Benchmarking compares a building's energy use with its own past performance, with similar buildings, or with a target. It is the simplest way to answer the question every owner should ask first: is this building using more energy than it should? A benchmark does not explain why a building performs as it does, but it shows where to look and helps prioritize audits and investments across a portfolio.
In Canada, benchmarking is voluntary in most places but mandatory for larger buildings in some jurisdictions, and it is increasingly expected by investors, tenants and lenders. This guide covers the metrics, tools and process.
Key metrics
Energy use intensity
Energy use intensity (EUI) is annual energy use divided by floor area. It allows buildings of different sizes to be compared. Canadian reporting usually expresses EUI in equivalent kilowatt-hours per square metre per year (ekWh/m²) or gigajoules per square metre (GJ/m²), converting all fuels to a common energy unit.
Two versions are common:
- Site EUI counts energy delivered to the building, as measured by the utility meters.
- Source EUI accounts for the energy used to generate and deliver that energy, which makes comparisons between electricity and gas fairer. ENERGY STAR Portfolio Manager uses source EUI for its scores.
Weather-normalized EUI
Heating and cooling energy vary with the weather. Weather normalization adjusts actual use to what it would be in a typical year, using heating and cooling degree days, so year-to-year changes reflect performance rather than a mild or harsh winter.
Greenhouse gas intensity
Greenhouse gas intensity (GHGI), typically in kilograms of CO2 equivalent per square metre, is increasingly reported alongside EUI, especially where municipal carbon targets apply. It depends on fuel mix and provincial grid emission factors.
Water use intensity
Water use per square metre or per occupant is often benchmarked at the same time, especially where cooling towers are a major user.
Tools
ENERGY STAR Portfolio Manager is the standard benchmarking tool in Canada, administered here by Natural Resources Canada. It is free, handles weather normalization, and calculates a 1 to 100 ENERGY STAR score for eligible Canadian property types such as offices, schools, hospitals, hotels, retail and warehouses. A score of 50 represents median performance among similar buildings; higher is better. Scores are based on Canadian survey data where available.
Other useful tools and data:
- Utility web portals and automatic data transfer to Portfolio Manager, offered by many utilities.
- Interval meter data and BAS trends for deeper analysis.
- Internal portfolio databases for owners with many similar buildings.
Where benchmarking is required
Reporting requirements vary by province and municipality.
- Ontario requires larger properties to report annual energy and water use under the Energy and Water Reporting and Benchmarking regulation, with thresholds based on floor area. Reported data is published.
- Some municipalities, including Vancouver, have introduced reporting requirements and, in some cases, emissions limits for large commercial buildings.
- Other cities, including Edmonton, have run voluntary large building reporting and disclosure programs.
Thresholds and deadlines change, so confirm current requirements with the province or municipality.
The benchmarking process
- Gather building data: gross floor area, property type, operating hours, occupancy, number of computers, and other details required for the property type.
- Collect at least 12 months of utility data for every fuel and meter: electricity, natural gas, district heating or cooling, and any on-site generation.
- Check data quality: missing months, estimated readings, meters serving other buildings, and tenant-paid utilities that must be included.
- Enter data into Portfolio Manager or connect automatic utility data transfer.
- Review results: EUI, score, weather-normalized trends and GHG emissions.
- Compare against similar buildings, the national median, and the building's own history.
- Act on the results: prioritize buildings and systems for investigation.
- Repeat annually and track progress.
Interpreting results
| Finding | What it may indicate | Next step |
|---|---|---|
| EUI well above median for the property type | Inefficient systems, poor controls, long operating hours | Walk-through audit or ASHRAE Level 1 |
| Rising weather-normalized EUI over several years | Controls drift, overrides, equipment degradation | Retro-commissioning, trend review |
| High base load (summer and winter use similar) | Equipment running 24/7, simultaneous heating and cooling | Night and weekend trend analysis |
| High winter gas use relative to degree days | Ventilation heating, envelope losses, boiler inefficiency | Check schedules, outdoor air, boiler operation |
| Summer electricity peaks well above peers | Chiller plant inefficiency, oversized cooling, poor resets | Plant review |
A low benchmark score is a prompt to investigate, not a diagnosis. Some buildings have legitimate reasons for high use, such as unusual process loads or 24-hour operation, which should be captured in the property details.
From benchmark to action
Benchmarking is most useful when it feeds a structured improvement process:
- Use the portfolio view to select buildings for audits, starting with the highest EUI or worst trend relative to peers.
- Follow with an ASHRAE Level 1 or Level 2 audit to identify measures.
- For buildings with rising use, retro-commissioning often finds low-cost controls fixes.
- Use interval data to examine daily profiles: night and weekend use, morning start times and peak demand.
- After improvements, track weather-normalized EUI to confirm savings persist. Formal savings verification uses the methods in measurement and verification of energy savings.
Frequently asked questions
How accurate is benchmarking?
It is as accurate as the input data. Incorrect floor areas, missing meters and wrong property types are the most common errors. Once the data is right, benchmarking is reliable for comparison and trend tracking, though not for diagnosing specific faults.
Can I benchmark a building with mixed uses?
Yes. Portfolio Manager allows multiple property uses within one building, each with its own floor area and operating characteristics.
What if my building has no separate meters for tenants?
Benchmarking uses whole-building energy, so tenant-paid utilities must be included, often through aggregated data from the utility. Some utilities provide aggregated whole-building data on request.
Key takeaways
- Benchmarking compares energy use with peers, past performance or targets, usually through EUI.
- ENERGY STAR Portfolio Manager is the standard Canadian tool and provides weather normalization and scores.
- Reporting is mandatory for larger buildings in Ontario and some municipalities, and requirements change.
- Data quality, especially floor area and complete metering, determines reliability.
- Use benchmarks to prioritize audits and retro-commissioning, then track results year over year.
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