Compressed air equipment manufacturer Atlas Copco has revealed energy efficient variable speed drive (VSD) compressors could save the UK industry 16.5 million kWh in 2012.
The Carbon Trust found this could equate to businesses saving £630 million annually by switching to more efficient electric motors and VSDs.
The figures highlighted the missed energy savings at many British factories, Atlas Copco said.
Atlas Copco business line manager Paul Clark said: "These savings demonstrate that Atlas Copco VSD compressors have been proven not only to save UK businesses energy and money, but also significantly reduce their carbon emissions; which has a direct and positive impact on the environment."
Ofgem said the energy saving is equivalent to that used to power over 5,000 British homes.
VSD compressors can potentially save the UK industry nearly 9m kg in CO2 emissions by changing the speed of the drive motor with fluctuations in compressed air demand, according to the Carbon Trust.
However, many businesses are missing out on savings despite the fact that 80% of all compressed air installations fluctuate in terms of demand, Atlas Copco said.
Poor understanding over financing of VSDs and the potential savings of the technology are key barriers, the company claimed.