By combining energy management systems, decentralized generation and storage solutions, facility managers have a strategic opportunity: to transform their buildings according to the "building as a grid" model, says Kamal Mehta, Product & Offer Manager EMEA at Eaton.
Rising energy costs continue to increase pressure on teams responsible for building management and operations (facility management). It is precisely in this context that technologies related to smart buildings can generate savings, and even new sources of revenue. Facility managers are thus called upon to play a key role in achieving carbon neutrality goals.
Let us recall that today more than one third of global greenhouse gas emissions are directly linked to the building sector. Equipment such as HVAC (heating, ventilation and air conditioning) systems and electrical installations contribute heavily to these emissions. Increased electrification of heating and cooling, combined with ambitious energy efficiency measures, can therefore make a real difference.
As facility managers make sustainability a priority, they must contend with growing competition for access to electricity. This pressure is fed by the rise of electric mobility and the rapid expansion of data centers. Result: the increase in electricity demand often exceeds the capacity of networks and energy suppliers to guarantee a stable and reliable supply.
The way building management and operations teams explore energy self-sufficiency strategies proves crucial, notably thanks to a new generation of energy management systems. These systems have evolved considerably since their beginnings, when they were only simple monitoring tools.
By integrating data collected by different smart systems — IoT sensors, meters or building management systems (BMS) — facility managers now have a 360° view of buildings' energy consumption. This includes several areas, such as lighting, HVAC and electrical equipment, across one or multiple sites. By consolidating a large volume of detailed data, an energy management system can identify consumption trends and recommend concrete avenues to improve energy efficiency.
A study conducted in 2024 in the United Kingdom confirms that return on investment tops the list of barriers mentioned when it comes to starting a smart building project.
This improved visibility of current and future consumption also makes it possible to answer a key question: that of return on investment. A study conducted in 2024 in the United Kingdom among 451 professionals confirms that return on investment tops the list of barriers mentioned when it comes to starting a smart building project. Energy management systems can precisely help improve this return on investment by strengthening a building's energy autonomy and reducing its costs through more efficient use of energy.
One avenue is to financially valorize investments made in buildings equipped with on-site energy production means and battery storage systems. New sources of revenue can thus be generated, improving the project's return on investment.
For teams responsible for the management and operation of multiple buildings, advanced software and communication technologies even allow coordinating different decentralized energy resources, such as solar panels and batteries. These can then operate like a true virtual power plant, capable of coordinating and autonomously managing supply and demand of energy.
The Florian Hotel, a 150-room establishment set up in a former disused office building near Schiphol airport in the Netherlands, illustrates well what is possible. Due to a limited connection to the electrical grid, the hotel uses an energy management and optimization system associated with solar panels and a battery park installed on site.
By storing electricity from the grid or surplus renewable energy during off-peak periods to release it during peak demand hours, the Florian Hotel now no longer exceeds the caps provided by its electricity contract. Energy is notably stored at night, when demand is low, then used during the day. The electricity produced by the solar panels is, for its part, largely consumed directly on site rather than stored.
Deregulation of the electricity sector should allow buildings to play a more active role as producers of energy injected into the grid.
The setup proved sufficiently effective to allow the hotel to power nine electric vehicle charging stations throughout the day and to earn revenue from them. In total, the energy management and optimization system has allowed it to reduce its CO₂ emissions by 15 tons per year. Reproducing the Florian Hotel's success will, however, depend on market conditions, notably the ability for building operators to participate in energy markets.
Deregulation of the electricity sector should enable buildings to play a more active role as producers of energy injected into the grid. Public policies encouraging demand-side management and the deployment of storage systems will also be decisive. They will encourage wider adoption of energy management systems capable of optimizing consumption or selling electricity during demand peaks.
By combining energy management systems, decentralized production, and storage solutions, facility managers today have a strategic opportunity: to transform their commercial or public buildings according to the "building as a grid" model. This approach promises to be a winning way to reconcile energy performance, decarbonization and long-term financial profitability.
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