8 Shocking Ways Energy Benchmarking Laws Are Changing Your Business

8 Shocking Ways Energy Benchmarking Laws Are Changing Your Business
6 min read

In an era where climate change and resource depletion are at the forefront of global concerns, the spotlight shines ever so brightly on the imperative of energy efficiency. As a business owner or manager, you may have encountered the term energy benchmarking laws but perhaps have not fully grasped their extensive impact on the day-to-day operations and long-term strategies of your enterprise.


Energy benchmarking, the practice of measuring a building's energy use over time and comparing it with its past performance or that of similar buildings, is no longer an optional enterprise luxury. It has metamorphosed into a statutory obligation in many regions, aiming to make energy consumption transparent and push for a greener economy. 

These laws aren't just another hoop to jump through; they are reshaping business models, operational methodologies, and even corporate philosophies. Comprehending their scope and aligning your business accordingly isn't just good foresight; it's becoming a critical aspect of maintaining a competitive and compliant business. 

Understanding Energy Benchmarking Laws

At its core, energy benchmarking laws compel companies to keep tabs on their energy usage and report the data to respective authorities. Often public disclosure is required, making the information accessible to potential clients, partners, and the general public. 

The objectives of these laws are multilayered. Primarily, they aim to encourage energy efficiency and conservation by making businesses more accountable for their energy consumption. Additionally, they serve as a means to reduce greenhouse gas emissions and combat climate change by nudging businesses towards cleaner energy practices. 

How Energy Benchmarking Laws are Changing Your Business 

  1. Raising Awareness about Energy Usage

Knowledge is the first step toward change. By mandating energy benchmarking, laws have elevated the understanding of energy usage within business operations to new heights. Companies are now more aware than ever of their energy footprints, enabling them to pinpoint inefficiencies and identify areas for improvement. 

  1. Promoting Energy Efficiency

The adage "you can't manage what you don't measure" rings true here. Energy benchmarking laws nudge businesses to scrutinize and optimize their energy use. This could manifest in various adaptations, such as retrofitting older buildings with better insulation, installing LED lighting, or adopting smart thermostats that control heating and cooling systems for maximum efficiency. 

  1. Reducing Operating Costs

A direct benefit of increased energy efficiency is the reduction in operating costs. Energy costs can constitute a considerable portion of a business's overhead. Thus, any savings translate to an improved bottom line. A study by the U.S. Environmental Protection Agency showed that energy benchmarking and targeted improvements could lead to an average energy saving of 2.4% per year, with cumulative savings being significantly higher. 

  1. Enhancing Business Reputation

Sustainability is increasingly interwoven with corporate identity. In a market where consumers and clients are more environmentally conscious, a business known for its green initiatives and energy-saving measures enjoys enhanced prestige and a stronger reputation. This reputational boost is invaluable in attracting eco-aware customers and top-tier employees who prioritize environmental responsibility. 

  1. Spurring Innovation

Challenge breeds innovation. As businesses strive to meet or exceed the standards set forth by energy benchmarking laws, there's a surge in demand for new technologies and services. This demand acts as a catalyst for innovation within the energy sector, leading to breakthroughs in renewable energy, energy storage, and smart energy management systems. 

  1. Facilitating Regulatory Compliance

Adhering to energy benchmarking laws inherently prepares businesses for compliance with broader environmental legislation. Regular energy auditing and reporting ensure that companies are constantly aligned with current regulations, thus avoiding penalties and the reputational damage associated with non-compliance. 

  1. Encouraging Sustainable Business Practices

The implementation of energy benchmarking laws is a step towards a more sustainable future for businesses. These laws not only reduce the environmental footprint of each enterprise but also engender a holistic approach to sustainable business practices, from resource management to waste reduction and beyond. 

  1. Creating a Competitive Advantage

In the business world, differentiation is key, and energy efficiency provides a formidable edge. Companies that excel in managing their energy consumption can position themselves as leaders in sustainability, appealing to a growing segment of the market that favors eco-friendly products and services. 

 Overcoming the Challenges of Energy Benchmarking

The journey to compliance with energy benchmarking laws is not without obstacles. Businesses may face initial financial outlays for energy audits and upgrades, logistical complexities in data gathering and analysis, and the need for training staff to adhere to new practices. To overcome these challenges, businesses can seek energy-efficient grants, invest in comprehensive energy management software, and engage with consultants specializing in energy compliance. 


The wave of changes brought about by energy benchmarking laws is not just a regulatory trend but a transformational shift in how businesses operate and envision the future. As businesses integrate these practices into their core strategies, the long-term benefits of reduced costs, improved reputations, and a healthier planet become a tangible reality. Ultimately, energy benchmarking laws are not only changing the way businesses operate; they're paving the way for a more sustainable and efficient world for generations to come. 

VertPro serves as a resourceful platform for property owners and managers seeking to enhance their buildings' energy efficiency. The site offers a range of services, including Commercial Energy Audits, Benchmark Compliance consultancy, and a Construction Marketplace. At the heart of VertPro® is a suite of SaaS technology-based solutions designed to assist in navigating the complexities of Energy Benchmarking and Energy Audits/RCx Plus, while ensuring adherence to over 60 Energy Benchmarking and Energy Efficiency Laws across the country. 

For those looking to improve their property's energy usage and operational value, VertPro.com provides a diverse array of tools and information. The site aims to facilitate a better understanding of energy efficiency practices and legislation, helping building owners and property managers make informed decisions about their energy strategies while complying with all energy ordinances and laws.

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