Energy Monitoring Software: Features, Benefits, and How it Works

Among the various types of energy management software available today, energy monitoring software stands out as a critical tool for helping reduce compliance risk, improve the ROI of your energy contracts and simplify clean energy reporting.

But what makes this digital tool so valuable for companies as they tackle rising energy prices, ongoing compliance and financial pressures, and strict government regulations? 

This article will examine the key features, benefits, and functionality of energy monitoring software. Additionally, we’ll explore how it’s transforming corporate renewable energy procurement and sustainability reporting to support decarbonization and cost-saving efforts.

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What Is Energy Monitoring Software? 

Energy monitoring software are smart tools that collect, analyze, and visualize real-time data from various energy sources to help companies generate reports with a comprehensive overview of their contract performance, EAC balances, financials, and other necessary data for reporting on electricity emissions. 

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Think of it as the brainpower that provides clear insights into your energy portfolio by:

1. Providing periodic data collection and processing: The software eliminates tedious manual data tasks with automated collection, processing and consolidation of production, consumption, electricity certificates and carbon data. 
2. Measuring and analytics tool: Analyze data, generate reports, and provide actionable insights into energy usage for your procurement and management strategies. 
3. Providing an overview of EAC balances: It offers a centralized, auditable repository for contracts and evidence, ensuring full compliance with reporting schemes like CSRD and CDP. 
4. Monitoring and forecasting financial performance: By automating invoice settlement verification, net cash-flow discrepancy tracking and data collection, energy monitoring software helps to track and forecast the volumetric and financial performance of your electricity contracts.
   
   

MarketsandMarkets estimates the global energy management systems (EMS) market to grow from USD 49.01 billion in 2025 to USD 84.34 billion by 2029, highlighting the growing importance of energy monitoring software solutions.

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How Does Energy Monitoring Software Work?

Energy monitoring software collects data from national data hubs, utility systems, or grid operators to transform raw data into actionable insights. The software can then track energy usage, certificates and electricity data across your facility to provide a comprehensive overview of your contracts which can be used for contract performance monitoring and reporting, as well as helping you to automatically access unprecedented levels of granular electricity meter data.

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Example: Flexidao’s platform automates the collection of clean electricity generation data, consumption metrics, electricity certificates and attestations, and hourly emission factors through existing systems to deliver real-time insights. Once a seamless data flow is established, the platform’s dashboards then display key charts and KPIs—such as renewable energy contracts, associated energy certificates, and emissions data—that support decision-making and detailed reporting. 

This approach helped Google to integrate reliable, real-time data from multiple sources, helping the company validate its renewable energy sourcing and meet its 24/7 carbon-free energy commitments.

Explore the case study for a deeper look at this solution in action.

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Key Features and Benefits of Energy Monitoring Software

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Automate data collection and access granular electricity data 

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Energy monitoring software simplifies your energy management process by automating data collection while providing up to real-time visibility into your energy usage. This tool saves you hundreds of hours of manual reporting and complex calculations, making it easier to track your company’s environmental impact.

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Key insight: Businesses can effectively monitor and forecast the financial performance of their electricity contracts by automating invoice settlement verification, net cash-flow discrepancy tracking, and data collection through Flexidao’s platform. 

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In addition, an intelligent energy monitoring software with advanced granular data access offers several benefits:

• Power Purchase Agreement (PPA) financial risk control: As the corporate PPA market continues to grow, companies need efficient energy data management for PPAs and electricity contracts with EACs to ensure profitability. An energy monitoring software can achieve this by 
• Optimized procurement strategies: The most sophisticated corporate procurement strategies need granular metering data. Hourly matching is critical for compliance with various directives and tax credit frameworks, including those for clean hydrogen in the EU and US.
• Staying ahead of evolving carbon accounting standards: As carbon accounting standards evolve alongside corporate procurement strategies, one comprehensive overview of your EAC portfolio and consumption data helps you adapt and stay compliant.
• Issuance and trading of granular certificates (GCs): Granular data is essential for issuing time-stamped energy attribute certificates (GCs). These certificates can be used by businesses looking to track their electricity portfolio in near real time for the most accurate overview and progress towards advanced procurement approaches.

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At Flexidao, we have extensive experience working with multiple data sources and addressing the unique challenges of granular energy data exchange. Learn more about how corporate clean energy buyers can leverage granular data in our latest whitepaper.

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Real-time monitoring and reporting

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Some energy monitoring software, like Flexidao’s platform, have an additional feature of real-time monitoring to measure granular data. Intuitive dashboards track electricity and emissions data up to hourly intervals for a detailed view of your portfolio's performance. 

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Energy monitoring software that tracks data on an hourly interval can offer continuous insights into demand patterns, usage trends, and potential savings to improve your energy reporting and disclosure. The software also identifies operational inefficiencies and helps you benchmark energy consumption against your peers or industry standards. 

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By integrating automated data collection with advanced analytics, companies are monitoring easier and in greater detail—while advancing towards carbon-neutral goals and showcasing their sustainability accomplishments.

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Energy procurement and risk management

Energy monitoring software provides key insights into energy consumption and procurement, helping you plan and execute your energy procurement strategy while considering market conditions, price fluctuations, and regulatory changes.

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It monitors contracts to ensure optimal performance, while highlighting specific opportunities within your portfolio for cost savings and efficiency improvements. 

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The right energy monitoring software can help with automating processes like tariff analysis and simplify PPA management. Companies can also benefit from identifying and mitigating risks associated with market fluctuations and contractual obligations.

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Carbon management 

Modern energy monitoring software doesn't just record electricity consumption. 

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The software can also collect and validate renewable energy data from sources like Energy Attribute Certificates (EACs) and Renewable Energy Certificates (RECs) to monitor Scope 2 emissions. This functionality enables detailed tracking of KPI, inventory of EACs and emissions performance. 

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How to Integrate Energy Monitoring Software with Existing Systems 

Integrating energy monitoring with tools such as Enterprise Resource Planning (ERP) systems, sustainability software, and renewable energy monitoring platforms is about creating a unified ecosystem that enhances your energy management capabilities. 

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Modern energy monitoring solutions typically use APIs and standard communication protocols (such as OPC-UA or BACnet), making it easier to aggregate data from various sources into one centralized dashboard.

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To successfully integrate energy monitoring software, consider these key steps:

1. Assess your systems: Identify the current hardware and software platforms that manage energy-related data in your organization.
2. Plan for API integration: Work with your software vendor to understand available integration points and required data formats.
3. Establish secure data flows: Ensure that data transfers between systems are secure and comply with your IT policies.
4. Test and validate: Run pilot tests to verify data accuracy and system compatibility before full deployment.
5. Collaborate across teams: Coordinate with IT, operations, and sustainability teams to streamline integration and maintain ongoing support.

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Key advantages of integrating energy monitoring software include::

• Comprehensive visibility: When your energy monitoring software and existing systems work together, it delivers a complete view of your energy and sustainability performance. This also makes it easier to spot savings opportunities and drive efficiency improvements.
• Seamless compatibility: Most modern energy monitoring software is designed to integrate smoothly with existing systems requiring little to no modification. Think of it like an inventory app that brings all your critical insights together, helping your team make faster, smarter decisions.
• Cost savings: While it may seem like an extra cost at first, this software turns into a valuable investment by lowering your utility bills over time. It identifies discrepancies between contracted and actual electricity usage, resulting in substantial cost savings for businesses.

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For example, integrating energy monitoring software with ERPs provides businesses with a holistic perspective on energy usage and financial data to better assess the financial implications of energy-saving initiatives. 

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‍Similarly, integrating sustainability software with renewable energy monitoring software empowers companies to effectively track and report on their adoption of renewable energy. This integration further supports their sustainability objectives and ensures compliance with environmental reporting requirements.

Conclusion

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In summary, energy monitoring software is a powerful tool that automates data collection, delivers real-time insights, and offers detailed analytics on energy consumption. This solution not only streamlines the tracking of energy usage across both conventional and renewable sources but can also integrate with existing systems. 

Ultimately, the software enhances reporting and operational efficiency, making it an essential tool for modern energy management. Investing in a robust energy monitoring software also allows businesses to develop more effective strategies and closely track their progress toward carbon-neutral or net-zero goals.  

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What Makes Flexidao Different From Other Energy Monitoring Software?

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Flexidao’s clean energy intelligence platform stands out by helping companies to accurately track the origin of their electricity procurement. It is unrivaled in its comprehensive global monitoring capabilities using granular electricity data. With data from over 25,000 consumption sites in more than 70 countries—tracking over 55 TWh of electricity—Flexidao offers unmatched insight into energy sourcing.

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It does this by:

• Automatically collecting energy consumption data and EACs from national registries.
• Delivering accurate monitoring of the source of renewable electricity, enabling granular information and continuous renewable energy matching between production and consumption sites.
• Tracking electricity and emissions data up to hourly intervals for a detailed view of your portfolio's performance, simplifying the complexity of granular carbon emissions KPIs.

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Additionally, Flexidao’s 24/7 CFE inventory tool offers an all-in-one, real-time monitoring dashboard that streamlines Scope 2 emissions reporting by tracking renewable energy generation and consumption on both an hourly and annual basis. 

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Get in touch with us today to discover how Flexidao’s digital tools can streamline your energy monitoring process for better management of your electricity data.

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References

[1]  Verdantix.com - The New Landscape Of Energy Management Software Report 

[2] Marketsandmarkets.com - Energy Management Systems Market Global Forecast to 2029 

[3] Google Cloud - Iron Mountain pursues 24/7 carbon-free energy goal with Google Cloud

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