One of Israel’s first dedicated energy-efficiency companies, ESCO Israel, announced last week that it's participating in a NIS 25 billion plan to address the rise in energy consumption associated with the development of artificial intelligence data centers in the country.
According to the company, the current inefficiencies in the Israeli energy sector amount to approximately 20% of total consumption, representing some NIS 5 billion a year that could be saved.
The company announced that it's now expanding its operations beyond projects in the health and business sectors, aiming to secure critical government projects to implement energy-efficiency plans.
"Over the past 20 years, we have proven that energy efficiency is not a slogan but a real growth engine for the Israeli economy,” said Dan Bar-Mashiah, founder and chairman of ESCO Israel.
ESCO reported that its operations have helped companies and other entities save almost a billion shekels in energy costs, with efficiency improving by 30% to 40%, depending on the case.
ESCO’s energy efficiency project
The company now announced that it aims to replace the need to install new power plants, to instead using power efficiency to create “virtual power plants” that better manage the electricity needs nationwide.
This project, which has an estimated value of NIS 25 billion, is expected to save NIS 75 billion over 15 years for Israel in power consumption costs.
“Following our success in government hospitals and leading business entities in Israel, our next goal is to implement this model on a large scale across the government sector, saving billions of shekels and reducing the energy consumption of the State of Israel,” said Bar-Mashiah.