RILA’s 2015 Retail Energy Management Report: 3 Takeaways

By: Alexandra Kueller

Last week, we took a look at RILA’s Retail Sustainability Management Report, and today we’ll be looking at RILA’s Retail Energy Management Report.

Earlier this year, the Retail Industry Leaders Association (RILA) announced their brand new Retail Energy Management Maturity Matrix, which hopes to be a tool that will be used by retail executives, individual companies, and industry-wide to help companies focus on energy management. In September 2015, RILA released their Retail Energy Management Report that uses the matrix to analyze energy management initiatives from over 100,000 RILA member companies.

Taking the 23 dimensions related to energy management RILA has identified from six key sectors, the report looks at where the companies rank in terms of maturity: are they starting, just standard, excelling, leading, or at the next practice already. RILA presents their key findings from each dimension, then provides resources for companies to reach the next level, case studies to look over, and how to get involved on a greater scale.

Here are three observations that really stood out to us:

Dedicated energy management teams

At 85%, a large majority of the retailers surveyed indicated they have at least one fill time energy staff person, with the average company retaining about 3 full time staff members. Despite only 15% of respondents not having a full time energy management staffer, roughly 50% of the companies indicated that they use a third-party or consultant to help with their energy management. With energy management often linked to sustainability, less than 25% of the energy teams report to their company’s sustainability/CSR department, instead a lot of the energy teams report to either the Facilities or Real Estate departments.

Continuous energy management improvement

From 2014 to 2015, all dimensions except for five saw improvement in overall energy management. The sectors People & Tools and Energy Consuming Systems saw the biggest gains, with almost every dimension hitting the maturity level of “standard”. While there weren’t significant strides from last year (except for “Food Service”), the growth is still positive. As more robust energy teams and goals are put in place, there will hopefully be an increase in energy management maturity in the future.

No one has hit a plateau

And speaking of increasing energy management over the next couple of years, many retailers indicated that there are many new initiatives in place. RILA has even forecasted that many of these new initiatives, plans, and goals will help push many of the retailers to an average maturity level of “excelling”, with some companies reaching “leading” status. Even retailers that are currently at “leading” or “next practice” have indicated that more work is going to be done with energy management within their company.

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