OREANDA-NEWS. Energy efficiency is key to improving Europe's energy security, and the EU's most important law to boost energy efficiency – and meet the target to cut energy use by 20% by 2020 - is the Energy Efficiency Directive.

One of the rules contained in the Directive requires EU countries to ensure that large enterprises carry out energy audits. An energy audit is a thorough assessment of the energy consumption of a company including its buildings, processes and transport use. Its goal is to identify cost effective ways to save energy. Audits can identify often quite simple ways for companies to save energy and money such as properly insulating pipes in a factory. 

As an alternative to regular energy audits, large enterprises can put in place an energy management system. This means they implement a strategy for achieving the company’s energy saving objectives.

Large enterprises were required to carry out an energy audit by 5 December 2015, and at least every four years after that. Meanwhile, small and medium sized enterprises (SMEs) should be encouraged to carry out regular energy audits, according to the Directive.

A recently published study has found that most EU countries have activated these rules for large enterprises. The exact definition of a 'large' enterprise differs from country to country. However, some countries are still in the process of transferring the EU rules into their national legislation.

The study – called 'A Study on Energy Efficiency in Enterprises' - also found that some EU countries provide financial incentives for some companies to carry out audits. Meanwhile, in many countries across the EU, national governments have set up information-providing events, helplines and online portals to exchange information and create tools to help companies implement the rules.

According to the study, some EU countries will carry out mandatory audits on large enterprises to ensure the rules are being adhered to; others will check a random sample of companies. Penalties for non-compliance range from €10 000 in Austria to €200 000 in Romania.

For smaller companies, the study found that financial support schemes are in place to help companies to carry out energy audits. In Germany, for example, the German SME Energy Consulting Programme provides up to 80% of the cost with a €8 000 ceiling.

The study was carried out by Ricardo Energy & Environment and the Fraunhofer Institute for Systems and Innovation Research on behalf of the European Commission.