Energy Management: Everything You Need To Know To Get Started

grandiosely What is Energy Management?


Energy Management is the proactive approach that includes planning, operation, and technologies adopted to optimise the production and consumption of energy for environmental and economical benefits.

From a commercial, domestic, and even societal standpoint, it is vital to minimize the wastage of a resource as important as energy. Apart from the obvious financial implications of such frivolous usage of energy that has short-term effects, the long-term effects in terms of environmental damage and resource scarcity can prove too costly.  management is an initiative that will be crucial for a better future and its adoption is worth the initial investment. KNX Energy management is such an initiative that aims for a sustainable future that is beneficial for organisations, the people, and the planet.


Buri What is the importance of Energy Management?


Ōami Environmental: The current climate crisis that the world faces is a highly urgent issue that needs to be addressed. Every single person can play their part in building towards a sustainable future for the following generations. The over-reliance on energy from fossil fuels and its unmonitored consumption is one of the primary causes of the current environmental emergency.

Energy Management is a way to bring about a significant change in how energy is generated and how much energy is consumed. It also brings about a shift in the way of how energy and its conservation is viewed. By promoting an outlook that encourages sustainable actions, energy management can function as a tool for companies and organizations to transition into a more sustainable one. Economical: Energy is an irreplaceable requirement that companies and organizations depend on and its consumption entails a significant cost for the everyday operations of an organization. Up to 40% of operating costs during the lifetime of a building are spent on energy, as revealed during the KNX Smart Energy Summit. With energy management, the excess and inefficient consumption of energy can be avoided, which translates into significant savings every month.

Moreover, reducing the carbon footprint of an organization can mean that any cost-related implications from carbon taxes or regulations can be minimized. It also aids in promoting a green and sustainable image for the company among most of its target audience, which has been proven to be beneficial for the bottom line.


Reducing risks: When the demand for energy decreases, so do the risks associated with it such as higher prices, compliance fines, and energy dependency. By reducing the demand for energy, the prices of energy will be more likely to remain stable and feasible. This also helps to accurately predict and manage future energy requirements, thus reducing uncertainties.

Moreover, energy management also includes self-sustainability with the adoption of renewable energy within the organization. This diversification of energy sources also helps in mitigating any possible issues that may arise from a shortage of energy. The reliability of the network or grid rises due to this as the stability also increases. It could also mean that the energy generation costs can be reduced by employing more efficient generation units and with the availability of more sources of energy.


How does Energy Management work?


Energy management, in principle, has four key steps that cover all major aspects of the most common projects.

  1. Collecting the energy consumption data: Any energy management project must have a solid energy consumption data collection system set up that acts as the foundation for the same. Monitoring how much energy is consumed where and when is what serves as the basis for analysis and any optimization efforts. Hence, it is absolutely vital that the right data is captured. Energy meters are the tools that allow for accurate measurements. In simple organizations and infrastructures, the energy consumption data points to be measured is fairly straightforward. However, more complex industrial systems, with elaborate energy sources and consumption outlets, may require careful planning in the installations of energy meters.
  2. Analysing the data collected: Once the data is collected, it is analysed to find opportunities where energy can be saved. The data that is taken over a set period can be made more clear with visualisation tools. The various avenues of optimisation can be then laid out and prioritized.
  3. Optimising on the basis of the analysis: The prioritization and implementation of the optimisation activities for energy consumption can vary depending on the organisation and its goals. Urgency, ease of implementation, cost of implementation, savings, changes in operations, long-term or short-term and many such factors can influence which optimisation recommendation is implemented first. There are many technologies that are available that cater to providing smart energy management solutions. From HVAC and building automation systems to home energy management systems, these are some of the common technologies and solutions that make sure that the energy management practices are adopted widely and taken to the next level.
  4. Tracking the improvements and further optimisations: As with any measures that have a goal of optimising something, energy management also does not stop after the implementation of one initiative. It is a continuous process and further avenues of improvement must be explored. Even the efficiency and success of the measures implemented must be tracked and charted across the estimated benefits for future reference. This way the process essentially becomes a loop with the goal of constant improvement.


Where is Energy Management Applicable?


Energy Generation:

Energy management can be applied right from the supply side of electricity. With better control of energy generation units and an understanding of the demand, the cost to generate power can be minimized. Demand-side management to influence the energy consumption habits also falls under energy management practices that can be employed by energy suppliers.



The benefits of energy management are not exclusive to commercial or institutional purposes. Every household can adopt energy management into its daily activities and contribute to energy conservation, sustainability, and renewable energy production. Smart home energy management can improve energy efficiency but it also allows each household to become self-sustainable with their own self-generated renewable energy.

Home Energy Management Solutions (HEMS) are the perfect systems that allow homeowners to monitor and control their energy consumption. Not only do they help in energy savings but also in automating and managing household activities that involve devices that use energy. In many cases, these devices are from various manufacturers and do not follow a common protocol for communications and operations. This is why a central unit that unifies all these disparate devices is vital for better control and energy management.



As the prevalence of electric cars grows and consumers grow more conscious of their carbon footprint, so does the opportunity to manage the energy requirements of these electric vehicles. Electric vehicle charging stations make use of energy management for monitoring and ensuring optimal usage of energy. Even individual households also have EV chargers installed for their cars. Homes with the aforementioned HEMS use smart devices that can automate and manage energy consumption. This way the charging of electric vehicles can be done in a more efficient way that does not interfere with the usage of other electric devices.


Buildings / Infrastructure:

Beyond simple households, buildings also have energy management systems that can be installed to make them more energy-efficient. Building management systems (BMS), also known as building automation systems (BAS), play an important role in controlling and managing various types of electric equipment within a building such as Heating, ventilation, and air conditioning (HVAC), lighting, security systems and many others.

Energy management can be taken to the next level by having various buildings or households capable of communicating with each other. This can be housing complexes, townships, or even large factories and industries. Such networked infrastructure of smart homes, buildings, and other setups provide the basis of a sustainable smart city.


Smart Cities:

The smart cities of the future rely on the seamless flow of communication among the various power sources, households, buildings, and other infrastructures. With diversified energy generation and storage, the power grid will be more dynamic and energy efficient to be transformed into a smart grid. This is done with the help of IT, advanced automation, and communication systems. These are also known as information and communication technology (ICT) and KNX offers the interfaces needed between the city of the future and smart grid communications infrastructures.

To fully realize the potential of a truly smart city, IoT will also play an important role that enables the collection and communication of data on energy consumption that will serve as one of the foundations of energy management. With the urban areas being responsible for 70% of greenhouse gases and home to more than half of the population, KNX is committed to the goal of transforming cities of the future into more sustainable ones.


To sum it all up: Energy Management is here to stay


Energy management will become a much more prominent term in the future and will become an important and necessary part of how energy is generated, consumed, and viewed. The ever-growing and looming concern of the climate crisis means that it is imperative that a more sustainable and energy-efficient way of living is adopted. Moreover, the financial benefits of energy management give it an attractive incentive that makes it worth the investment.

There are many aspects of energy management where it can find its application. Right from an individual level of smart homes to a grander level of smart cities, it can bring about a change in energy efficiency that can make a sizable impact on the conservation of energy. Though it has some initial barriers in terms of investment, operations, and installations, the benefits outweigh the costs. Moreover, KNX offers many solutions that are aimed to simplify and improve the level of energy management practices across all its applications.