--- title: Understand Energy Savings Calculations - GridPoint description: This video explains how IPMVP works, why other methods don’t, and why it's important to evaluate efficiency projects based on this standard. image: https://resources.gridpoint.com/hubfs/Imported_Blog_Media/Mobile-3_0-Savings-e1516119737861-May-29-2024-07-56-55-0564-PM.jpg --- [![Logo](https://21559882.fs1.hubspotusercontent-na1.net/hubfs/21559882/GridPoint/Images/Logo.svg) ](https://www.gridpoint.com/) [ Solutions ](https://www.gridpoint.com/solutions/) [ Industries ](https://www.gridpoint.com/industries/) [ Company ](https://www.gridpoint.com/company/) [ Resources ](https://resources.gridpoint.com/blog) [ Get Started ](https://www.gridpoint.com/get-started/) [ Login ](https://www.gridpoint.com/login/) [ Solutions ](https://www.gridpoint.com/solutions/) [ Industries ](https://www.gridpoint.com/industries/) [ Company ](https://www.gridpoint.com/company/) [ Resources ](https://resources.gridpoint.com/blog) [ Get Started ](https://www.gridpoint.com/get-started/) [ Login ](https://www.gridpoint.com/login/) # Understand Energy Savings Calculations This video explains how IPMVP works, why other methods don’t, and why it's important to evaluate efficiency projects based on this standard. ![GridPoint](https://resources.gridpoint.com/hubfs/Branding%20Assets/GridPoint_Emblem_Color-02.png) GridPoint Jul 09, 2019 · 2 min read ![ In this article If you have a 10% off coupon for something that costs $100, you know you will be saving $10 – simple. Unfortunately determining energy savings is not so simple. Many variables impact how much energy a building needs day-to-day, making measuring and validating [energy efficiency](https://www.gridpoint.com/solutions/operational-efficiency/) projects a headache for managers and decision-makers – enter IPMVP! The IPMVP (International Performance Measurement and Verification Protocol) was originally developed by the [Efficiency Valuation Organization](https://evo-world.org/en/products-services-mainmenu-en/protocols/ipmvp) to help increase investment in energy and water efficiency, demand management, and renewable energy projects around the world. Today it has evolved into an international standard for calculating energy savings and is widely accepted across the globe. The model isolates external variables like weather, store hours, occupancy, equipment, and other behavioral changes to deliver the most accurate savings calculations using a site-to-self approach. Temperature conditions change from year to year which makes simply comparing this year’s energy consumption to last year’s consumption inaccurate.  One way to accurately measure a location’s energy savings after the deployment of an efficiency project is through weather normalization.  In IPMVP, weather normalization is used to remove the impact weather has on your building by establishing a baseline.  [[Learn more about weather impacts here]](https://www.gridpoint.com/blog/weather-normalization-how-degree-days-impact-your-business/). This video explains how IPMVP works, why other methods aren’t as accurate, and why GridPoint bases customer savings on this standard: ## Estimating energy savings with IPMVP The International Performance Measurement and Verification Protocol (IPMVP) is a standardized method to calculate energy savings. It Isolates external variables so a site can measure savings performances year-over-year. It models the relationship with energy consumption and external factors to give you the actual usage after energy efficient technology is installed. GridPoint relies on the IPMVP protocol to give our customers the most accurate savings forecast possible. [{url={type=EXTERNAL,%20content_id=null,%20href=https://youtu.be/FLdDg9DfNI8,%20href_with_scheme=https://youtu.be/FLdDg9DfNI8},%20open_in_new_tab=false,%20no_follow=false,%20sponsored=false,%20user_generated_content=false,%20rel=}]({url={type=EXTERNAL,%20content_id=null,%20href=https://youtu.be/FLdDg9DfNI8,%20href_with_scheme=https://youtu.be/FLdDg9DfNI8},%20open_in_new_tab=false,%20no_follow=false,%20sponsored=false,%20user_generated_content=false,%20rel=}) Share - - Related resources ## More from the energy desk. [ See all articles ](https://resources.gridpoint.com/blog) [![Portfolio Energy Benchmarking & Enterprise Accountability](https://resources.gridpoint.com/hubfs/iStock-2236920922.jpg) ### Portfolio Energy Benchmarking & Enterprise Accountability Gain insights into energy benchmarking for multi-site organizations. 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Why pre-season discipli… Jun 24, 2026 · Article · 5 min read ](https://resources.gridpoint.com/blog/seasonal-energy-risk-why-summer-preparation-is-a-financial-discipline) Next steps ## Talk to the GridPoint team. ### [Book a meeting See where the operational and capital wins are across your portfolio.](https://gridpoint.com/get-started) ### [See real-world results How multi-site operators are managing energy at portfolio scale.](https://www.gridpoint.com/resources/case-studies/) ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "GridPoint", "url" : "https://resources.gridpoint.com/blog/author/gridpoint" }, "dateModified" : "2024-07-23T15:06:43.855Z", "datePublished" : "2019-07-09T04:00:00.000Z", "headline" : "Understand Energy Savings Calculations - GridPoint", "image" : [ "https://resources.gridpoint.com/hubfs/Imported_Blog_Media/Mobile-3_0-Savings-e1516119737861-May-29-2024-07-56-55-0564-PM.jpg" ], "mainEntityOfPage" : { "@id" : "https://resources.gridpoint.com/blog/ipmvp-understanding-energy-savings-calculations", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://resources.gridpoint.com/hubfs/Branding%20Assets/GridPoint_Full.png" }, "name" : "GridPoint" } } ```