Industrial energy audits are missing major savings, McKinsey finds

Expertise-led transformations can boost energy productivity 20% to 40% and lift margins up to 12 points.

Industrial companies could boost margins by going beyond traditional energy audits, according to McKinsey’s March 2026 report.

Energy accounts for up to 40% of costs in cement, 30% in chemicals, and 10% to 20% in paper, steel, and food manufacturing.

Rising electricity costs in Europe, which grew 86% from 2020 to 2025, increase pressure according to the report.

The report found that standard audits typically deliver single-digit savings, but expertise-led transformations can improve energy productivity by 20% to 40%, translating into up to 12 percentage points of margin improvement. 

Companies that combine system-level analysis, advanced tools like digital twins and heat integration, and workforce engagement have captured millions in savings, McKinsey found.

McKinsey says this approach can deliver two to three times the gains of traditional audits whilst supporting decarbonisation goals.