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Purchasing energy management solutions


Segment    Family    Class




SDG Alignment

7. Ensure access to affordable, reliable, sustainable and modern energy

SDG Target


Target Description

By 2030, increase substantially the share of renewable energy in the global energy mix

Level of Effort

Level of Effort Scale


1 -Quick Wins: solution involves adding criteria for the good or service being purchased (ex: certifications), minimal internal process changes.

2 -Long Term Adoption: solution requires some changes to internal processes and/or more capital investment (ex: digital transformation to reduce paper use).

3 – Disruptive Opportunities: requires significant investment and changes to internal processes (ex: retrofitting building)

Category Assessment

ETCH Procurement Process .png


• Audit facility power quality and identify energy usage cost and conduct a Power Quality IQ test. Evaluate power reliability, quality, and energy use. How stable and clean is your power? Are there disruptive voltage fluctuations, equipment malfunctions, complete power shutdowns?

• Research options for power and energy management systems that can reduce costs and improve operational efficiency. Look into power factor correction, voltage stabilization, harmonic filtering, reactive power compensation.

• Conduct an end of life review by analyzing frequency of equipment disposal, the current methods of removal, and a sustainability gap analysis.

Opportunity Identification 

Reduced utility and operating costs while minimizing downtime to fix equipment

Improved energy efficiency, less waste of premature aging of equipment.

Strategy Build & Execution

• Based on the research conducted, establish the goals and targets that would fit your organization's gaps in adopting a sustainable initiative.

• Build the strategy on the most viable sustainable energy management solution of choice for your organization (based on size and capital available to the cause).

• Align internal stakeholders and decision-makers towards the sustainability initiative by educating them on the benefits and potential sacrifice in quality that comes with adopting the initiative.

Supplier Negotiation & Contract

• The inclusion of a warranty clause with guaranteed quality during the contract establishment, as the alternative, might fail to meet the standard requirements.

• Ensure that suppliers apply and qualify for the energy star efficient equipment, and this confirmation needs to be monitored.

Supplier Performance & Management

• Perform annual Supplier Relationship Review as a requirement for sustainability reporting by monitoring and tracking power quality IQ and the frequency of equipment disposal.

• Maintain records of energy fluctuations, the turnaround time for complaints, rebates program, profit and loss reporting (cost savings/benefits reaped), purchase and operations costs.

• Ensure regular follow up with the service provider to ensure that initially agreed upon demands are met at industry standards.
Conduct internal reviews after the new management solution has been implemented to evaluate the operational value and compare it to historical data.

Resource Links

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