Are Companies Ready for the New Energy Economy?

The recently concluded 2018 World Economic Forum in Davos focused extensively on energy and environmental challenges that companies are facing to ensure they attain their sustainability commitments. Most of the corporate participants at Davos agreed that they need to integrate and advance their energy and sustainability programs on an urgent basis to address the issues arising out of rapid climate change. Yet a new study by Schneider Electric, reveals that while most organizations feel prepared for a decentralized, decarbonized and digitized future, many are not taking the necessary steps to fulfil that ambition.

This false sense of security can be attributed to the finding that most companies still take conventional approaches to energy management and climate action. And the gaps in implementation are further complicated by limited coordination between procurement, operations and sustainability departments, as well as inefficient data collection and sharing. According to the survey of almost 240 large corporations ($100 million in revenue or more) from around the globe, 85 percent of respondents said their company is planning to keep its carbon-reduction plans competitive with industry leaders. But the projects that have been initiated or are in development skew heavily toward energy, water and waste conservation.

The study was conducted by GreenBiz Research to identify how businesses develop energy and environmental strategies, collect and share data, and coordinate across departments — a practice known as Active Energy Management. Participants included professionals responsible for energy and sustainability management, from C-suite and board members to individual contributors. Companies surveyed represent 11 primary segments, including consumer goods, energy/utilities, finance, industrial, healthcare and technology. Results of any sample are subject to variation

Read more about the study here.