Prioritization of Industrial Energy Efficiency Actions using Multicriteria Decision Aid

Abstract

Industrial firms frequently face the challenge of selecting among multiple energy efficiency actions under limited budgets and competing operational priorities. This study proposes a multicriteria decision-making approach to prioritize industrial energy efficiency alternatives using the ELECTRE III method. The analysis is based exclusively on real and published data extracted from the U.S. Department of Energy Industrial Training and Assessment Centers (ITAC) database, ensuring the empirical relevance and traceability of the alternatives and their performance scores. Eight actual industrial actions were selected and characterized according to four criteria: total yearly savings, implementation cost, electricity usage savings, and electricity demand-charge savings. These criteria capture both the economic and operational dimensions of energy-efficiency investments and provide a suitable basis for an outranking analysis under imperfect preference structures. ELECTRE III is especially appropriate in this context because it allows for the incorporation of preference, indifference, and veto thresholds, thereby reflecting the uncertainty and gradual preference patterns that typically arise in real industrial decision environments. The study contributes a replicable framework for ranking energy efficiency projects using reliable secondary data and offers practical support for decision-makers seeking to improve resource allocation in manufacturing settings. The proposed approach also demonstrates how publicly available industrial assessment data can be transformed into a robust decision model for sustainable operations and energy management.