How Danfoss uses electricity and efficiency to cut costs
Summary
Danfoss is implementing a decarbonization strategy at its Grodzisk, Poland facility by combining the construction of near-zero emission halls with the retrofitting of older facilities. Key measures include replacing natural gas with electric heat pumps and boilers, implementing a 'Shutting Off Initiative' for idle machinery, and installing waste heat recovery systems. These actions have resulted in significant energy savings, including 4,600 kWh per day from powering down machines and €420,000 in annual savings from air handling unit retrofits.
Key insights
- Danfoss reduced its reliance on natural gas and stabilized energy costs by installing electric boilers for winter peak demand and heat pumps that can generate 380 kW of heat power output from 100 kW of electric power input.
- The 'Shutting Off Initiative' demonstrated that 80% of large machines could be powered down when idle without affecting productivity, saving the Grodzisk campus more than 4,600 kWh of energy daily.
- Scaling the 'Shutting Off Initiative' across all 101 Danfoss factories is projected to save between 8% and 10% of total energy usage, totaling approximately 80 million kWh and €3–5 million annually.
- Retrofitting air handling units to recover waste heat and using variable speed drives to reduce fan energy use by up to 40% saved 1.8 million kWh of electricity and gas in 2023, totaling €420,000 in savings.
Cite the original document
- APA
- Pytel, B. (2026). How Danfoss uses electricity and efficiency to cut costs. We Mean Business Coalition. https://www.wemeanbusinesscoalition.org/blog/how-danfoss-uses-electricity-and-efficiency-to-cut-costs/
- Chicago
- Pytel, Brandon. How Danfoss uses electricity and efficiency to cut costs. We Mean Business Coalition, 2026. https://www.wemeanbusinesscoalition.org/blog/how-danfoss-uses-electricity-and-efficiency-to-cut-costs/.
- Wikipedia
- {{cite report |last1=Pytel |first1=Brandon |title=How Danfoss uses electricity and efficiency to cut costs |publisher=We Mean Business Coalition |date=13 January 2026 |url=https://www.wemeanbusinesscoalition.org/blog/how-danfoss-uses-electricity-and-efficiency-to-cut-costs/ |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{pytel2026how, author = {Pytel, Brandon}, title = {{How Danfoss uses electricity and efficiency to cut costs}}, institution = {We Mean Business Coalition}, year = {2026}, month = jan, url = {https://www.wemeanbusinesscoalition.org/blog/how-danfoss-uses-electricity-and-efficiency-to-cut-costs/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
Full text
Collected · Record updated