Energy efficiency in business: examples, tips and optimisation through IoT solutions

06.08.2025 by Annalena Rauen


 



Rising energy costs, climate protection – there are many reasons why companies should manage their energy consumption more efficiently. A key strategy in all this? The right energy efficiency in business. But what exactly does that mean, and how can it be implemented? 

What does energy efficiency in business actually mean?

Energy efficiency means that companies achieve maximum results in every activity with the lowest possible energy input. In other words: they minimise energy consumption while maintaining production or performance. In doing so, companies also reduce negative environmental impacts – such as CO₂ emissions. 

This is a step that is urgently needed! According to the German Environment Agency (2022 statistics), 85 per cent of greenhouse gas emissions come from energy sources such as electricity and heat. These can be drastically reduced through various measures.

For example, IoT solutions such as smart buildings play a key role. These intelligent systems analyse energy demand in real time and adjust consumption to actual usage. This reduces energy consumption and minimises operating costs – less energy consumption means less CO₂ emissions. Every kilowatt hour of electricity consumed emits 363 grams of CO₂
In addition, companies that are committed to climate protection benefit from a better public image. After all, such a stance is appreciated by both skilled professionals and customers.

What does the Energy Efficiency Act mean for businesses?

The core element of all this is the Energy Efficiency Act (EnEFG), which came into force at the end of 2023. It was introduced by the government to systematically reduce energy consumption and meet the climate targets set by the European Union by 2030

EU legislation makes all member states responsible

The so-called European Green Deal was adopted by the 27 member states on 15 January 2020. It stipulates that all member states must be completely climate-neutral by 2050. As an interim target, the EU aims to reduce greenhouse gas emissions by at least 55 per cent by 2030. The reference point is the level in 1990. 

How does the EnEFG contribute in practical terms – and does it apply to all companies?

The Energy Efficiency Act obliges companies to comply with or implement specific energy efficiency requirements, such as: 

  • regular energy audits
  • identifying measures to reduce consumption
  • implementing energy management systems

This means companies can no longer focus solely on their own goals, but must align with binding reduction targets for overall energy use.

Does the Energy Efficiency Act apply to all companies?

Yes, the act on energy efficiency in business applies to all companies. However, depending on company size and consumption, different regulations apply. These are as follows: 

Energy consumption
Measures

< 2,5 GWh / year

DIN 16247-1

> 2,5 GWh / year

DIN 16247-1 or ISO 50001 or EMAS or DIN EN 17463 (VALERI)

> 7,5 GWh / year

ISO 50001 or EMAS or DIN EN 17463 (VALERI)

What are some examples of energy efficiency in industry?

Industry is already showing how energy efficiency in business can work. They are pursuing a wide range of approaches to identify potential savings. Here are three practical examples

  • Heat recovery: A few years ago, industrial facilities generated waste heat (exhaust gases, cooling water, steam) that went unused and was simply released into the atmosphere. With heat recovery systems, however, this waste heat can be reused in other equipment or processes. This significantly reduces energy consumption and increases energy efficiency in business.
  • Optimising production processes: At this stage, industrial companies often rely on IoT solutions . These can optimise production processes in various ways. For instance, energy consumption can be analysed in real time. Inefficient machines can thus be identified at an early stage and processes adjusted. At the same time, the solutions help to increase sustainability. Through monitoring, it is possible to reduce material offcuts and scrap. This means less waste is generated and operating costs are reduced. Special environmental and energy management systems can help with implementation.
  • Switching to green energy sources: Switching to renewable energy sources such as solar and wind energy not only contributes to sustainability but can also lower energy costs in the long term. In addition, companies that switch to renewables indirectly reduce CO₂ emissions, as the consumption of fossil fuels is considered one of the biggest contributors to carbon dioxide emissions. The Federal Office for Economic Affairs and Export Control (BAFA) has launched a special funding programme for businesses in this area.

So the industrial sector already demonstrates through various measures how energy efficiency and climate protection can go hand in hand in business. IoT solutions in particular stand out – technologies that will become increasingly important in the future. They allow numerous processes to be further optimised by digitally recording and managing energy flows. Intelligent metering systems  prioritise the use of self-generated energy and identify peak demand periods to manage costs and investments efficiently.

What energy-saving tips are there for companies?

So now you know how industrial businesses contribute to greater energy efficiency. But what can you specifically change in your own company? Below, we present several practical measures. Please note that these always depend on the sector: 

  • Energy-efficient lighting: Offices, production halls, warehouses or outdoor areas – in all areas, you should switch to LED lighting. LED lights consume 50 per cent less energy than traditional fluorescent tubes! You should also consider IoT solutions here. Intelligent lighting control can, for example, optimise daylight use through brightness sensors. In unused areas, the lights can automatically switch off.
  • Energy-efficient products and equipment: When purchasing products and systems, pay attention to the energy efficiency class (EU energy label), the appropriate size and energy consumption. This can generally lead to a significant reduction in energy use.
  • Employee training: It’s important to get your employees on board. According to experts, this can reduce energy costs by 5 to 15 per cent. The main goal should be to raise awareness of efficient ventilation, heating and lighting. Topics such as switching off unused devices should also be covered in training.
  • Optimised heating, ventilation and air conditioning systems: This measure offers considerable savings potential. Modern systems allow central control to regulate room temperatures more precisely. Particularly at night or during non-operating hours, systems can easily reduce the temperature by a few degrees to cut energy use and costs.
  • Automatic consumption control, optimisation and digitalisation: This is more of a future-oriented step. With the help of BMS (building management systems), you can automatically control various processes in the building and equipment. BMS stands for measurement, control and regulation technology – a measure supported by the Federal Ministry for Economic Affairs and Climate Action (BMWK).

What is included in the energy efficiency class?

The energy efficiency class of a device or building indicates how efficiently it uses energy. In the EU, the energy label shows classes from A (best) to G (worst). Buildings may also have a class H. The following aspects are particularly important for businesses: 

  • Energy consumption: Lower energy demand means lower operating costs.
  • Colour scale: From green A (efficient) to red G or H (inefficient) for easy orientation.
  • Life cycle costs: Energy-efficient devices can lead to significant savings over their full operational lifetime.
  • Stricter criteria since 2021: Higher requirements improve the quality of classification and encourage sustainable investment.

The advantage of energy efficiency classes for businesses? With the right devices, systems or buildings, companies can reduce operating costs in the long term. This may even offer a competitive edge, as the newly saved budget can be used elsewhere.


 

Improving energy efficiency in companies – with public funding

The federal government has now introduced various funding programmes to improve energy efficiency in business. This means: you don’t have to bear all implementation costs alone. One of your first points of contact for energy efficiency in business could be the German Energy Agency (Dena). Since 2011, it has been advising and supporting companies on their way to greater energy efficiency.


 

IoT connectivity with best coverage for your IoT project


IoT connectivity with best coverage for your IoT project

Whether sensors, vehicles, or machines – every IoT application has its own connectivity requirements. With Deutsche Telekom, you get reliable, secure, and scalable IoT connectivity worldwide – tailored to your project and ready for the future.

More about IoT Connectivity


Whether sensors, vehicles, or machines – every IoT application has its own connectivity requirements. With Deutsche Telekom, you get reliable, secure, and scalable IoT connectivity worldwide – tailored to your project and ready for the future.

More about IoT Connectivity

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Annalena Rauen
Annalena Rauen

Marketing Manager IoT

Back in 2016, Anna worked on IoT topics at Deutsche Telekom for the first time. Since then, she has been supporting customer best practices in a wide range of industries – always focusing on the benefits that the Internet of Things can provide. Her IoT blogposts describe real use cases and the value these innovations add to market players, their business models, and even entire industries.