assessments, in the context of the objectives set in leadership is communicated from senior management and operational management to relevant staff in the organisation. 4.5.3 Communication
4.7.3 Output from management review


To understand how your business, if it reports under EEO, may also acquire the ISO50001 International Standard, speak to your Energetics account manager or contact our expert consultants.

Written by:

Bethany Thompson


Gordon Weiss

Principal Consultant

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