Benchmarking is the process of collecting data as a measure with the aim to compare current efforts and results. A benchmark is the ‘best performance’ achieved and ‘benchmarking' is the process of ‘evaluating against best performance’. Knowledge gathered from the observation can help bring insight into new approaches or best practices to adopt and implement. It helps companies understand their own processes in comparison to other organizations, competitors, or industries to discover how and where changes need to be made to optimize performance.
Energy benchmarking is no different. It involves gathering data or information and then comparing the performance of a facility to itself, to other buildings, or to established standards.
As with all forms of benchmarking, the process involves two data sets: internal and external. Internal data involves gathering and understanding the historical energy and water consumption of a building collected through utility metering or submetering. Gathering all that data may be the simple part, presenting it in a way that could be understood or used for benchmarking purposes, requires the use of a solid energy management information system or EMIS. External data involves energy and water consumption data of a similar building or an established standard.
Mandatory energy benchmarking for buildings is increasing in many cities to meet specific required standards. You don’t have to wait until your city or state makes benchmarking a compliance requirement. Energy benchmarking is not only a responsible practice that helps protect the environment, but it also provides you with many benefits:
Energy benchmarking helps companies/property owners improve the operational performance of their buildings by providing a framework for improvement. The systematic approach to improvement also helps expose gaps and identify efficiency standards.
Benchmarking your energy consumption against a similar building or a building’s past performance can help locate machines, assets, or outlier occupants who may be wasting energy. This helps you prioritize improvement areas and develop an action plan.
Increases awareness by allowing internal data to work with external data, providing valuable information, establishing reference points, and identifying best practices. Comparing past performance or a similar structure’s performance helps recognize the extent of improvement required to achieve similar performance. For example, recognizing that your building may need the same retrofits as a building similar to yours is already benefiting from.
By leveraging existing knowledge about the effectiveness of certain past energy-saving implementations or new technology adoptions, you can determine ROI to stakeholders for proposed retrofits, such as submetering, smart HVAC, smart sensors, fixture upgrades, and building envelope. Increasing control over energy and resource costs by limiting their use and managing their costs improves profits.
Knowing where each building compares with the best performer on your fleet, and how your company measures up against industry energy-use averages is a great starting point to becoming the best performer.