How to Improve Industrial Energy Efficiency

Michelle Horsfield

25 years: Sustainable Finance

Industrial energy efficiency starts with understanding how energy is used and wasted. Join Michelle Horsfield as she explains how audits, operational insight and targeted investment can cut costs, reduce emissions and deliver meaningful impact.

Energy

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How to Improve Industrial Energy Efficiency

3 mins 44 secs

Key learning objectives:

Understand how energy audits identify efficiency opportunities in industrial settings
Distinguish between low-cost operational fixes and capital-intensive upgrades
Recognise why industrial efficiency is critical to meeting global climate goals

Overview:

Industrial energy efficiency is one of the fastest and most cost-effective ways to cut emissions. By combining engineering insight, operational knowledge and clear ownership, organisations can unlock significant savings using existing technology. The scale of the opportunity makes efficiency a core pillar of the energy transition.

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Summary

How can industrial sites identify energy efficiency opportunities?
Energy audits are the starting point. They combine technical analysis with practical input from operators who understand how systems actually run. This approach reveals where energy is wasted, highlights quick wins, and surfaces larger improvement opportunities.

What types of efficiency measures typically emerge?
Opportunities usually range from simple operational changes, such as switching off unnecessary equipment, to larger investments like upgrading motors, tools or on-site generation. Many low-cost actions can be implemented immediately, while capital projects are planned into longer-term business cycles.

Why is industrial energy efficiency so important?
Efficiency reduces energy demand before new supply is needed. Modelling by the International Energy Agency shows that existing, cost-effective efficiency measures could deliver a large share of the emissions reductions required to meet global climate targets. This makes industrial efficiency essential, not optional.

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Michelle Horsfield

Michelle Horsfield, an environmental scientist with a climate change specialisation, transitioned into the financial sector four years ago to apply her knowledge to the largest reallocation of capital in history, as the economy moves towards a lower carbon future.

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