Soaring prices boost energy efficiency, says new Johnson Controls Inc. survey

LONDON: The fifth annual global Energy Efficiency Survey shows that high energy costs are driving green growth in the North American building sector, as building owners compete to improve energy efficiency to reduce costs.

The survey, which was led by Johnson Controls’ Institute for Building Efficiency, the International Facility Management Association and the Urban Land Institute, reviewed almost 4000 global building owners and operators.  

After cost reduction - the top motivator for energy efficiency - the results also show that government incentives and improved public image are important to building owners.

Results reveal that 75% of those surveyed have set energy or carbon reduction goals.

Highlights from the survey include:

• Government incentives and enhanced public image rank second and third respectively as energy efficiency improvement motivators
• Eight in ten building owners surveyed are expecting energy prices to soar in the next year and are setting an average reduction target of 12% to compensate
• The main challenges to reaching these goals include access to funding and limited profits, with ‘barriers to capital access’ topping the list in North America (38%) and Europe (30%)
• India showed most interest in energy management at 89% of those surveyed, followed by China at 85%, North America at 66% and Europe at 61%
• Lighting, ventilation, heating, air conditioning and controls improvements are most commonly used to increase energy efficiency
• 75% of those surveyed have set energy or carbon reduction goals

Dave Myers, Vice President and President of Building Efficiency for Johnson Controls says: "Regardless of the motivations, buildings account for 42% of global energy usage, so the growing trend of making buildings more energy efficient is smart business, helps create local-market jobs, and benefits the environment. We applaud building owners for stepping up efforts to make their facilities more energy efficient and sustainable."

Mark Kenber, CEO, The Climate Group says: “A step change improvement in energy efficiency lies at the heart of the Clean Revolution needed to create a vibrant low carbon economy that ends global warming and provides sustainable long-term prosperity. This survey shows that it is also makes economic and financial good sense, particularly in a world where energy prices are forecast to continue rising and fuel costs become an ever greater drain on companies’ resources.”

Johnson Controls Inc. is a member of The Climate Group