Energy Audit
Energy

Is the Regulatory Energy Audit Mandatory?

Published on: 4 July 2023

In a context where energy and environmental issues are paramount, it is crucial for companies in the industrial sector to take effective measures to optimize their energy consumption and reduce their environmental impact.

Among the key measures to implement, the regulatory energy audit holds particular importance. This tool allows for the evaluation of a company’s energy performance, identification of energy-saving opportunities, and compliance with current regulations.

In this article, we will guide you through the different aspects of the regulatory energy audit. Our goal is to provide you with the necessary information to make informed decisions and implement concrete actions to improve your energy performance and meet regulatory requirements.

I. What is a Regulatory Energy Audit?

A regulatory energy audit is a systematic process of evaluating an industrial company’s energy consumption in accordance with current regulations. It aims to identify energy-saving potentials and propose concrete measures to improve the company’s energy efficiency.

This audit is conducted by qualified experts in compliance with legal and regulatory requirements. It includes a detailed analysis of installations, equipment, processes, and the company’s energy practices, as well as the collection and analysis of relevant energy data.

It identifies sources of energy waste and inefficiencies in industrial processes. By highlighting areas of excessive or suboptimal consumption, the energy audit provides avenues for improvement to reduce energy consumption and associated costs.

Furthermore, the regulatory energy audit assesses the potential for using renewable energy sources or more efficient technologies. It identifies the necessary investments to improve energy efficiency and quantifies potential energy savings.

It optimizes production processes, improves profitability by reducing energy costs, and enhances market competitiveness.

Moreover, it contributes to reducing greenhouse gas emissions, the energy transition, and achieving environmental goals.

II. Regulations Regarding Energy Audits

Several laws and regulations have been established to encourage companies to conduct energy audits. In France, the main law is the 2015 Energy Transition for Green Growth Act (LTECV). It requires companies of certain sizes and activities to conduct regular energy audits. Other regulations may also apply, such as the European Energy Efficiency Directive (EED), which obliges member states to implement energy audit measures for large companies, and ISO 50001 standards on energy management. The thresholds and criteria determining the obligation to conduct an energy audit vary according to specific regulations. For instance, under the LTECV, companies with more than 250 employees or an annual turnover exceeding 50 million euros, as well as those in certain specific sectors, are required to conduct an energy audit every 4 years. Decree No. 2015-1823 of December 30, 2015, regarding the codification of the regulatory part of the Energy Code, defines the thresholds beyond which a legal entity must conduct an energy audit. The obligation to conduct a regulatory energy audit primarily concerns energy-intensive industrial sectors, including manufacturing, chemical, food processing, metallurgical industries, and sectors such as construction, transport, and logistics.

III. Benefits of Conducting a Regulatory Energy Audit

The regulatory energy audit represents a valuable opportunity to identify energy-saving opportunities within your industrial company. By conducting a detailed analysis of your energy consumption, you will be able to identify areas where improvements can be made and savings can be achieved.

This may include identifying energy-intensive processes, energy losses, or inappropriate consumption behaviors. With this information, you can implement specific measures to optimize your energy consumption, reduce operational costs, and increase profitability.

By conducting a regulatory energy audit, you will be able to improve your company’s energy performance. By identifying and implementing energy efficiency actions, you can reduce your energy consumption, decrease your carbon footprint, and improve your environmental performance.

Better energy performance can also enhance your market competitiveness. Consumers and clients are increasingly aware of environmental issues and place growing importance on companies that adopt sustainable practices.

By improving your energy performance, you can position yourself as a responsible company, attract new clients, and retain existing ones.

IV. Steps of a Regulatory Energy Audit

The first step is to collect and analyze energy data, such as consumption records, energy bills, equipment specifications, process diagrams, etc. This data collection is essential to understand your consumption profile and identify areas with high potential for energy savings.

Next, a detailed analysis is conducted to evaluate your company’s energy performance. This may include examining production systems, industrial processes, equipment, lighting, heating, cooling, etc. The objective is to identify sources of waste and energy inefficiencies.

Once the data is collected and analyzed, specific recommendations are made to improve your company’s energy efficiency. These recommendations may include technical measures such as installing energy-saving devices, optimizing systems, improving maintenance practices, etc.

It is essential to engage qualified and experienced experts to conduct a regulatory energy audit. Their expertise allows them to collect, analyze, and interpret energy data comprehensively. They can detect inefficiencies and improvement opportunities specific to your industry. Additionally, they can provide personalized recommendations tailored to your company, considering your objectives, constraints, and budget.

By engaging qualified experts, you benefit from a rigorous and reliable evaluation of your energy consumption, enabling you to make informed decisions and optimize your energy performance.

V. Consequences of Non-Compliance with the Energy Audit Obligation

Energy regulatory bodies can impose fines and financial penalties in case of non-compliance. These penalties can be substantial and increase progressively in case of repeated violations or inaction by the company.

Besides financial penalties, non-compliance with the energy audit obligation can also lead to financial and reputational risks for your company. Sustainability and responsible energy management have become crucial issues for companies, stakeholders, and clients who increasingly value these aspects.

Failure to comply with the energy audit obligation can tarnish your company’s reputation, which may be perceived as not adhering to regulatory standards and environmental requirements. This can result in a loss of client trust and negatively impact your brand image.

For companies subject to the regulatory energy audit obligation, it is essential to take concrete measures.
Engage the qualified experts at Dametis to conduct this audit and benefit from the advantages it can bring to your company.

By investing in energy management and complying with regulations, you can not only improve your energy performance but also strengthen your market position, reduce operational costs, and contribute to the energy transition and reduction of greenhouse gas emissions.

Don’t wait, take action today and conduct your regulatory energy audit with Dametis.

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