Clustered architecture processors are preferred for embedded systems because centralized register file architectures scale poorly in terms of clock rate, chip area, and power consumption. Although clustering helps by improving clock speed, reducing energy consumption of the logic, and making the design simpler, it introduces extra overheads by way of inter-cluster communication. This communication happens over long wires having high load capacitance which leads to delay in execution and significantly high energy consumption. Inter-cluster communication also introduces many short idle cycles, therby significantly increasing the overall leakage energy consumption in the functional units. The trend towards miniatrurization of devices (and associated reduction in threshold voltage) makes energy consumption in interconnects and functional units even worse and limits the usability of clustered architectures in smaller technologies. In the past, study of leakage energy management at the architectural level has mostly focused on storage structures such as cache. Relatively, little work has been done on architecture level leakage energy management in functional units in the context of superscalar processors and energy efficient scheduling in the context of VLIW architectures. In the absence of any high level model for interconnect energy estimation, the primary focus of research in the context of interconnects has been to reduce the latency of communication and evaluation of various inter-cluster communication models. To the best of our knowledge, there has been no such work in the past from the point of view of enegy efficiency targeting clustered VLIW architectures specifically focusing on smaller technologies. Technological advancements now permit design of interconnects and functional units With varying performance and power modes. In thesis we people scheduling algorithms that aggregate the scheduling slack of instructions and communication slack of data values to exploit the low power modes of interconnects and functional units . We also propose a high level model for estimation of interconnect delay and energy (in contrast to low-level circuit level model proposed earlier) that makes it possible to carry out architectural and compiler optimizations specifically targeting the inter connect, Finally we present synergistic combination of these algorithms that simultaneously saves energy in functional units and interconnects to improve the usability of clustered architectures by archiving better overall energy-performance trade-offs. Our compiler assisted leakage energy management scheme for functional units reduces the energy consumption of functional units approximately by 15% and 17% in the context of a 2-clustered and a 4-clustered VLIW architecture respectively with negligible performance degradation over and above that offered by a hardware-only scheme. The interconnect energy optimization scheme improves the energy consumption of interconnects on an average by 41% and 46% for a 2-clustered and a 4-clustered machine respectively with 2% and 1.5% performance degradation. The combined scheme options slightly better energy benefit in functional units and 37% and 43% energy benefit in interconnect with slightly higher performance degradation. Even with the conservative estimates of contribution of functional unit interconnect to overall processor energy consumption the proposed combined scheme obtains on an average 8% and 10% improvement in overall energy delay product with 3.5% and 2% performance degradation for a 2-clustered and a 4-clustered machine respectively. We present a detailed experimental evaluation of the proposed schemes using the Trimaran compiler infrastructure.