THE hospitality industry is undergoing a transformative shift. Hotels are no longer seen merely as places to stay—they are expected to be smart, sustainable, and personalized. This evolution is being driven by the rapid global adoption of technology across industries, and hospitality is no exception.

With rising energy costs, growing digital expectations, and increasing pressure to meet sustainability goals, hotel owners face a new set of complex challenges.

 The global conversation has moved beyond energy efficiency to what can now be called hyper-efficiency. Guests no longer settle for just a clean room and functioning air conditioning.

They want tailored experiences: rooms pre-set to their preferred temperature, lighting that adjusts based on occupancy, clean air, and seamless digital interactions throughout their stay. 

In East Africa, hotels are embracing these global trends, though at varying speeds. Here, energy efficiency is not just a sustainability measure—it’s a business necessity. The high cost of electricity in the region makes inefficient systems financially unsustainable. Core infrastructure such as HVAC systems and boilers are among the top energy consumers. Upgrading them with digital controls is an accessible and immediate way to cut operational costs.

A key concern for hotels—especially in East Africa—is ensuring uninterrupted operations. Even a few hours of downtime can result in significant revenue loss.

Traditionally, backup power relied heavily on diesel generators. But this model is increasingly unviable, both economically and environmentally.

Today’s best-practice energy model is an integrated system combining grid electricity, solar panels, battery storage, and generators. These systems not only provide backup power—they offer resilience. With intelligent switching capabilities, they ensure continuity of service and optimize energy use in real time.

The first step in achieving energy intelligence is visibility. Hotels must know where and how energy is being consumed—and this is where IoT-enabled devices come in. From individual boilers and AC units to entire room management systems, the ability to collect and communicate data across systems allows for large-scale optimization.

At Schneider Electric, our Building Management Systems (BMS) and microgrid solutions provide predictive capabilities. For example, they can anticipate changes in solar energy availability due to cloud cover and automatically shift to battery storage or alternative sources. This type of foresight is essential—not just for conserving energy, but for coordinating its most efficient use.

While automation improves efficiency, its most transformative power lies in enhancing the guest experience. Take indoor air quality, for example—an often overlooked aspect. Smart systems can monitor and adjust CO₂ levels, humidity, and airborne particles in real time, ensuring a healthier, more comfortable environment. 

Imagine entering a hotel room where everything is perfectly tailored to you—temperature, lighting, even scent—all preset based on your preferences. Imagine using your phone to navigate the hotel and unlock your room with a single tap. These features aren’t distant possibilities; they’re becoming increasingly accessible through automation.

Despite the clear benefits, many hotel owners remain hesitant to adopt smart technologies due to perceived high upfront costs. But this view overlooks the larger picture.

The real cost lies in operations. A basic manual switch might be cheaper to install, but if guests leave lights or air conditioning running, there's no system in place to adjust or shut them off. Smart technologies not only allow for control—they provide actionable insights.

Another misconception is that smart systems are difficult to manage and require highly specialized staff. While some training is necessary, the payoff is significant—greater operational efficiency, better guest satisfaction, and data-driven decision-making that supports long-term growth.

The future of hotel energy management is moving toward smarter, smaller, and more accessible solutions. Automation is no longer the domain of large, luxury hotels. From smart LED lighting to efficient kitchen appliances and HVAC systems, Original Equipment Manufacturers (OEMs) are increasingly prioritizing energy performance.

And the next wave is already here: AI. Artificial intelligence is being used to analyze building management data in the cloud, identify usage patterns, and recommend actions. While fully AI-powered hotels may still be on the horizon, the foundations are being laid today.

In a rapidly evolving hospitality landscape, efficiency is no longer enough—intelligence is key. Automation and smart energy systems are no longer luxury upgrades; they are strategic imperatives. For hotel operators looking to remain competitive, resilient, and responsive to guest expectations, investing in these technologies is not optional—it’s essential.

By Chetan Ratna