A recent survey by reichelt elektronik shows: The industrial sector of Europe invests a lot – but companies also see themselves under great pressure
Energy saving measures: Hardly any other topic has been discussed more often and more controversially since last fall. Federal States and municipalities set ambitious goals and technologies such as heat pumps were supposed to be installed in European households and companies in record time. Simultaneously, the first companies are going belly up due to enormous increases in energy costs, giving rise to concerns.
Now that the first winter marked by energy-saving is over, reichelt elektronik has asked 500 companies in the industrial sector how they stand on the subject of energy saving, where the biggest concerns for the future lie and how motivated they still are to make further investments.
Initial successes: Investments in new technology and significant savings
Talk about energy conservation is not only ubiquitous in the media – the topic has also been tackled in companies. 62 percent of those surveyed said they had invested in energy saving measures last year.
Another 27 percent are planning to make investments this year. Quick and less complex measures have already been implemented, such as replacing conventional light bulbs and lighting with LED alternatives (42%), raising awareness among staff (36%) or reducing heating for rooms or workplaces (37%).
In addition, companies are primarily investing in new technologies. About half (54%) have already invested or plan to invest in the construction of a photovoltaic system this year. Even more (60%) already have or are currently replacing an old gas or oil heating system with an alternative heating system such as a heat pump. When it comes to investing in resource-saving technology, companies are even more advanced. For example, 61 percent are already using smart technology or other control systems to reduce the energy consumption of machines – or are in the process of introducing these systems. 63 percent are completely replacing old machines with newer, more energy-efficient models.
Companies can point to tangible moments of success with these investments. A fifth of them (20%) were able to save between six and ten percent on energy costs last winter. Just under a third (29%) were even able to achieve savings of between eleven and 20 percent.
Biggest hurdle: Uncertainty
Nevertheless, there are also disadvantages and hurdles present. Most companies that have not made or planned any investments cite a lack of budget (34%) or see no further opportunities for energy savings (21%). For 21 percent, there is a lack of conviction at the management level on the importance or urgency of investments for energy conservation.
However, the biggest hurdle to saving energy is uncertainty. More than a quarter (27 %) of companies report difficulty with gaining clarity on which technology will prevail in the long term. Close behind this figure are complaints about bureaucracy: 24 percent find that bureaucratic processes and approval procedures make projects lengthy and expensive. Third place (26%) is shared by complicated funding and constantly changing regulations. Complicated funding processes (23%) and a constantly changing regulatory landscape (25%) pose similar challenges.
These figures do not mean that European companies consider regulations or legislative measures to be superfluous or clumsy. 61 percent are satisfied with the existing as well as about to be implemented regulations for companies on energy consumption. Moreover, they take measures not only out of compulsion but also out of conviction. 84 percent agree that for their company environmental protection is an important contribution to society.
Between frustration, energy-saving fatigue and existential angst – the other side of the coin
All in all, the majority of the European industrial sector (75%) seems satisfied with their energy saving measures. On the other hand, frustration and fatigue are also evident. A third (33%) are frustrated by high energy costs and almost as many (28%) think their company is still doing too little. In one in five companies (20%), energy-saving measures are not producing the desired results, according to respondents.
In addition, energy-saving fatigue seems to be creeping into industry. For example, employees in 31 percent of companies are becoming more careless about energy-saving regulations again and old habits are resurfacing. Others report fewer measures are put in place (27%), fewer ideas for saving energy are being put forward (29%) or projects that have been started are not being completed (23%). At least one of these phenomena can be observed in 84 percent of companies.
This frustration can be attributed primarily to the hopeless situation in which many companies see themselves as a result of the high energy prices. Almost three quarters (70%) say their competitiveness will be impaired if energy prices remain this high. Worse still, half of the companies (50%) will no longer be able to operate economically sound if energy prices don’t change, according to the survey. That’s why 43 percent of respondents want politicians to provide more support for companies that are hit particularly hard by high energy costs. Just as many (42%) would also welcome it if subsidies were easier to apply for and less bureaucratic.
Is moving abroad the only solution?
Despite all the investments made to save energy, many companies have no choice but to relocate abroad. 42 percent are currently relocating energy-intensive processes abroad at least partially – or have already taken this step. An additional 24 percent are planning to take this step.
“The figures speak a clear language,” comments Christian Reinwald, Head of Product Management and Marketing at reichelt elektronik. “For about half of the industrial sector, central Europe no longer seems to be a suitable location for operating in an economically sound manner – a frightening development in regard to economic policy. The current situation is quite difficult, and I understand the frustrations of everyone involved – after all, the environment is not helped if companies in countries like the USA and China produce with cheap electricity but also pollute heavily. Additionally, products have to be sent around the globe. Europe needs local production. Taxes must be reduced to a reasonable level and regulations must keep an eye on the global structure – for the sake of the environment and the European economy.”
Images: Adobe Stock, reichelt elektronik
