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A Dual Approach to Energy Efficiency and Profitability

Manufacturing Energy Efficiency

From solar panels on factory roofs to wind turbines supporting grid independence, forward-thinking manufacturers are investing heavily in clean energy infrastructure. But renewables alone won’t unlock the full potential of energy efficiency. To truly reap the rewards, they must be deployed in tandem with a robust energy management system (EMS) that optimises usage across the entire business.

Embracing Renewable Technology

Manufacturing accounts for a significant portion of the world’s energy consumption—and with it, a sizeable share of emissions. As a result, many manufacturers are investing in on-site renewables like solar, wind, biomass, and combined heat and power (CHP) systems. These technologies provide cleaner energy, reduce carbon footprints, and improve energy security by mitigating exposure to volatile fossil fuel markets.

Crucially, investment in renewables also aligns with growing consumer and investor expectations for sustainable operations, making it not just a cost-saving decision, but a strategic one.

The Role of Energy Management Systems

However, generating renewable energy is only part of the solution. Without control over how that energy is consumed, much of its benefit can be lost. This is where energy management systems come into play.

A comprehensive EMS—like those supported by Elcomponent’s MW2 software and smart metering infrastructure—enables manufacturers to analyse, track, and optimise energy usage in real time. By breaking down energy data across departments, machines, and building zones, businesses can pinpoint inefficiencies, eliminate wastage, and identify where renewable inputs are being used most effectively.

For example, data may reveal that certain machinery consumes significantly more energy outside of peak production hours or that HVAC systems are running unnecessarily in low-occupancy zones. With this insight, operational changes can be implemented to reduce consumption without compromising productivity.

A Combined Strategy for Greater Impact

The true power lies in combining renewable energy adoption with smart energy management. While renewables reduce the carbon intensity and cost of energy, an EMS ensures that every kilowatt generated—or drawn from the grid—is used with maximum efficiency.

Together, these strategies can:

  • Significantly reduce total energy usage
  • Lower utility bills and operating costs
  • Improve environmental performance and support ESG goals
  • Increase resilience against market fluctuations
  • Enhance long-term profitability

The future of manufacturing will be defined not only by what energy is used, but how it is managed. As the sector moves towards decarbonisation, the integration of renewables and data-driven energy efficiency measures will become essential—not optional.

Forward-looking manufacturers who embrace this dual approach stand to gain a competitive advantage, not just in operational cost savings, but in brand value, regulatory compliance, and sustainable growth.

Now is the time to assess your energy landscape and consider how renewables and robust energy monitoring can reshape your future. The path to a greener, more profitable manufacturing model is already here—are you on it?

Reducing Commercial Energy Waste: The Role of Smart Monitoring and Elcomponent’s robust EMS solutions

Smart energy monitoring

Energy efficiency is a pressing concern for UK businesses, particularly large enterprises with multiple sites, factories, and office buildings. With energy prices fluctuating and sustainability targets tightening, the cost of wasted energy is no longer just financial—it’s reputational and environmental.

The Scale of the Problem

UK businesses collectively spent approximately £60 billion on energy in 2022, with the commercial and industrial sectors accounting for 55% of the nation's total energy consumption. Despite this significant expenditure, many businesses lack the tools to monitor and manage their energy usage effectively. For instance, energy wasted annually by a few thousand office buildings across five UK cities costs businesses £60 million in unnecessary energy bills.

While 89% of businesses now monitor energy usage, primarily through bills and meters, only 51% utilize smart meters, and larger businesses who are more likely to adopt such technologies, still have some way to go to take full control of their energy usage. This gap in real-time monitoring leads to inefficiencies and missed opportunities for energy savings.

The Case for Energy Management Systems (EMS)

Implementing a robust Energy Management System (EMS) can transform how businesses approach energy consumption. EMS platforms provide real-time insights into energy usage, enabling businesses to identify inefficiencies, optimise operations, and reduce costs. By departmentalising energy data, companies can pinpoint specific areas or equipment contributing to excessive energy use.

Sub-metering, a component of EMS, allows for granular monitoring of energy consumption across different departments or machinery. This level of detail facilitates targeted interventions, ensuring that energy-saving measures do not compromise productivity. Moreover, EMS platforms can generate automated alerts for unusual energy patterns, aiding in preventive maintenance and reducing downtime.

Elcomponent’s MW2 Platform: A Comprehensive Solution

Elcomponent, with over 35 years of experience in energy monitoring solutions, offers the MW2 platform—a cloud-based EMS designed for large and complex sites. The MW2 platform integrates data from various sources, including smart meters and sub-meters, providing a centralized view of energy consumption.

Key features of the MW2 platform include:

Graphical Analysis: Visual representations of energy consumption trends, facilitating easy identification of anomalies.

Automated Reporting: Customizable reports that help track energy usage over time and assess the impact of energy-saving initiatives.

Alerts and Notifications: Real-time alerts for unusual energy consumption patterns, enabling prompt corrective actions.

Integration Capabilities: Compatibility with various metering systems and the ability to incorporate environmental data such as air quality and temperature.

Additionally, Elcomponent's LoRaWAN-based wireless monitoring solutions offer flexibility and scalability, making them suitable for both small and large-scale deployments.

Benefits of Implementing EMS

Adopting an EMS like Elcomponent's MW2 platform offers several advantages:

Cost Savings: Identifying and addressing energy inefficiencies can lead to significant reductions in energy bills.

Enhanced Productivity: By ensuring that machinery operates efficiently, businesses can maintain or even improve productivity levels.

Sustainability Goals: Reducing energy consumption contributes to lower carbon emissions, aiding in meeting environmental targets.

Informed Decision-Making: Access to detailed energy data empowers businesses to make strategic decisions regarding energy use and investments in energy-efficient technologies.

Conclusion

In an era where energy efficiency is paramount, UK businesses must leverage advanced tools to monitor and manage their energy consumption effectively. Implementing a robust EMS, such as Elcomponent's MW2 platform, enables businesses to gain detailed insights into their energy usage, identify inefficiencies, and implement targeted energy-saving measures. By doing so, businesses not only reduce operational costs but also contribute to broader sustainability goals.

Why Energy Management is becoming critical for UK businesses

Energy use has always been a cost to manage—but in today’s climate, it’s rapidly becoming a strategic priority. With prices remaining volatile and sustainability pressure mounting, businesses across every sector—from factories and campuses to offices and retail—are recognising the urgent need to take control of their energy usage.

That’s where energy management systems come in. And at Elcomponent, we’re helping organisations do exactly that.

The problem: energy instability is here to stay

The days of predictable, manageable energy costs are long gone. Whether it’s geopolitical events, global supply constraints, or changes in domestic policy, the energy market is now shaped by uncertainty. For commercial organisations, that volatility presents a real risk to the bottom line.

Without a clear understanding of how, where and when energy is being used, businesses leave themselves open to unnecessary costs—and unprepared for sharp increases that could hit margins overnight.

The Solution: Smart Energy Management Systems

Installing a smart energy monitoring system gives businesses the data they need to make informed, confident decisions. Rather than relying on estimated bills or gut feel, organisations can get a granular, real-time view of their energy consumption across every building, department, or process.

With the right tools in place, businesses can:

Identify energy waste – Spot usage spikes, inefficiencies and unexpected load increases before they become costly habits.

Benchmark performance – Track how individual buildings or departments are performing and set reduction targets accordingly.

React quickly to price changes – Use live data to adjust usage patterns or implement quick-win savings.

Plan long-term strategies – Understand energy trends over time to support CAPEX decisions, retrofit plans and net-zero commitments.

Why Now?

As energy markets fluctuate, regulators tighten reporting requirements, and ESG expectations rise, energy management is no longer optional—it’s essential.

Installing a smart system today helps businesses avoid being caught out tomorrow. And those that act early will benefit first: reduced costs, improved reporting, better environmental performance, and future-proofed resilience.

How Elcomponent Can Help

At Elcomponent, we specialise in delivering energy management systems that are robust, scalable, and tailored to commercial needs. Whether it’s a multi-site estate or a single manufacturing plant, we help clients gain full visibility and control over their energy usage.

From hardware installation to data platforms and integration with existing systems, we take care of the technical side—so you can focus on turning insight into action.

Don't let rising energy costs catch your business off guard. Talk to Elcomponent about putting smart energy management at the heart of your operations.

Over 40 years of leading the way in Energy Management

 

For more than three decades, Elcomponent has been at the forefront of commercial energy management in the UK, helping businesses monitor, measure and manage their energy usage with precision and confidence. In a sector that has seen enormous change—rising energy costs, increasing sustainability pressures, and a rapid shift towards digital solutions—Elcomponent has remained a trusted constant, known for reliability, technical expertise, and robust solutions that stand the test of time.

A Proven Track Record in Commercial and Industrial Sectors

Since our founding, Elcomponent has supplied energy monitoring systems to some of the UK’s most prominent industrial and commercial operators. From manufacturing facilities and logistics hubs to universities, retail chains and office estates, our systems have become a go-to resource for facilities managers, energy consultants, and estates teams looking to get real insight into their energy performance.

That longevity in the market isn’t by chance—it’s down to consistently delivering solutions that are reliable, accurate, and built for real-world use.

Market-Leading Data Loggers

At the heart of our offering is a range of industry-leading data loggers, including our SPC (Single Phase Current) loggers, specifically designed for the professional user. These compact, powerful devices make it easy to monitor energy use at circuit level, providing clear, actionable data that helps identify inefficiencies, spot anomalies, and benchmark performance.

Our loggers are trusted by energy professionals nationwide for their accuracy, ease of deployment, and compatibility with a wide range of metering systems. They’re ideal for both one-off audits and long-term monitoring programmes, giving users the flexibility to build a picture of usage over time.

Technology That Integrates with Your Existing Systems

Commercial energy management should never be an island—and at Elcomponent, we design systems that integrate seamlessly with existing Building Management Systems (BMS) and infrastructure. Our solutions are built to enhance what’s already in place, adding granularity, insight and flexibility to larger energy strategies.

Whether it’s integrating sub-metering into a central dashboard or adding data loggers to complement existing meters, we ensure businesses can extract maximum value from their investment—without disruption.

The Elcomponent Advantage

What sets Elcomponent apart is not just the technology—but the experience behind it. With over 40 years of industry knowledge and commercial energy management solutions, we understand the challenges energy professionals face on a daily basis, from tight reporting deadlines to unpredictable site conditions. That’s why we build systems that are durable, accurate, and backed by a support team that knows the sector inside out.

We’re proud to have built long-standing relationships across the UK’s commercial and industrial sectors—supplying thousands of monitoring devices and helping countless businesses take control of their energy usage.

Looking Ahead

As the demand for energy insight continues to grow, Elcomponent remains committed to delivering the tools and technology businesses need to stay ahead. Whether you’re looking to improve energy efficiency, meet compliance targets, or simply gain visibility into your usage, we have the expertise, equipment and track record to help.

Over 30 years of leadership. One mission: better commercial energy management.

How a Current Transformer Works:

Current transformers

Current transformers

Primary Winding:

  • The primary winding of the CT is connected to the conductor carrying the current to be measured.
  • This winding usually has a single turn, as it may simply be the conductor itself passing through the CT.

    Core:

  • The CT contains a magnetic core, typically made of laminated silicon steel, which guides the magnetic flux generated by the primary current.

    Secondary Winding:

  • The secondary winding is wound around the core and contains many more turns than the primary winding.
  • The current induced in the secondary winding is proportional to the current in the primary but scaled down by the turns ratio of the transformer.

    Load (Burden):

  • The secondary winding is connected to measuring instruments or protective relays. These devices form the "burden" of the CT.

    Operating Principle:

  • When current flows through the primary winding, it creates a magnetic field in the core.
  • This magnetic field induces a proportional current in the secondary winding, allowing the measurement of the high primary current through the low secondary current.

Applications:
Current transformers are widely used in:

  • Measuring instruments (e.g., ammeters)
  • Protective relays in power systems
  • Monitoring equipment

    Important Points:

    The secondary winding of a CT should never be left open-circuited while the primary current is flowing, as this can cause dangerously high voltages.

Simple Guide to Installing a Three-Phase kWh Sub Meter and CTs

Sub meter and CTs

Tools and Materials Needed

  •  Three-phase kWh sub-meter (compatible with your voltage and current requirements).
  • Current Transformers (CTs) rated for your system.
  • Electrical panel and necessary breakers.
  • Screwdrivers and pliers.
  • Wire stripper and cutter.
  • Voltage-rated wiring.
  • Insulation tape and cable ties.
  • Personal Protective Equipment (PPE) (gloves, goggles, etc.).
  •  Multimeter for verification.
  • Installation manual for your specific sub-meter model.

Steps for Installation

Preparation

  • Turn off the main power supply to the panel where the sub-meter will be installed.
  • Ensure you are familiar with the electrical schematic and wiring diagrams for your sub-meter and CTs.
  • Confirm that your sub-meter and CTs are rated for the correct voltage and current for your system.

Mount the kWh Sub-Meter

  • Locate a suitable spot on or near the electrical panel.
  • Secure the sub-meter with screws or DIN rail mounts, as required.

Install the Current Transformers (CTs)

  • Identify the three-phase conductors (L1, L2, L3) in your panel.
  • Place each CT around the corresponding conductor. Ensure the orientation follows the marked arrow (often labelled "Load" or "P1") to point toward the load.
  • Tighten the CT around the conductor securely.

    Wire the CTs to the Sub-Meter

  • Connect the secondary wires from each CT to the corresponding input terminals on the sub-meter (e.g., CT1 to L1, CT2 to L2, CT3 to L3).
  • Use the colour codes or labels provided in the installation manual for correct polarity (S1 and S2 terminals).

    Connect the Voltage Inputs

  • Connect the phase wires (L1, L2, L3) and neutral wire to the voltage input terminals on the sub-meter.
  • Use appropriate fuses or breakers for protection as recommended in the sub-meter manual.


    Verify Connections

  • Double-check all connections:
  • Correct CT to phase matching (CT1 to L1, CT2 to L2, CT3 to L3).
  • Voltage connections are properly aligned to the respective input terminals.


    Power Up and Test

  • Turn the power back on.
  • Use a multimeter to verify that the voltage inputs to the sub-meter are correct.
  • Check that the sub-meter powers on and displays correctly.
  • If your sub-meter requires programming for CT ratios or system configuration, follow the manual to input these settings.


    Secure Wiring

  • Bundle and secure loose wires with cable ties.
  • Ensure all connections are insulated and safe from accidental contact.


    Verify Functionality

  • Confirm that the sub-meter is correctly measuring the voltage, current, and energy usage for all three phases.
  • Compare readings with a known load or reference meter to ensure accuracy.


    Tips for Safe Installation

  • If you are not experienced with electrical systems, hire a licensed electrician to perform the installation.
  • Adhere to local electrical codes and regulations.

 

Sub Metering System Documentation:

Sub Metering Systems

Sub Metering Systems

 

When installing a sub-metering system, it’s critical to document specific details to ensure the system is set up correctly, provides accurate data, and can be maintained effectively over time. Here’s a list of the minimum key information that should be recorded during the installation process:

General System Information

• Location Details: Record the exact location of each sub-meter, such as room, circuit, or equipment it is monitoring.
• Purpose of Meter: Specify what the sub-meter is measuring (e.g., lighting, HVAC, specific machinery, tenant usage).
• Meter Identification: Assign unique IDs or labels to each sub-meter for easy reference in the monitoring system.

Electrical Setup

• Voltage Configuration: Document whether the system is single-phase or three-phase and the nominal voltage level (e.g., 120V, 230V, 400V).

Current Transformers (CTs):

  • Type and rating of CTs (e.g., 100A:5A, 400A:1A).
  • Polarity and orientation of CT installation.
  • Location and connection of CTs to the sub-meter.

Voltage Connections:

  • Voltage tap points for each phase.
  • Confirmation that connections are secure and meet manufacturer specifications.

Meter Configuration

Communication Settings:

  • Protocol used (e.g., Modbus, BACnet, LoRaWAN).
  • Address, baud rate, and parity for communication if applicable.

Measurement Settings:

  • Configured current and voltage ratios.
  • Power factor correction settings if required.
  • Data Logging Interval: Record the interval at which the meter collects and transmits data (e.g., 1 minute, 15 minutes).

System Integration

Connection to Monitoring System:

  • Details of the gateway or data logger connecting the sub-meter to the monitoring platform.
  • Verification that the sub-meter is successfully communicating with the system.

Integration Testing: Record results of initial tests to ensure the data is being logged accurately and displayed correctly.

Commissioning

Initial Readings: Capture the starting readings from the sub-meter at the time of installation.

Commissioning Report:
Confirm that the meter has been commissioned and verified for accurate operation.

Environmental and Physical Details

Mounting Details:

  • Method of mounting (e.g., panel-mounted, DIN rail, wall-mounted).
  • Accessibility for maintenance or data retrieval.

Protective Measures:

    Details of enclosures or protective covers, especially in industrial or outdoor installations.

Documentation and References

Wiring Diagrams: Provide detailed schematics showing how the sub-meter is connected to the system.
Manufacturer Specifications: Attach technical datasheets for reference.
Installation Photos: Take clear photographs of the installed meter
Contact Information: Record details of the installation team or technician for follow-up queries.

Why Is This Information Important?

Accurate Operation: Ensures the sub-meter is configured and installed correctly.
Troubleshooting: Simplifies maintenance and fault diagnosis in case of issues.
Regulatory Compliance: Provides documentation for audits or certifications.
System Expansion: Facilitates easier upgrades or integration of additional meters in the future.

By carefully documenting these details, you can ensure your sub-metering system operates effectively and provides reliable data over its lifespan.

The Importance of Monitoring Three-Phase Voltage for True kWh Measurement

Smart meter data collection

Smart meter data collection

 

When fitting sub-meters to monitor energy usage, measuring three-phase voltage is crucial to calculate true kWh accurately. Energy usage is determined by the formula:

Why Voltage Monitoring Matters

Voltage Fluctuations
Voltage in real systems varies due to changes in load demand, distribution conditions, or equipment operation. Assuming a fixed voltage, like 400V, introduces errors.

The potential error is calculated as:
For a 5% fluctuation (e.g., actual voltage of 380V instead of 400V), this results in a 5% error in kWh calculation.

Variable Power Factor

Power factor (PF) changes based on load type. Assuming a fixed PF (e.g., 0.9) leads to inaccuracies, especially for systems with motors or non-linear loads.

The error is given by:
For an actual PF of 0.7 instead of 0.9, the error is 22.2%.

Combined Impact

When both voltage and power factor assumptions are incorrect, the combined error can exceed 25%, significantly impacting billing, energy management, and compliance.

Conclusion
Monitoring three-phase voltage ensures accurate kWh measurement by capturing real-time variations in voltage and power factor. These measurements safeguard against costly errors, ensure fairness in billing, and support effective energy management.

For the most precise results, always opt for sub-meters capable of true voltage, current, and power factor measurement.

The Importance of Proper Commissioning for kWh Sub-Meters in Metering Systems

Energy Data Collection

 

As businesses and facilities strive for greater energy efficiency and cost savings, the role of kWh sub-meters has become increasingly vital. These devices provide granular insights into energy consumption across specific circuits, zones, or equipment, empowering users to monitor usage patterns, identify inefficiencies, and make informed decisions. However, the effectiveness of a sub-meter is directly tied to how well it is commissioned — especially when integrated into a larger metering system.

Let’s explore why commissioning kWh sub-meters is essential and the potential benefits it brings to energy management.

What Is Commissioning?

Commissioning involves the process of verifying sub-meters to ensure they are installed, configured, and functioning correctly.

This includes:
• Verifying wiring and connectivity.
• Ensuring seamless integration with a central metering system or Building Management System (BMS).

Without proper commissioning, even the most advanced sub-meters may fail to provide reliable or actionable data.

Why Commissioning Is Crucial

Ensures Accurate Data Collection

Accurate energy data is the cornerstone of effective energy management. Incorrectly installed or configured sub-meters can produce erroneous readings, leading to:
• Misdiagnosed energy inefficiencies.
• Incorrect billing allocations for tenants or departments.
• Skewed energy usage reports.

Commissioning verifies that the meter’s readings are precise and aligned with the system’s requirements, ensuring the data you rely on is trustworthy.

Validates System Integration

In many cases, kWh sub-meters are part of a broader metering or energy management system. Commissioning ensures that:
• The sub-meters are properly communicating with the central system.
• Data is being recorded and transmitted accurately.
• Integration protocols, such as Modbus or BACnet, are configured correctly.

This step is essential to enable seamless data aggregation and visualisation, allowing users to see the full picture of their energy usage.

Prevents Costly Errors

Incorrectly commissioned sub-meters can lead to costly issues, such as:
• Billing disputes with tenants or clients due to inaccurate measurements.
• Wasted time and resources troubleshooting problems after installation.
• Delays in achieving energy-saving goals due to unreliable data.
Proper commissioning identifies and resolves these issues early, preventing them from escalating into larger problems.

Supports Regulatory Compliance

Many industries require accurate sub-metering to comply with energy regulations, such as energy efficiency standards or carbon reporting mandates. Commissioning ensures that sub-meters meet these regulatory requirements and provide data suitable for audits or compliance reporting.

Maximises System Performance

When sub-meters are correctly commissioned, they work in harmony with the metering system to provide:
• Detailed energy profiles for specific areas or equipment.
• Real-time alerts for unusual consumption patterns.
• Actionable insights for reducing waste and optimising operations.

These benefits are only fully realised when the meters and system are properly set up and aligned.

Key Steps in the Commissioning Process

Pre-Installation Checks:

  • Verify that the sub-meter is suitable for the intended application.
  • Ensure compatibility with the central metering system.

Installation Verification:

  • Confirm that the meter is installed in the correct location and wired properly.
  • Check for secure connections and proper grounding.

Calibration and Testing:

  • Conduct calibration tests to ensure the meter measures energy accurately.
  • Perform functional tests to verify data transmission to the central system.

System Integration:

  • Configure communication protocols and ensure data flows seamlessly into the metering.
  • Test the display and reporting features to ensure usability.

Documentation and Handover:

  • Provide detailed commissioning reports for future reference.
  • Train the team on how to monitor and maintain the system.

 

The Long-Term Value of Commissioning

Commissioning is not just a one-time task — it’s an investment in the long-term reliability and effectiveness of your energy management system.

Properly commissioned kWh sub-meters:
• Deliver accurate data for years to come.
• Reduce operational costs by enabling precise monitoring and control.
• Provide peace of mind, knowing your energy system is functioning as intended.

Conclusion

In today’s energy-conscious world, kWh sub-meters are indispensable tools for monitoring and managing energy consumption. However, their value can only be fully realised when they are properly commissioned. By ensuring accuracy, validating integration, and preventing costly errors, commissioning lays the foundation for effective energy management and long-term savings.
If you’re installing or upgrading a metering system, don’t overlook the importance of commissioning. It’s the key to unlocking the full potential of your sub-meters and achieving your energy efficiency goals.