Photo of Complete Guide to Energy Efficiency in the Hospitality Industry

Complete Guide to Energy Efficiency in the Hospitality Industry

Energy efficiency not only reduces operating costs but also enhances the sustainability and reputation of hospitality businesses. With rising energy prices and increasing regulatory pressure, implementing energy-saving measures is more important than ever.

According to a report by the Spanish Institute for Energy Diversification and Saving (IDAE), the hospitality sector accounts for around 7% of total energy consumption in Spain highlighting the need to optimise energy resources.

 

What Is Energy Efficiency?

Energy efficiency refers to the rational and efficient use of energy to perform a task or provide a service while minimising energy waste. In hospitality, it means operating sustainably without compromising the customer experience.

 

Where Is Most Energy Used in Hospitality?

  • Climate control: Represents 40% to 60% of energy consumption.
  • Kitchen equipment: Ovens, freezers, and other appliances are often energy-inefficient.
  • Lighting: Though a smaller cost, it can be optimised with LED technology.

Benefits of Implementing Energy Efficiency Measures

  1. Lower operational costs
     An energy audit can reveal opportunities to reduce costs by up to 30%. For example, switching to A++ rated appliances can significantly cut electricity bills.
  2. Improved sustainability and reduced carbon footprint
     A PwC report indicates that improving energy efficiency in hospitality could prevent over 800,000 tonnes of CO2 emissions annually in Spain.
  3. Access to government grants and subsidies
     The Hospitality Renovation Plan (Plan Renove) provides funding for equipment upgrades. More information is available on the IDAE website.

Key Measures to Optimise Energy Efficiency

  1. Energy Audits: The Starting Point
     Conducting an energy audit is essential to identify improvement areas. Specialised companies can assess hospitality equipment and facilities to detect inefficiencies and reduce costs.
  2. Efficient Equipment: A Profitable Investment
     Investing in A-rated appliances can cut energy use by up to 40%. For instance, high-efficiency ovens reduce cooking times and power consumption.
  3. Smart Energy Management Systems
     Automation tools like motion sensors and programmable thermostats help tailor energy use to occupancy levels, avoiding unnecessary consumption in empty spaces.
  4. LED Lighting: Simple and Effective Savings
     Switching to LED lighting can reduce energy consumption by 80%. LEDs also last up to 50,000 hours, minimising replacements.
  5. Water Savings as Part of Energy Efficiency
     Tools like aerated taps and greywater reuse systems reduce water use and the energy required to heat it.
  6. Renewable Energy: A Promising Alternative
     Solar panels are a sustainable solution to cut energy costs. According to the Spanish National Integrated Energy and Climate Plan (PNIEC) 2021–2030, solar PV is key to reducing Spain’s energy dependence from 73% in 2019 to 50% in 2030. On-site solar installations can also significantly reduce electricity bills.
  7. Thermal Insulation Optimisation
     Improving ceiling and window insulation can cut heat loss by up to 30% in winter and reduce HVAC expenses.
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Common Mistakes When Implementing Energy Efficiency Measures

Lack of planning and clear goals
Without a strategy, investments may not yield returns. Prioritise actions with short payback periods by calculating ROI carefully.


Not involving staff in energy-saving initiatives
Training employees in efficient resource use ensures lasting results. Awareness campaigns and signage can foster a culture of sustainability among staff and customers.


Neglecting regular equipment maintenance
Poorly maintained equipment consumes more energy and breaks down faster. Maintain cables, thermostats, and displays, and replace old appliances with A++ certified models.

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Current and Future Trends in Energy Efficiency

Energy efficiency in hospitality is evolving thanks to new technologies and growing environmental awareness. The main trends are innovation and sustainability.

Digitalisation as a Driver of Energy Efficiency

Digital tools enable real-time monitoring and optimisation of energy use:

  • Centralised energy management platforms help managers identify and control energy peaks.
  • IoT systems allow remote control of thermostats, HVAC, and lighting.
     Examples:
  • Motion sensors turn off lights in unused areas.
  • Smart thermostats adjust temperatures based on occupancy and weather.
  • Connected kitchen appliances track usage and schedule maintenance.

Energy Efficiency Regulations for the Sector

Regulations help ensure compliance and avoid penalties:

  • EU Directive 2012/27/EU on Energy Efficiency:
  • Mandatory energy audits for large companies (including hotel chains).
  • Minimum energy efficiency requirements for equipment. 
  • 20% energy savings target by 2030.

Relevance in Spain: Implemented through Royal Decree 56/2016. Full details available in the Spanish Official Gazette (BOE).

  • Energy Certification of Buildings: Required for businesses renting or selling property. Guidance available at idae.es.

Available Grants and Subsidies

  • PREE (Energy Rehabilitation Incentives Programme):
     Offers financial support for insulation and system upgrades in hospitality buildings.
  • Hospitality Renovation Plan:
     Incentives for replacing outdated equipment with efficient models. Info on the Spanish Chamber of Commerce portal.

Tailored Strategies for Different Hospitality Businesses

Each business has unique needs:

  • Restaurants with high customer turnover:
     Focus on kitchen efficiency and lighting/HVAC during off-peak times.
  • Hotels with seasonal peaks:
     Use room key cards to control lights and HVAC. Install solar water heating.
  • Small bars and cafés:
     Prioritise refrigeration efficiency and thermal insulation.