[This is Part#6 of the Energy Management Series. You may access Part#1 here, Part#2 here, Part#3 here, Part#4 here, Part#5 here and Part#6 here]


Policy brings discipline. The policy sets objectives. The policy defines the spectrum of deliverables. Thus, policy leads to higher productivity. After realizing the impacts of increased energy consumption and costs, governments of the developed nations and some of the developing nations across the globe started charting Energy Policies. National level Energy Policies set principle guidelines for the government to work forward. Similarly, industry level Energy Policy helps the industry to maintain operational discipline, ensuring higher productivity per unit of energy consumption.

That’s how ISO 50001 came into existence in 2011. ISO 50001 defines an Energy Management System (EnMS) as “a set of interrelated or interacting elements to establish an energy policy and energy objectives, and processes and procedures to achieve those objectives.” ISO 50001 EnMS provides a roadmap and path for continually improving energy performance. ISO 50001 embeds strategic values, which benefits the industries as:

  1. in identifying opportunities for reducing the cost of energy
  2. in getting management support and commitment, which in turn helps in charting roles and responsibilities of the staff
  3. enabling the users in putting into practice procedures and processes to improve design and procurement efforts in relation to energy management


So, how does it begin with?

It begins with creating specific requirements and documentation such as meeting agendas, minutes, Objectives and Targets (O&Ts), a communications plan, an energy policy, and other requirements. These documents can serve as guides for any organization in planning, developing, and implementing the ISO 50001 EnMS standard.


Image by essenceofengineering.wordpress.com


Image by essenceofengineering.wordpress.com


The operational modalities involve critical documentation. Below are basic headings for the forms, templates, processes, etc.

  • Maintain a central repository for documentation, such as
    • Microsoft share point
    • Google for work
    • Huddle
    • Box
    • Confluence
    • Alfresco
    • Samepage
  • Write down a description of the organization scope and boundaries.
  • Use PDCA cycle to continually improve processes and energy performance and document the same
  • Complete all the phases and elements with appropriate actions, documents and continually improve upon
  • Minutes of the meeting, agenda, presentations, sign-in sheets


These documentations require concrete consent from the management and an active participation, not necessarily on daily operational basis but surely for reviews and appraisals. Without management commitment and support, EnMS implementation will not give successful results, nor user will realize the improvement in the energy performance of the plant.

Having management consent, it comes to energy team formation. A cross-functional energy team that houses all the representatives from the functional areas across the organization, to be formed by the management. This team would work extensively for various documents and data collection templates, with a proper plan. This team meets periodically, reviews the progress in sync with the plan, aligns the progress with the benchmark, charts out the objectives for the proposed action points and puts them into practice with the management consent.


Energy Policy

An energy policy approved by the management becomes a compelling force for execution of the ideas and provides a direction towards energy reduction, conservation, and such related outcomes. Below are typical characteristics of the energy policy:

  • It’s substantiated and suitably scaled to the organization size and provides a framework for setting O&Ts.
  • It encompasses a review process to guarantee that the entire organization is in sync with the policy, that the system is reviewed regularly and is updated as needed.
  • All the aspects of the energy policy – the policy, the progress, reviews, actions, feedback – everything is documented and is communicated to all the levels of the organization.
  • The policy includes commitment that resources to achieve the O&Ts will be made available and all such requirements will be complied with.
  • The energy policy encourages purchase and use of energy-efficient products for energy performance improvement.
  • It’s committed for continued improvement in energy consumption performance.


Energy planning process:

  • Identifying the scope of the EnMS and understanding the legal and other requirements
  • Understanding past and present energy consumption (determining how much was used and how it was used)
  • Identifying the Significant Energy Users (SEUs)
  • Identifying energy- efficient measures that would reduce the energy consumption of these SEUs
  • Selecting a baseline so improvements can be compared in the future
  • Identifying Energy Performance Indicators (EnPIs) for the organization and for the SEUs if possible
  • Developing O&Ts or projects with reasonable and acceptable payback
  • Developing action plans to implement the O&Ts and achieve the desired results


ISO 50001 implementation also requires rigorous training of the team. The training covers:

  • The deployment organization, including the Strategic Council, the energy champion, the energy team, and the facility managers, along with their roles and responsibilities
  • The five phases of ISO 50001 EnMS
  • The strategic goal established, if one has been
  • The organization’s energy policy
  • The EnPIs
  • The SEUs and the processes for which employees have direct responsibility that impact energy performance and how important it is for them to accomplish (energy conservation actions and processes)
  • The current O&Ts, their impact on energy performance, and their status
  • Methods for everyone to follow to reduce energy use


I feel that Organizations may not have direct influence on price control, but surely can improve upon the way they manage energy. Bringing efficiency in the energy management can decrease energy cost as well as consumption.


Here, we complete the entire series on Energy Management. Starting with the beginners’ feed, then charting the traditional practices, knowing the system, industry’s perspectives, hardware engineering, importance of the data and this concluding post on ISO 50001 – I feel this would serve a good food for thoughts to those who are keen to transform the way their organization is engaged in energy utilization (purchase and consumption).