Energy Services Companies (ESCOs) and utilities play a pivotal role in driving the energy transition. These organizations go beyond implementing energy-saving measures—they deliver measurable results. However, as energy targets grow increasingly ambitious, the path to achieving and maintaining them becomes more challenging.
The Spacewell Energy 2024 Survey Report offers a closer look at the priorities, pain points, and solutions shaping the industry this year. In this article, we’ll highlight key takeaways specifically for ESCOs and utilities, combining insights from the report with other research to deliver a clear roadmap for navigating 2025. Although their nature is different, we are grouping ESCOs and Utilities in this article to highlight their responses as purely energy-related organisations, in contrast to those provided by tertiary and end client organisations.
Top Challenges for Energy Professionals in 2024
Professionals from the energy sector, including utilities and ESCOs, identified five key challenges dominating the landscape:
- Generating and maintaining verified savings
- Delivering the right energy saving measures to customers
- Improving operational efficiency
- Demonstrating the return on investment (ROI) on energy saving measures
- Identifying the technologies that fit their needs
While these challenges aren’t new, the pressure to address them has never been greater. Organizations that successfully navigate these obstacles will differentiate themselves in an increasingly competitive market.
The Growing Need for Verified Savings
Demonstrating verified energy savings is becoming more and more essential. Clients, investors, and regulators are demanding transparency, and data is the cornerstone of that accountability.
According to the International Energy Agency (IEA), implementing data-driven monitoring systems can improve the effectiveness of energy efficiency measures by up to 20%. This is also shown in some of our energy case studies, where customers have achieved tangible savings. Tools like the Spacewell Energy Platform provide real-time insights into energy usage, helping organizations monitor savings, measure impact, and sustain efficiency over time.
This capability is particularly critical for ESCOs, whose credibility often depends on their ability to deliver measurable results. Without robust data, scaling energy efficiency projects becomes increasingly difficult.
Technology: An Opportunity and a Challenge
With new energy technologies emerging at a rapid pace, ESCOs and utilities are tasked with identifying solutions that align with their unique goals. Yet 61% of organizations report struggling to select technologies that meet their needs, according to Deloitte’s 2023 Energy Management Report.
The challenge lies not just in evaluating features but also in assessing integration potential, scalability, and long-term ROI. Platforms like Spacewell Energy simplify this process by offering centralized tools for monitoring, analysis, and reporting.
Breaking Through Common Barriers
Even the most well-intentioned energy efficiency projects can get stuck. The Spacewell Energy 2024 Survey Report identifies four common barriers:
- Limited funding
- Insufficient ROI
- Lack of clarity on achieved savings
- Lack of executive support
Overcoming these challenges requires a combination of strategy and tools. For example, real-time energy monitoring can help address funding and ROI concerns by providing actionable insights into where energy savings are occurring—and where they’re falling short.
This data-centric approach aligns with findings from McKinsey’s 2024 Energy Insights Report, which highlights that companies using advanced analytics are 30% more likely to achieve their energy efficiency goals.
Why Data is Your Best Ally
The common thread through all these challenges is the need for better data. Numbers tell the story of an energy efficiency project’s success—or failure. They identify inefficiencies, track progress, and make a compelling case for continued investment.
For ESCOs and utilities, leveraging data isn’t just about meeting immediate KPIs. It’s about building trust with stakeholders, strengthening client relationships, and paving the way for sustainable growth. Data provides the clarity needed to sustain and scale energy efficiency projects. Without it, opportunities for improvement are lost.
Your Next Step: Download the Full Report
Your energy challenges may be complex, but the solutions are within reach. Whether you’re focused on improving operational efficiency, selecting the right technology, or demonstrating ROI, the Spacewell Energy 2024 Report provides the insights you need to succeed.
Download the full report to access:
- Comprehensive analysis of industry trends
- Practical strategies for overcoming common challenges
- Expert insights from peers and potential clients to inform your energy management decisions
With the right tools and strategies, 2025 can be a year of progress, innovation, and measurable impact.
