Energy Management Software Frequently Asked Questions [FAQ]

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Energy Management Questions

Whether you are starting out in energy management or consider yourself an expert in the field, energy management is a constantly evolving discipline. Its principles and practices have been employed by businesses across multiple industries to reduce energy costs and kWh consumption, optimize operations, minimize waste, and significantly cut GHG emissions to comply with climate regulations.

Technology has enabled energy management professionals and teams to plan, execute, and evaluate energy management strategies through machine learning, big data, and energy analytics, as well as monitoring and controlling technologies. A quick Google search of energy management-related technologies will flood your screen with acronyms such as EMS, EMIS, ERP, BMS, EnMS, BAS, and more.

What do these acronyms mean? Where do these fit into the energy management technology landscape? How do you know which technology or solution is right for your business?

If you are asking yourself these questions, read on. The following sections explain these terms and their applications while also addressing some of the frequently asked questions (FAQ) about energy management.

1. What is an energy management system?

Energy management systems (EMS or EnMS) are computer-aided tools or software used to monitor, control, and optimize the energy performance of domestic and commercial real estate, equipment, operations, and manufacturing facilities in virtually any industry.

These systems are often segmented based on application, e.g., utility energy management system (think SCADA), industrial energy management system, facility energy management system, building energy management system, residential energy management, and so on.

While the functionality of each system may vary, at its core, an energy management system is designed to help energy professionals manage and reduce the kWh and costs associated with their business operations in an environmentally responsible and compliant manner.

It’s important to note that there is a distinct difference between energy management systems and energy management software—the former includes automated control of facility/building equipment, machinery, and other systems such as HVAC and lighting. Energy management dashboards and platforms are data and analytical powerhouses that are key to:

• Analyzing consumption trends and anomalies;
• Measuring and verifying the impact of energy-saving actions/projects;
• Identifying energy-intensive equipment/areas, waste, and improving operational efficiency;
• Reporting on the data required for energy compliance and certification; and much more.

While utility/industrial/facility energy management systems can monitor and automate building systems, they often lack the analytical capabilities to identify key energy savings opportunities.

2. What features should I be looking for in an energy management software?

Energy management software provides data-driven insights through big data and analytics. It assists facility managers, building energy managers, utilities, energy suppliers, energy service companies (ESCOs), and consultants in making informed decisions about energy and cost-saving actions and strategies. It brings together hardware, software, and data into one platform that allows energy management teams to remotely monitor and analyze energy, water, gas, and other business data from one central system.

The ability to analyze data and develop actionable insights is where the value lies. A good energy management software will have (but is not limited to) the following tools, features, or functionalities:

• Monitor and track total consumption values, as well as sub-metered buildings, sites, facilities, and industrial equipment, e.g., HVAC, lighting, compressors, etc. (Energy review/audit—a key requirement of ISO 50001 energy management certification)
• Assist energy managers in assessing areas of operational waste and identifying opportunities for energy and cost savings
• Accept varied types of data—energy, gas, water, temperature, and other business data from meters, sensors, data loggers, and other IoT devices (e.g., occupancy, number of booked rooms, produced units, etc.)
• Track and monitor CO2/GHG emissions
• Upload of historical data
• Provide interval meter data with accompanying graph representation and analytical capability
• Machine-learning technology to identify energy consumption trends and peak demand
• Monitor and benchmark energy KPIs
• Smart notifications to alert energy management teams of unexpected patterns
• Define, track, and report on energy-saving actions
• Measure, verify, and evaluate energy-saving projects—create baseline energy measurements, import variable data, create energy savings model (regression analysis), and reporting
• Integrate with 3rd party systems and APIs, e.g., Salesforce, WattWatchers, Solaredge
• Ability to scale as a project grows
• Connect to multiple hardware devices

3. What is the difference between energy management software and building management systems (BMS)/building automation systems (BAS)?

Perhaps the most significant difference between energy management software and building management systems/automation systems is the automated control of building equipment such as heat pumps, lighting, HVAC, and other electrical and mechanical equipment—a key feature of BMS/BAS systems. BMS systems can remotely turn ON/OFF and change equipment settings, meaning they can send controlling signals to equipment. Energy management software does not include these controlling features.

While energy management software can integrate with BMS/BAS systems, its primary focus is on delivering analysis tools to dig deeper into energy patterns, incorporate historical data to identify trends, compare data across different periods, evaluate areas of operational waste/savings, and measure and verify saving actions—which are not capabilities of BAS/BMS systems. BAS/BMS systems lack the analytical power needed for long-term energy efficiency improvements.

4. How do I begin saving energy in my building or site?

The first step to saving energy in a building or site is to perform a site survey to gain a better understanding of your:

• Project environment, e.g., network availability: Is local internet (LAN) available for data transfer?
• Project requirements, e.g., What do I want to monitor? Are there metering devices installed? Do I need sub-metering? What other data would be relevant to apply to the project that is unique to the building/site/facility, e.g., production, floor area size, etc.?
• Project goals and objectives, e.g., What are my energy savings goals? What are the outcomes to be achieved? How will these be measured?

It is critically important to establish the project environment, requirements, goals, and objectives before integrating software and analytics to accurately monitor and evaluate the impact of energy-saving projects and actions.

5. What role does energy management software play in ISO 50001?

Energy management software is the key ingredient when starting the process towards achieving the ISO 50001 standard. Without the advanced analytical capabilities at the core of energy management software, performing the calculations and generating the insights needed for reporting and compliance becomes nearly impossible.

Through advanced analytics software and tools found in energy management software platforms and dashboards, users can:

• Conduct an energy review, identify energy-intensive and costly appliances/equipment and sites, and establish baseline energy consumption for energy savings projects
• Monitor and track Energy Performance Indicators (EnPIs)
• Measure and track progress towards energy targets
• Monitor, measure, analyze, evaluate, and audit energy performance
• Take actions to address abnormal/deviant behavior or trends and continually improve energy performance and efficiency
• Prove the efficiency of Energy Conservation Measures implemented using IPMVP methodology
• Build linear regression models

6. On-premise vs. cloud-based energy management software—what’s the difference?

Energy management software can be segmented according to deployment:

1. Cloud-based energy management software
2. On-premise energy management solutions (stand-alone applications, deployed locally)

Cloud-based energy management software is hosted and maintained by the service provider. For example, EnergyCAP energy and sustainability software is hosted on AWS, and the platform/user interface is accessed by users through a web browser. On-premise energy management software, on the other hand, is installed locally on a premise's servers and computers and can work without an internet connection.

Cloud-based and on-premise energy management software can also differ based on pricing, security, customization, maintenance, and lifecycle.

Pricing—On-premise energy management software traditionally has a one-time cost/licensing fee, whereas cloud-based energy management software works on a subscription basis, where users pay a monthly fee for the use of the software. Furthermore, on-premise solutions often incur additional costs related to setup and installation, especially when additional hardware may be required. Conversely, cloud-based solutions can be set up and accessed by users in a matter of minutes, with no upfront costs or installation teams needed. For systems with advanced analytics capabilities like Wattics, you may need servers and an IT environment costing between $10,000 and $50,000, depending on the project's size.

Security—Security is crucial when considering a software solution that houses sensitive data. When comparing solutions, ensure the vendor's security policies and procedures are taken into account—do they comply with GDPR? Security for cloud-based energy management software is managed by the vendor, while security for on-premise energy management software falls to the users themselves. Companies opting for on-premise solutions should consider whether they have the in-house expertise to maintain the highest security standards to avoid breaches. Wattics’ integration method prevents the energy management platform from intervening with the local network, ensuring the network remains closed and secure.

Customization—While on-premise software solutions excel in customization, highly customized solutions can be challenging to scale, update, and maintain. Cloud-based solutions may offer less customization, but vendors constantly develop new tools and features to meet evolving energy management needs. These new tools and features are made readily available without user intervention.

Maintenance—Maintenance is also a vital consideration. Cloud-based solution providers are responsible for consistent maintenance, security, and software updates. These responsibilities fall on users when employing on-premise energy management software, which may incur extra support, time, and cost if in-house skills are lacking to oversee maintenance activities.

Cloud-based energy management software solutions will continue to grow in the coming years as these technologies help energy professionals save energy, adhere to energy conservation and efficiency mandates, and support bottom-line profits.

If you are starting a new energy management project, looking for energy management software to manage energy and certification projects, or looking to reduce kWh consumption, costs, and improve overall efficiency, EnergyCAP Smart Analytics has you covered!

To learn more about how EnergyCAP Smart Analytics can help your business or assist in managing your energy projects, please send us a request using the contact form below and let’s start the conversation!

8 Things You Need to Know About Energy Management Software

The right Energy Management System can help you gain visibility into your energy performance. With this insight, you can uncover many hidden savings opportunities.

To help you make an informed choice, this article highlights 8 things you should know when evaluating different solutions.

1. Intuitive data visualization

Data visualization forms an essential part of your data quality. Good data visualizations are clear and easy to understand. Ask for a demo and see if the visualizations convey useful information quickly and easily. Don’t be fooled by beautiful colors—you need information that informs action, not a painting for the wall!

2. Actionable metrics

Put all data points to the "so what" test. My energy usage yesterday was 100 kilowatt-hours—so what? What do I do next? Is that good or bad? Was there a particular area with a problem? A particular time of day? Has this problem occurred in the past?

Even comparisons can be misleading. You may have used 10% more energy than last month, but those two months had different temperatures, number of days, and holiday schedules.

There’s too much noise to tell whether that’s good or bad without deeper analysis. Don’t get a system that leaves you with more questions than answers. Make sure that the software provides all the information you need to take confident action.

3. Flexible & robust reporting

Anyone can put a title and a graph on a page and call it a report. But is it delivering the right conclusion clearly, briefly, and in terms that the target audience can understand? Too many reports are siloed into specific topics, but you want a single report to show your energy performance for the month.

Other reports are so inflexible that you can’t highlight key points or remove distracting information. This puts you at risk of management confusion and disappointment. You need reports that give you the full picture and the flexibility to control what you include.

4. Active outreach

You’re busy, and that means you won’t always have time to spend looking through your energy data, no matter how beautiful and intuitive the graphs are. You need a system that will reach out to you at the right time to let you know when there’s a problem or when you have a new progress report ready.

A system that communicates with you relieves the burden of constant checking.

5. Platform accessibility

Effective energy management requires participation across multiple departments and locations. That means accessibility is key for quick and effective communication. On-site servers, limits on the number of users, and inflexible access settings can inhibit the effectiveness of your energy management system.

Cloud systems are accessible anywhere, even by mobile. Flexible access settings give you the confidence to grant access without worrying about sharing confidential information with the wrong people. Ensure the right people can access the system at the right time, or you’ll end up with the full burden on your own hands!

6. Hardware compatibility

Consider each platform’s capability to work with your existing energy data. Platforms that can integrate with almost any hardware are the most cost-effective and future-proof options in the market.

Don’t get stuck with hardware-specific platforms that require extra cost to purchase specific (and often redundant) metering devices.

7. Updates & new features

Software and analytics capabilities are always evolving, and good vendors are always working hard to improve their systems. Unfortunately, many vendors ask you to pay for these improvements, whether it’s a new version or a new widget.

Make sure you’ll automatically upgrade at no cost to benefit from the latest features, or you’ll end up with excessive long-term costs.

8. Track record

Look for each vendor’s customer success track record, particularly in your industry or sector. Have they been helping clients achieve solid improvements in energy efficiency and productivity?

Ask for customers’ testimonials, or better still, ask to speak to their customers whenever possible.

About En-trak

En-trak is an award-winning proptech IoT company. We design and sell cloud-based solutions to help enterprises manage and optimize their energy consumption. Our flagship solution, En-trak™ Energy, enables users to know where, when, and how they are using energy in real-time.

With continuous monitoring and advanced analytics, we’ve helped over 350+ world-class clients, including Hong Kong Stock Exchange, National Environmental Agency, and Fuji Xerox, achieve their sustainability goals. We’ve also recently launched our brand-new, patented En-trak™ Smart Lighting solution designed to help companies and building owners automate and optimize their office lights.

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