Energy efficiency has never been more important.

Soaring energy costs and fears of blackouts in Europe following Russia’s invasion of Ukraine focus minds on the most urgent task in the mission to avoid climate catastrophe.?

Radical plans by the European Commission to avert a winter energy crisis underline the priority that must be given to transforming how we use energy in order to slash our consumption—and thereby guarantee tomorrow’s sustainable transformation.

It’s a race against time: emissions must plummet 43% by 2030 to limit global heating to 1.5°C and reach net-zero by 2050, yet are rising.

Meanwhile, electricity use will soar as economies develop, populations grow, and fossil fuel use is displaced through electrification.

Companies will play a critical role, not only reducing demand for energy by using it less wastefully—but helping consumers act on their sustainable instincts.

Businesses must lead a strategic rethink about how we consume power to safeguard Europe’s security while ensuring a sustainable and affordable future.?

Demand

The Ukraine war has prompted the European Commission to develop emergency measures and threatens to disrupt?its roadmap to sustainability.

Europe’s green ambitions provide global leadership and our data suggest a third of its largest 1000+ listed companies aim to reach net zero by 2050.

Yet while attention has focused on how energy is supplied—from renewable sources to distributed generation—the fastest and simplest way to ensure change is by transforming demand. It won’t curb emissions by itself, but can make an important contribution.

We can do this by tapping a key sustainability opportunity that is a focus of the International Energy Agency (IEA) and European Union—energy efficiency—through immediate measures that must be sustained over the long term.

Businesses have a key responsibility: addressing a lack of awareness among consumers about efficient power usage, with 80% not using available new energy solutions. Companies can shape demand, champion technology, and make it affordable.

The benefits are undeniable: the IEA says efficiency could reduce energy demand by 5% by 2030 while still serving an economy 40% larger.

Greater efficiency could provide a third of the emissions reductions we need while easing energy security concerns: 5% efficiency gains in Europe’s buildings and industries could offset 10% of its Russian gas import needs.?

It makes business sense: energy use can account for up to 35% of a company’s operating costs.

Action

Accenture’s analysis points to clear gains from improving energy efficiency in transport, buildings and industry where demand can be cut directly, by using energy wisely, and indirectly through less wasteful processes, business and operating models.

In terms of consumption, transportation, buildings and construction, and industry each account for roughly a third of what we use.

Digitisation is driving gains, and technologies to maximise efficiency are mature and scalable, offering short-term gains.

European corporate leaders have deployed these to boost efficiency. For example, French life sciences company Sanofi used a digital twin at its Framingham plant to slash energy consumption by 80%.

Energy efficiency is especially important in buildings, which generate 38% of global CO2 emissions when construction is included, where stakeholder collaborations using digital technology are making a difference.

As Europe faces a difficult winter, such cooperation powered by innovation offers to strengthen energy security—while keeping alive dreams of a sustainable future.