ISO 50001 : 2018 Energy Management System (EnMS)

ISO 50001:2018 Energy Management System (EnMS)

Energy Management makes good business sense as energy costs are a significant portion of an organization’s budget. A systematic focus on energy management, through optimum use of resources and waste reduction, is expected to reduce cost. It can also lead to increased production, Improved energy performance, higher profits, and reduced impacts due to rising energy prices.

ISO 50001 is based on the management system model of continual improvement and other well-known standards such as ISO 9001 or ISO 14001. This makes it easier for organizations to integrate energy management into their overall efforts to improve quality and environmental management.

ISO 50001 : 2011
ISO 50001 : 2011

Supporting Standards of ISO 50001:2018

ISO 50002: 2014 EnMS: Energy Audits – Requirements with guidance for use.

ISO 50003: 2014 EnMS: Requirements for bodies providing audit and certification of energy management systems.

ISO 50004: 2014 EnMS: Guidance for the implementation, maintenance, and improvement of an energy management system.

ISO 50005 EnMS: Modular implementation of the energy management system ISO 50001, including energy performance evaluation techniques.

ISO 50006: 2014 EnMS: Measuring energy performance using energy baselines (EnB) and energy performance indicators (EnPI)

  • General Principles and guidance

ISO 50007: 2017 EnMS: Energy Services- Guidelines for the assessment and ——implementation of the energy service to users.

ISO 50008: 2018 EnMS: Energy management and energy savings – Building energy data management for energy performance

  • Guidance for a systemic data exchange approach

ISO 50009: 2014 EnMS: Guidance for multiple organizations implementing a common energy management system

ISO 50015: 2014 EnMS: Monitoring, Measurement, Analysis & Verification of organizational energy performance.

ISO 50047: 2016 EnMS: Energy Savings-Determination of energy savings in an organization

What is the purpose of ISO 50001?

To manage energy well, an organization requires an effective Energy Management System (EnMS) to be established, implemented, maintained, and continually improved.

  • Provides organizations with a well-recognized framework for integrating energy efficiency into their management/business practices.
  • Provide a logical and consistent methodology for identifying and implementing improvements that can contribute to a continual increase in energy efficiency across the facilities.
  • Assist Organizations to better utilize existing energy-consuming assets, thus reducing costs and avoiding expanding capacity.
  • Offer guidance on benchmarking, measuring, documentation, and reporting energy efficiency Improvements.
  • Lead Organizations to meet overall climate change mitigations goals by reducing their energy-related greenhouse gas emissions.
  • Assist facilities in evaluating and prioritizing the implementation of state-of-the-art energy-efficient technologies. Read More…

5 Benefits of Implementing ISO 50001: 2018

  • Energy & Cost Reduction
  • Carbon Reduction
  • Structured Organizational Engagement
  • New Dimension to Public Positioning of an Organization
  • Regulatory Compliance

ISO 50001: 2018  provides a framework of requirements for organizations to:

  • Develop a policy for more efficient use of energy
  • Fix targets and objectives to meet the policy
  • Use data to better understand and make decisions about energy use
  • Measure the results
  • Review how well the policy works
  • Continually improve energy management.

4 Key Points of ISO 50001:2018:

  • It gives you guidelines to know How much energy you can save, And How to measure and verify quantities.
  • The standard explains which data must be selected to

–  Monitor Energy Efficiency

–  Achieve Your Objectives

–  Measure and communicate it to your partners

  • You can improve your energy performance continuously through verifiable indicators. Using best practices gives you expertise and recognition to boost energy efficiency and save in the long run.
  • You are sure of your Return of Investment (ROI) and can tell investors when they can be reimbursed by collecting accurate data on future energy savings.

Interested Parties Requirements ISO 50001: 2018

  • Government
  • Authorities
  • Suppliers
  • Contractors and Sub-Contractors
  • Visitors
  • Local Community
  • Shareholders
  • Legal Requirements
  • Employees
  • Owners
  • Employees Union
  • Safety Committee

The PDCA Approach to ISO 50001:2018

Understand the context of the organization, establish an energy policy and an energy management team, consider actions to address risks and opportunities, conduct an energy review, identify significant energy uses (SEUs) and establish energy performance indicators (EnPIs), energy baseline(s) (EnBs) objectives and energy targets, and action plans necessary to deliver results that will improve performance by the organization’s energy policy.

  • General requirements
  • Management Responsibility
  • Energy Policy
  • Energy Planning
  • Implementation & Operation
  • Training
  • Documents
  • Communication
  • Design
  • Operation Control
  • Procurement
  • Measuring & Monitoring
  • Internal Auditing
  • Non-Conformances
  • Management Review
  • Corrective and Preventive Action


Energy Policy Development

  • Requires top management support
  • Needs capital budget
  • Must state improvement intentions
  • Outline a suitable timescale
  • Assign management representative

Energy Assessment

  • Assess energy usage
  • Intended measurement methods
  • Energy performance improvement


Action Plan

  • Set Budgets
  • Allocate Resources
  • Define Measurement

Set Targets

  • Set Timescale
  • Improvement Targets
  • Challenging but achievable

Implement Plan

  • Document any changes
  • Outline results
  • Evidence for audits


The collected data must:

  • Be Credible
  • Strike a Balance
  • Energy Baseline Forms Your Benchmark

Purpose of Baseline

  • The purpose of a baseline is to determine the point from which to measure continual progress.
  • Establish an energy baseline considering a minimum of 12 months of data.
  • A baseline considering the average of part two to three years is more desirable
  • Identify energy performance indicators

Energy Policy (Example)

The company is committed to purchasing and using energy in the most efficient, cost-effective, and environmentally responsible manner possible. Towards this end, The company will improve energy efficiency by implementing effective energy management that supports all operations and customer satisfaction while maintaining a safe and comfortable working environment.

The policy applies to our entire site:


  • Benchmark all premises by March 2021
  • Reduce energy use per output by 15 per cent, relative to the 2019 base year, by 2022.
  • Implement a program of staff awareness and education on energy issues.
  • Purchase 10 per cent of our energy use from renewable resources by 2022.

Energy Baseline

Energy Baseline is defined as quantitative reference or references providing a basis for comparison of energy performance.

  • The energy baseline is the reference for measuring energy performance over time.
  • The baseline is always about a period which is known as the baseline period. This period should be representative of one complete cycle of the variations in the organizational operation.

Energy Performance Indicators (EnPIs)

  • EnPIs are the measurable indicators that are used to monitor the continual energy performance of the organization.
  • Typical examples are per unit production/electricity consumed coefficient of chiller performance, heat rate of thermal power plan, percentage loading of motors, etc.

Energy Review

To Perform an energy review, it is necessary to understand how, why, and where energy is consumed and identify where opportunities to improve exist.

  • To energy, review is the analytical part of the tactical energy planning process.
  • Its purpose of obtaining an overall picture of an organization’s energy use.

Energy Planning: Monitoring & Targeting

The essential elements of the M&T system are:

Recording: Measuring and recording energy consumption.

Analyzing: Correlating Energy consumption to a measured output, such as production quantity.

Comparing: Comparing energy consumption to an appropriate standard or benchmark.

Setting Targets:  Setting targets to reduce or control energy consumption

Monitoring: Comparing Energy consumption to set the target on a regular basis

Reporting: Reporting the results, including any variances from the targets which have been set.

Why Energy Management According to ISO 50001?

  • Ecological Environment Impacts
  • Operational Energy Efficiency
  • Economical Competitive Advantage

Improvement of Energy Use


  • Set Targets
  • Action Plan
  • Measure

Systematic Approach

  • Documentation
  • Common Understanding About PDCA Process


  • Top Management Commitment
  • Resources

Why Consider ISO 50001: 2018 when ISO 14001 Already Exist?

  • ISO 50001 has been designed solely for the management of energy
  • Energy management is often overlooked with ISO 14001
  • Most companies do not truly understand how much energy they currently use and how much money they can potentially save by implementing an EnMS
  • Forces companies to establish baselines and identify areas for significant improvements in energy performance
  • Encourages companies to look into renewable energy sources

Why Undertake ISO 50001: 2018?

Achieving ISO 50001 not only helps shape our desire to be a socially responsible business but demonstrates to our customers and stakeholders that Viridor is committed to transforming itself into a company with reduced costs and less reliance on fossil fuels, ready for the future.

  • CSR and sustainability-future-proofing
  • Raises awareness amongst staff and increases accountability
  • Impending Legislation- Energy Audits under EU EE Directive, Article 8
  • Minimizes risk to future operations
  • Reduces your carbon footprint and saves money and energy
  • Eliminates waste- adding to the bottom line- company profit.

External and Internal Issues of ISO 50001: 2018

External Issues:

  • Issue related to interested parties such as existing national or sector objectives, requirements, or standards.
  • Effect on greenhouse gas (GHG) emissions.
  • Effects of climate change.
  • Energy costs of the availability of types of energy
  • Restrictions or limitations on energy supply, security, and reliability.

Internal Issues:

  • Operational risks and liability considerations
  • Maturity of existing technology.
  • Consistency plans for interruptions in energy supply.
  • Sustainability Considerations
  • Energy management maturity and culture
  • Financial resources (labor, financial, etc.) affecting the organization
  • Core business objectives and strategy.

It would help if you worked out

  • Areas of significant energy use
  • Scope & boundary of your organization
  • Performance assessment methods
  • Energy performance indicators (EnPis).

Why Choose TUV Austria Bureau of Inspection & Certification For Implementing ISO 50001 Requirements

Some of the leading international accreditation bodies have awarded TUV Austria Bureau of Inspection & Certification with the accreditation to offer certification to a vast range of industry sectors. For certification services, TUV Austria BIC is the preferred brand across multiple industry sectors.

Local Regulatory authorities like The Pakistan National Accreditation Council (PNAC)The Pakistan Engineering Council (PEC) also recognizes TUV Austria Bureau of Inspection & Certification as a leading certification and inspection body in Pakistan. TUV Austria BIC has earned global respect instead of its approach and service quality through its highly trained and experienced Consultants. Our professional auditors work with clients to guarantee that the requirements are successfully maintained and continuously improved to be up to customers’ expectations and the law.

In Addition, to ISO 50001: 2018 audits we also offer a range of complimentary services:

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