Building performance

What is an energy audit? Levels, standards and the data it needs

An energy audit finds where a site uses energy and which savings pay back. ASHRAE levels 1 to 3, EN 16247 and ISO 50002, who must audit, and a worked example.

An energy audit is a systematic review of how a building, site or organisation uses energy. The auditor collects consumption data, inspects the site, works out where the energy goes, and reports a list of savings measures, each with its estimated energy saving, cost and payback. The European process standard is EN 16247-1:2022, the international one is ISO 50002-1:2025, and in North America ASHRAE Standard 211 defines three audit levels.

An audit is a snapshot. It says what the site used, where, and what could change, on the dates the data covers. It does not keep the savings in place. That is the job of an energy management system such as ISO 50001, and of the metering that shows whether each measure is still working.

Energy audit levels: ASHRAE level 1, 2 and 3

ANSI/ASHRAE/ACCA Standard 211, Standard for Commercial Building Energy Audits, was published in 2018 and reaffirmed in 2023. It defines three levels. Each level includes the work of the one below it. The names below are the ones in common use for ASHRAE audits; what binds is the scope the standard sets for each level.

LevelUsual nameWhat the auditor doesWhat the client gets
Level 1Walk-through surveyAnalyses 12 months or more of utility bills, benchmarks energy use per m², walks through the building and talks to the operatorsBenchmark, obvious no-cost and low-cost measures, a list of areas for closer study
Level 2Energy survey and analysisBreaks consumption down by end use, inspects systems, reviews schedules and set points, measures where data is missingEach measure with its estimated saving, cost and payback, and the interactions between measures
Level 3Detailed analysis of capital-intensive modificationsMonitors for weeks, models or simulates the systems, prices the work with contractorsInvestment-grade figures for large projects such as plant replacement

A Level 1 audit can rest on bills. A Level 2 audit cannot, because bills give one number per meter per month and the measures are per system. A Level 3 audit nearly always adds temporary or permanent metering, because a capital decision needs measured load profiles, not estimates.

EN 16247 does not use levels. The client and auditor agree the scope, aims, depth and boundaries at the start, and the standard scales the work to that agreement. ISO 50002-1 works the same way, and its companion parts, ISO 50002-2:2025 and ISO 50002-3:2025, give guidance for buildings and for processes.

The EN 16247 process

EN 16247-1 sets the general requirements. Part 2 covers buildings, part 3 processes and part 4 transport, and each adds to part 1 where it applies. Part 5 sets the competence of energy auditors. The audit follows the same steps in every case:

  1. Preliminary contact. Agree the aims, scope, boundaries, level of detail, deliverables and the criteria for ranking measures.
  2. Start-up meeting. Name the people who will supply data and access, and agree the data the client must provide.
  3. Data collection. Bills, interval data, submeter records, equipment lists, operating hours, production or occupancy figures, and any earlier audits.
  4. Field work. Inspect the plant and the processes, check how they actually run against the data, and take measurements where the data is missing.
  5. Analysis. Build the energy balance, define a baseline and indicators, and identify and evaluate the savings measures.
  6. Report. The findings, the energy balance, the ranked measures with their assumptions, and the data the auditor relied on.
  7. Final meeting. Present the results and agree the next steps.

The energy balance is the check on the whole audit. The end uses the auditor identifies must add up to the metered total. A large unexplained remainder means the breakdown rests on assumptions, and so does every saving calculated from it.

Who needs an energy audit

Most mandatory audit schemes come from Article 8 of the 2012 EU Energy Efficiency Directive and its recast. The table gives the current rules in Great Britain and the main EU markets.

SchemeWho is in scopeDuty and frequencyCurrent deadline
EU Energy Efficiency Directive (EU) 2023/1791, Article 11Enterprises above 10 TJ (about 2.8 GWh) a year, averaged over three years, without a certified energy management systemEnergy audit at least every four yearsWas due by 11 October 2026 (first audit under the recast rules), then at least every four years
Same Directive, above 85 TJ (about 23.6 GWh) a yearEnterprises above the higher thresholdCertified energy management system instead of auditsIn place by 11 October 2027
ESOS, Great Britain and Northern Ireland250 or more employees, or turnover above £44 million and balance sheet above £38 millionAudit of at least 95% of total energy, or ISO 50001, every four yearsPhase 4 notification by 5 December 2027
Spain, Real Decreto 56/2016Large companies and groups, under the national size test until later Spanish law applies the energy testAudit of at least 85% of final energy every four years, or a certified management system that includes oneSee the Spanish guide
Italy, Decreto legislativo 102/2014, Article 8Large companies and registered energy-intensive companiesAudit of Italian production sites every four years, results sent to ENEASee the Italian guide
Germany, Energieeffizienzgesetz (EnEfG), section 8Companies above 7.5 GWh a year of final energy, averaged over the last three yearsEnergy management system to ISO 50001 or environmental management system under EMASCompanies already covered in November 2023: by 18 July 2025. See the EnEfG guide
France, Code de l'énergie, Articles L233-1 to L233-3, as amended by Law 2025-391Companies at or above 2.75 GWh a year of final energy, averagedEnergy audit every four years unless a management system is in place; a certified ISO 50001 system at or above 23.6 GWhSet by Decree 2025-1382 of 29 December 2025

The recast Directive replaced the old size test with an energy test, which Member States applied from 11 October 2025. A mid-sized manufacturer that was exempt may now have an audit deadline, and a large office company that uses little energy may not. The EED guide explains how to count energy against the thresholds. The ESOS guide covers the phase 4 rules in Great Britain.

Annex VI of the Directive sets minimum criteria for every Article 11 audit. The audit must use up-to-date, measured, traceable operational data, including load profiles for electricity. It must review the consumption profile of the buildings, processes and transport, use life-cycle cost analysis instead of simple payback wherever possible, and be representative enough to give a reliable picture of overall energy performance.

Outside the mandatory schemes, many audits are voluntary or tied to funding. In Ireland, the Sustainable Energy Authority of Ireland (SEAI) offers a €2,000 voucher towards an audit under its Support Scheme for Energy Audits. SEAI changed the scheme's eligibility criteria in October 2026, so check its current terms before applying.

The data an energy audit needs

An auditor can only analyse the data the site can produce. Prepare it before the start-up meeting.

DataWhy the auditor needs itWhere it comes from
12 to 36 months of bills for every fuelTotal consumption, cost and the EU threshold testSupplier invoices, fuel card records
Electricity interval data, 15 or 30 minutesLoad profile, baseload, peaks and out-of-hours wasteFiscal meter data from the supplier or network operator
Submeter data for the significant usesEnergy by system or process, in place of estimatesExisting submeters, or temporary metering for the audit
Relevant variablesProduction volume, occupancy, opening hours and degree days, to normalise consumptionProduction records, building management system, weather data
Asset listRatings, ages and operating hours of the main plantMaintenance records, nameplates
Schedules and set pointsWhat each system should be doing, to compare with what it doesBuilding management system, operators

Interval data finds savings that bills cannot. A flat line at 02:00 on a Sunday is the site's overnight baseload, and in most audits the first measures come from it. Submeters do the same for each system: they show the compressor that runs all weekend to feed leaks, or the chiller that never turns down. Without them, the auditor divides the total by nameplate ratings and assumed hours, and the energy balance closes by construction.

The submetering guide explains which circuits to meter first. Meter the significant uses before the audit if you can. A year of measured data makes the audit cheaper and the savings estimates more reliable.

Worked example: an audit of a moulding plant

A plastics moulding plant uses 2,400,000 kWh of electricity and 1,100,000 kWh of natural gas a year, 3,500,000 kWh in total. At 3.6 MJ per kWh that is 12,600 GJ, or 12.6 TJ. If its three-year average is similar, it is above the EU 10 TJ audit threshold and well below the 85 TJ threshold for an energy management system. The energy unit converter puts other fuels on the same scale.

The site has half-hourly electricity data and submeters on the compressors, the moulding machines and the chilled water system. The auditor finds five measures. The prices below are the plant's own assumptions for this example: €0.20 per kWh of electricity and €0.06 per kWh of gas.

MeasureHow it was foundAnnual savingValue per yearCostSimple payback
Switch off barrel heaters at weekends: 45 kW × 40 h × 50 weeksMoulding machine submeter, weekend profile90,000 kWh electricity€18,000€1,5000.08 years
Repair compressed air leaks: off-shift load from 30 kW to 10 kW for 2,900 hCompressor submeter, non-production hours58,000 kWh electricity€11,600€4,0000.34 years
Insulate boiler house valves and flangesField inspection, thermal camera60,000 kWh gas€3,600€3,0000.83 years
Variable speed drive on the chilled water pumpChilled water submeter, constant 15 kW43,920 kWh electricity€8,784€9,0001.02 years
Replace 20 kW of lighting with LED, saving 11 kW for 4,000 hLighting survey44,000 kWh electricity€8,800€26,0002.95 years
Total295,920 kWh€50,784€43,5000.86 years

Simple payback is cost divided by annual value: €26,000 ÷ €8,800 = 2.95 years for the lighting. Together the five measures save 295,920 kWh, 8.5% of the site's total.

The pump figure assumes the pump can run at 80% flow and that its power falls with the cube of speed: 15 kW × (1 − 0.8³) = 7.32 kW, for 6,000 hours a year. A real system with static head saves less, so a Level 3 audit would measure the pump at reduced speed before committing to it. The Directive also asks for life-cycle cost analysis wherever possible. Simple payback ignores the lifetime of each measure, so the LED lighting, which lasts many years, looks worse than it is next to a leak repair that must be repeated.

The two fastest paybacks came from submeter data, not from the walk-through. Neither shows on a monthly bill. The same submeters then become the measurement for each saving. The savings baseline guide explains how to adjust the before-and-after comparison for production, and the compressed air specific power calculator checks whether the compressed air plant has improved per m³ delivered.

Energy audit or ISO 50001?

An audit produces a report. ISO 50001 produces a management system: an energy policy, an energy review, energy performance indicators, targets, action plans, internal audits and a management review, certified by an external body and kept up every year. ISO 50002-1 audits can supply the energy review that ISO 50001 requires.

The two routes are alternatives in law. The EU Directive requires a certified energy management system above 85 TJ and accepts one in place of audits above 10 TJ. ESOS accepts ISO 50001 certification as a route to compliance. A site that audits every four years and does nothing in between usually finds the same measures at the next audit, because nobody measured whether the last ones stayed in place.

Measurement for audits with EpiSensor

EpiSensor makes measurement hardware and software, not audits. ZEM electricity monitors submeter the significant electricity uses, and report over a Zigbee mesh, so they are installed without running data cables to each panel. ZPC pulse counters read the pulse outputs of existing gas, water and heat meters. A Gateway running Edge keeps the interval history on site, and the auditor can export any selection of it to CSV from the Edge Data page.

Install the meters before the audit, so the auditor works from a measured year, and keep them after it, so each measure has a before and after. The energy management page describes the full measurement plan.

Common questions

What is an energy audit?

A systematic review of how a building, site or organisation uses energy. The auditor collects consumption data, inspects the site, finds where energy is used and wasted, and reports a list of savings measures with their estimated energy savings, costs and payback. EN 16247-1 and ISO 50002-1 set out the process.

What are the levels of an energy audit?

ASHRAE Standard 211 defines Level 1, a walk-through survey with a utility bill analysis and low-cost measures; Level 2, an energy survey and analysis that breaks consumption down by end use and costs each measure; and Level 3, a detailed analysis of capital-intensive measures, usually with extra monitoring or simulation. European audits follow EN 16247, which scales the depth to the agreed scope instead of fixing levels.

Who needs an energy audit?

In the EU, Article 11 of Directive (EU) 2023/1791 requires an audit from every enterprise whose average annual energy consumption over the previous three years exceeds 10 TJ, unless it has a certified energy management system. National law sets the details. In Great Britain, ESOS applies to undertakings with 250 or more employees, or with turnover above £44 million and a balance sheet above £38 million.

How often is an energy audit required?

At least every four years under the EU Energy Efficiency Directive. The first audit under the recast rules was due by 11 October 2026, then at least every four years. ESOS also runs in four-year phases; phase 4 notifications are due by 5 December 2027.

How long does an energy audit take and what does it cost?

It depends on the level, the number of sites and how much data already exists. A walk-through of one building with a year of bills is short. A detailed audit of an industrial process that needs new temporary metering takes weeks of measurement before the analysis starts. Ask auditors to quote against a written scope, the boundaries, the level and the deliverables.

What is the difference between an energy audit and ISO 50001?

An audit is a point-in-time assessment that produces a list of measures. ISO 50001 is a continuous management system: an energy policy, an energy review, indicators, targets, action plans and management review, certified by an external body. ISO 50002-1 audits can feed the ISO 50001 energy review, and the EU Directive exempts an enterprise with a certified energy management system from the separate audit duty.