How do you lower energy consumption without new machinery?

Higher OEE can reduce energy use per approved unit by increasing productivity, for example through fewer stops and less scrap. The effect depends on how energy use and production change and needs to be verified through measurement. Reduced idling can decrease energy use, while shaved peak loads can lower demand charges without reducing total kWh.

Energy has gone from being a cost item far down the income statement to being on the executive management's weekly meeting agenda. Energy prices have risen and fluctuated significantly. Customers are placing stricter demands on climate data. Furthermore, production and energy data can become part of the basis for sustainability reporting.

The EU's target is to reduce final energy consumption by 2030 by at least 11.7% compared to the 2030 forecast made in the EU's 2020 reference scenario. This is a target for the EU as a whole, not an identical percentage requirement for every factory.

European Commission: energy efficiency targets for 2030

The EU's climate targets apply to greenhouse gas emissions. Net emissions must be reduced by at least 55% by 2030 compared to 1990, and the EU must be climate neutral by 2050 at the latest. Energy efficiency can contribute to these goals.

European Commission: European Climate Law

The common reaction is to start looking at investments. New, more energy-efficient machines. Solar panels on the roof. Heat recovery. It all makes sense in the long run. But starting at the other end is usually faster, cheaper, and yields a greater impact.

This guide explains how to lower energy consumption in an existing factory by working with productivity and losses. We show why production and energy are more closely linked than most people think, which concrete measures yield the greatest impact, and how a platform for improvement work becomes the engine of the effort.

How are productivity and energy consumption linked?

Productivity and energy are linked because a machine consumes energy even when it is not producing. Fewer stops and less scrap mean more approved units for the same energy. Yet, most factories measure energy consumption on a monthly or quarterly basis, and the figure is reported to management and stays there. It says little about what is actually happening in production.

When we instead break down energy consumption and link it to production data, a different picture emerges. Measurements from various industries show that a stopped machine rarely consumes zero. Idling, ventilation, heating, auxiliary systems, control equipment, and compressed air consume energy even when nothing is being produced. An idling machine can consume a large portion of the energy it uses during full operation, depending on the type of equipment.

Combine that with a typical OEE value. The industry average lies between 50 and 60%. This means that roughly 40 to 50% of machine time is non-value-adding. Research from Chalmers University of Technology shows the same pattern for energy: in a typical factory, about 67% of energy goes toward value-adding work. The rest is lost to downtime, changeovers, micro-stops, and speed losses where production is not occurring, but the energy meter keeps running.

This is the hidden connection. Fewer stops mean less idling. Faster changeovers mean less wasted heating energy. Fewer quality losses mean raw materials and energy are not used on products that are subsequently discarded.

This makes energy work a part of improvement work, not a parallel track. And it changes where the big savings are found.

How much can a factory save?

A factory with EUR 100 million in turnover can realistically save approximately EUR 125,000 per year in energy costs, and reduce climate impact by 60 to 80 tonnes of CO2 equivalents through systematic work with losses and consumption. The example is based on a typical OEE level and a common energy intensity in manufacturing.

The largest share does not come from new machines. It comes from utilizing existing machines better. Less idling. Fewer changeovers with the same heating energy. Less scrap. Better interaction between operators, maintenance, and planning.

For a factory or production manager, this is a situation where profitability and sustainability point in exactly the same direction. What lowers energy consumption also lowers the production cost per unit and strengthens competitiveness.

How can production, energy use, and demand charges be improved?

Two working methods complement each other: improving production and reducing energy use during operation. Monitor both total energy use in kWh and kWh per approved unit. Shaving peak loads is a separate measure that affects the maximum simultaneous power in kW and can lower demand charges, but does not automatically reduce total kWh.

Method 1: produce more in the same time

This method is about getting more approved units out of the same operating time.

If OEE increases from 55 to 65%, with unchanged planned production time, product mix, and ideal cycle time, the number of approved units increases by approximately 18.2%. If total energy use simultaneously remains unchanged, energy use per approved unit decreases by approximately 15.4%. The calculations are 65/55 − 1 and 1 − 55/65 respectively. Unchanged total energy use is an assumption in this example.

The way to get there is through classic lean and OEE improvement. Identify the biggest losses, prioritize, implement measures, measure, and iterate. This work is best driven by a platform where the entire team, from operator to production supervisor, works with the same data and the same loss categories.

Method 2: reduce energy use and manage peak loads

The second path involves measuring energy use and peak loads under different operating conditions and choosing measures based on the results. Distinguish between measures that reduce total energy use in kWh and measures that shave peak loads in kW.

A few concrete measures that yield results:

Peak shaving. Shaving peak loads means reducing the highest simultaneous power demand, measured in kW. This can lower demand charges depending on electricity contracts and grid fees. It does not automatically mean that total energy use, measured in kWh, decreases.

Compare similar machines. Two machines with the same task can consume very different amounts of energy. In a pilot plant, one machine (called Msk16) consumed 7 kW during normal operation, while the corresponding Msk14 consumed 12 kW for the same type of work. The difference was only discovered when someone measured. There was a mechanical adjustment to be made, and consumption dropped.

Choose the right technology for the right job. Electric injection molding typically consumes around 10 kWh per production cycle, while hydraulic injection molding consumes 25 kWh. The difference is significant. For decisions on new investments, this is one of the most important factors.

Turn off what is not in use. Compressed air leaks, compressors running when nothing is in use, ventilation running at maximum when half the factory is idle. This is not glamorous, but it yields quick results once it is made visible.

Link energy data to articles and stop causes. Once you know which article consumes the most energy per unit, and which stop causes generate the highest idling cost, improvement work can be directed where the value is highest.

Where do you start?

Start with five steps: create visibility through measurement, link energy to production, prioritize three to five concrete measures, make the work a routine in daily management, and report progress externally. The most common trap is wanting to do everything at once, which rarely works.

Step 1: create visibility. Before you can improve, you must measure. Current clamps on the largest machines and idling consumption are often enough to start. You do not need to measure every outlet in the factory.

Step 2: link energy to production. Energy in itself is just a number. Energy per produced unit, energy per stop, energy per shift, and energy per article are insights. That is where a platform that links OEE data, quality data, and energy data makes a difference.

Step 3: prioritize three to five concrete measures. Better to complete a few than to have ten that no one has time for. Choose based on what measurement shows is largest, and what you can actually influence within a month. Drive them with clear responsibility and follow-up.

Step 4: make it a routine. Bring up energy in the same forums where you bring up OEE and quality. Morning meetings. Weekly improvement meetings. Monthly follow-up at the management level. Otherwise, it becomes a project that dies when someone changes jobs.

Step 5: report externally. Once data is available and progress is positive, use it. With customers. With management. In CSRD and sustainability reports. This is how energy work becomes a commercial value, not just a cost reduction.

What does CSRD mean for energy work?

CSRD requires large companies to report their sustainability impact, including energy and climate. Following the EU's simplification in 2026, the requirements mainly apply to companies with more than 1,000 employees and a net turnover exceeding EUR 450 million. Smaller companies may also receive inquiries about energy and climate data from customers who report themselves.

Companies subject to CSRD report according to the European Sustainability Reporting Standards (ESRS). Which companies are covered, when reporting must begin, and what information is required must be assessed based on current rules and the company's specific circumstances.

For a factory, energy data linked to production can provide valuable support. Measurement per machine, line, or article helps you identify energy losses and track the effect of improvements.

By gathering energy, OEE, and quality in the same platform, you can use the data both in daily improvement work and as a basis for sustainability reporting. Production and energy data are part of the basis, but are not alone sufficient to fulfill all reporting requirements.

Read more about current rules on the European Commission website: sustainability reporting and CSRD.

What should a good platform support do?

A good platform support should do four things: measure energy at the machine and line level, show energy alongside production data, support daily work rather than just reporting, and scale across multiple facilities with the same definition.

Measure at the right level. Per machine and per line, not just per factory. Ideally with the same platform that measures production and quality, so that the connection becomes natural.

Show energy alongside production. kWh, cost, and CO2e per produced unit, linked to articles and stop causes. Visualized in the same platform as other production data.

Support daily work, not just reporting. Energy data should be available in the meetings where decisions are made, not just in monthly reports to management.

Scale across sites. If you have multiple facilities, the same definition must apply everywhere. Otherwise, progress cannot be compared, and reporting becomes fragile.

How does Good Solutions work with energy?

The platform from Good Solutions has its own energy module that works alongside the other modules. Current clamps together with our IoT hardware measure consumption at the machine level, even on older equipment. The data is linked to production, articles, and stop causes, so that kWh, cost, and CO2e are visible per produced unit and become part of daily improvement work.

Since the platform is built to drive continuous improvement, not just measure, energy becomes one of several dimensions in the same work. It is the same morning meetings, the same loss analysis, the same operators, the same management. Energy is just another perspective on the same operations.

The results show that the connection between productivity and energy is more than just theory. Barilla Wasa in Filipstad increased net production by 15% while reducing CO2 emissions by 28%. The improvement did not come from a single large investment, but from systematic work with losses, changeovers, and utilization rates. Similar results are seen at Svenska Retursystem: increased efficiency alongside reduced resource and CO2e consumption from circular packaging.

The platform is used from individual lines to multi-site corporations, and handles both modern PLC-controlled machines and older equipment without modern interfaces.

Read more about how others have increased their factory productivity

FAQ

How much is it realistically possible to lower energy consumption without investing in new machines?
Experience from various industries shows that savings of 5 to 20% are fully possible by working systematically with losses, idling, and the connection between production and energy. For a typical factory with EUR 100 million in turnover, this corresponds to approximately EUR 125,000 per year and 60 to 80 tonnes of CO2e.

Do we have to measure every machine to get started?
No. Start with the largest consumers, often 20% of the machines that account for 70 to 80% of consumption. Once the data is in place and measures have been implemented, you can expand. The complete picture does not need to be ready before the first improvement is made.

What is the difference between measuring energy and working with energy?
Measuring energy results in a monthly report. Working with energy requires data to be linked to production, visible in daily operations, and used in the same improvement forums as OEE and quality. The difference in outcome is often significant.

How does CSRD tie into OEE work?
The same measurement that drives OEE work can provide energy per produced unit, linked to articles and stop causes. This data can be used as a basis for sustainability reporting, both for companies covered by CSRD and for suppliers who receive inquiries from their customers. However, production data alone is not sufficient to fulfill all reporting requirements.

Where do we start if we want to get started quickly?
Three things first. Identify the three largest energy consumers in the factory. Install measurement there. Link the data to production and stop causes, so you can see where idling and losses cost the most. Within a month, you will have a basis to start prioritizing measures accordingly.