Up your CRE game with the best energy management solutions

Introduction to energy management in commercial real estate

Energy management is a crucial aspect of operating and maintaining commercial real estate (CRE) properties. It involves the strategic planning, implementation, and monitoring of energy consumption to optimize building performance, reduce costs, and minimize environmental impact.

What is it?

In the CRE industry, energy management refers to the process of controlling and optimizing energy usage in commercial buildings. This includes:

• Monitoring and analyzing energy consumption data
• Identifying areas of inefficiency and waste
• Implementing energy-saving measures and technologies
• Continuously evaluating and improving energy performance

These processes help CRE property owners and managers manage energy consumption, reduce operating costs, and enhance the overall value of their properties. According to EnergyStar, even minimal efforts in managing energy can reduce energy use by 10%.

How do you manage energy in CRE?

Managing energy in commercial real estate involves a multi-faceted approach that combines technology, data analysis, and best practices. Some common energy management practices in CRE include:

• Conducting regular energy audits to assess building performance and identify improvement opportunities
• Installing energy-efficient lighting, HVAC systems, and appliances
• Implementing building automation systems (BAS) to control and optimize energy-consuming equipment
• Utilizing energy management software, like Optimize, to monitor, analyze, and report on energy consumption data
• Engaging tenants in energy conservation initiatives through education and incentives
• Pursuing green building certifications, such as LEED or ENERGY STAR, to validate energy performance and attract environmentally-conscious tenants

Blueprint for an effective energy management solution

Implementing an effective energy management solution in commercial real estate requires a strategic approach that considers each property’s unique needs and characteristics. With the right tools and technologies, as well as an assessment of your building, you can create an energy management plan that maximizes efficiency and cost savings.

Assessing your needs and understanding building energy loads

The first step in creating an effective energy management solution is to assess your building’s energy needs and understand its energy loads. Here’s how you can understand your building’s energy loads:

1. Conduct a comprehensive energy audit to identify high-consumption areas and equipment, such as lighting, HVAC, and appliances
2. Benchmark your building’s energy performance against similar properties to identify improvement opportunities
3. Analyze energy consumption data to identify patterns, trends, and anomalies that may indicate inefficiencies or waste
4. Prioritize energy-saving measures based on their potential impact and return on investment (ROI)

Choosing the best energy management software for you

High-quality energy management software can help you monitor, analyze, and optimize energy consumption in real-time. It can also provide valuable insights and reporting capabilities. When selecting energy management software, consider the following key features:

• Real-time monitoring and data collection to track energy consumption at a granular level
• Advanced data analytics and visualization tools to identify trends, patterns, and opportunities for improvement
• Automated alerts and notifications to flag unusual consumption patterns or potential equipment failures
• Integration with building automation systems (BAS) and other smart building technologies for seamless control and optimization
• Customizable reporting and benchmarking capabilities to track progress and demonstrate ROI

Three common misconceptions about CRE energy management systems

Despite the proven benefits of energy management systems in commercial real estate, there are still misconceptions that can deter property owners and managers from adopting these solutions. Let’s address three of the most common misconceptions and clarify the realities of implementing energy management systems in CRE.

Misconception 1: High initial costs

While implementing these solutions costs some money, it’s not nearly as expensive as most people think. You’ll need to pay some initial cost for sensors and software, but most software these days is on a subscription basis. And, the sensors for monitoring energy management are much more affordable than most think. According to the National Renewable Energy Laboratory, sensors for advanced monitoring in commercial spaces only cost $0.14/ft2.

Misconception 2: Complex implementation and maintenance

Modern energy management software solutions are designed with user-friendliness in mind. They offer intuitive interfaces and a streamlined user experience, making it easy for staff to use the tools immediately. These solutions often come with comprehensive support and training from the software vendors, allowing your staff to learn and adapt to the new system with professional support.

Furthermore, these systems’ automation and remote monitoring capabilities can simplify maintenance and troubleshooting, reducing the burden on your facilities management team.

Misconception 3: One-size-fits-all solutions

In reality, the most effective energy management systems are tailored to individual properties’ unique characteristics and energy profiles. Factors such as building size, age, occupancy, and tenant mix can all impact the specific energy management strategies and technologies that will be most effective. This is where customizable open-source solutions like ProptechOS come into play, allowing property owners and managers to create targeted energy management plans that address the specific needs of their buildings.

How to energize sustainability in commercial buildings

Sustainability has become a top priority for many commercial real estate owners and tenants alike. Implementing effective energy management solutions not only helps reduce costs but also demonstrates a commitment to environmental responsibility.

Energy management solutions that work

Some of the most effective strategies for managing energy use include:

• Lighting: Upgrading to energy-efficient lighting systems, such as LED or CFL, which can significantly reduce electricity consumption and costs
• HVAC: Implementing demand-controlled ventilation (DCV) systems that adjust fresh air intake based on occupancy levels, reducing the energy required for heating and cooling
• Smart Sensors: Installing smart thermostats and occupancy sensors to automatically adjust temperature settings based on building usage patterns
• Retrofitting: Older equipment, such as HVAC systems and appliances, uses much more energy than modern options. According to the MacArthur Foundation, replacing the old with the new can cut your energy bill by 22%.
• Renewables: Utilizing renewable energy sources, such as solar panels or geothermal systems, to generate clean, on-site power and reduce reliance on the grid

Managing energy the smart way through ProptechOS

While the aforementioned energy management solutions can be highly effective, you can enhance their effectiveness with a centralized platform to monitor, analyze, and optimize their performance. This is where ProptechOS comes in. ProptechOS connects all of your building data and Proptech solutions into a single ecosystem enabling full building communication. Here are a few of the key features that ProptechOS offers, making it an ideal choice for energy management:

• Real-time energy monitoring and data collection across multiple systems and devices
• Advanced analytics and machine learning algorithms that identify opportunities for energy savings and efficiency improvements
• Customizable dashboards and reporting tools that provide actionable insights and help track progress towards sustainability goals
• Seamless integration with existing building automation systems and smart building technologies
• Scalable, cloud-based architecture that allows for easy deployment across multiple properties and portfolios

Even better, you can try ProptechOS for free today to get started with your unified energy management solution.