developing an energy plan - questline an energy plan september 17, 2013 mike carter 2 meet your...
TRANSCRIPT
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This document was specifically prepared to aid utility account managers who are working with C&I customers. Any other use of this material
(in whole or in part) is not allowed without the express written consent of Questline, 2025 Riverside Drive, Columbus, OH 43221.
Developing an Energy Plan
September 17, 2013
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Mike Carter
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Meet Your Panelist
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NEEA Northwest Industrial Training
Provided by:
Northwest Regional Industrial Training Center:
(888) 720-6823
Co-sponsored by your utility and:
Washington State University Extension Energy Program
Bonneville Power Administration
Northwest Food Processors Association
Utility incentives and programs:
Contact your local utility representative
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mailto:[email protected] -
Upcoming In-Class Trainings
Go to the NEEA calendar at http://neea.org/get-involved/calendar for
trainings and events scheduled around the Northwest region.
To register for a training, look for it by date and title. Once you find the
training you want to register for, click on the title and you will find a
description and registration information. Trainings are posted to the
calendar as dates are finalized, so please check the calendar regularly
or contact the training team at 888-720-6823.
Energy Management:
Introduction to Strategic Energy Management
November 12: Hermiston, OR
Introduction to Energy Data Management: A Hands-on Workshop
October 17: Roseburg, OR
October 23: Spokane, WA
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http://neea.org/get-involved/calendar -
Upcoming In-Class Trainings
Pumps: Pumping Systems OptimizationSeptember 25: Longview, WA
Pumping Systems Assessment Tool (PSAT)November 5: Yakima, WA
Optimizing Pumping Systems: A Measurement-Based ApproachOctober 29-30: Nampa, ID
http://neea.org/get-involved/calendar
5
http://neea.org/get-involved/calendar -
Upcoming Webinars
To register for a webinar, go to the NEEA calendar http://neea.org/get-involved/calendar and look for it by date and title. Once you find the webinar you want to register for, click on the title and you will find a description and registration information. All webinars are free!
Energy Management:Energy Management Opportunities for Industrial CustomersNovember 19: 9-10am PST
Energy Efficiency Investment AnalysisOctober 15: 9-10am PST
Power Factor:Improve Power Factor and Your FacilityDecember 17: 9-10am PST
http://neea.org/get-involved/calendar
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http://neea.org/get-involved/calendarhttp://neea.org/get-involved/calendar -
Benefits
Elements of a Successful Plan
Hiring an Energy Manager
Financing
Resources
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Contents
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Energy management is good business
Operations and maintenance costs
Competitive edge/image
Waste/emissions
Workplace environment
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Benefits
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Source: ENERGY STAR
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Elements of a Successful Plan
http://www.energystar.gov/index.cfm?c=guidelines.guidelines_index -
1) Make a Commitment
o Form a cross-functional energy team
o Institute an energy policy/mandate
Example of an energy policy from ABC Inc. Energy Mandate
We recognize energy as a controllable operating expense wherein lower energy consumption results in decreased
operating expense, environmental emissions, and maintenance costs. Energy management is the responsibility of all
staff in our facility, guided and supported by the facility/energy manager. We will assess our energy performance and
share energy use data with all employees. We will create and implement an energy plan to achieve our energy goals. Our
use of equipment and controls for energy savings will be a show-piece in our industry.
o ABC Inc. has established three key energy goals:
Reduce kWh energy consumption per square foot by 20% in one year
Reduce kW peak demand per month by 10%
Obtain a minimum 20% IRR on efficiency investments
Established this ______ day of ___________, 2011.
President/CEO/Director of Ops/Facility/Energy Manager/Financial Manager
Elements of a Successful Plan
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Elements of a Successful Plan
2) Assess Performance
o Take inventory
o Review energy bills (3 years)
o Establish evaluation metrics and selection criteria
o Benchmark your performance against your peers
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Elements of a Successful Plan
2) Assess Performanceo Benchmarking
Manufacturing Energy Consumption Survey (MECS)
ENERGY STAR Plant Performance Indicators
Commercial Building Energy Consumption Survey (CBECS)
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Manufacturing Consumption Patterns
Motors represent largest end use
for most manufacturing segments
o Chemicals (228 kWh/sqft)
o Paper Mills (113)
o Plastic Products (69.15)
o Pharmaceutical (63.40)
o Computer & Electronics (57.67)
o Wood Products (47.16)
o Transportation Equipment (45.46)
o Beverage (42.20)
o Apparel (32.28)
o Machinery Manufacturing (29.77)
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Source: DOE Manufacturing Energy Consumption Survey
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Manufacturing Consumption Patterns
Warehouse energy
consumption is
dominated by lighting
Assembly operations are
dominated by HVAC
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4.0 total
57.67 total
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Elements of a Successful Plan
Motor energy consumption
Electric power (kW) = HP x 0.746/Eff. where efficiency is around 90%
Energy (kWh) = Power (kW) x Time (hrs)
What is power draw for a 200 HP motor?
Electric power (kW) = 200 HP x 0.746/0.90
= 166 kW
What is energy consumption for 200 HP motor operating 16 hrs per day?
Energy (kWh) = 166 kW x 16 hrs/day
= 2,660 kWh/day
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Elements of a Successful Plan
Sub-metering stand-alone products
o Cumulative kWh and "real-time kW load
o kW peak date and time
15-minute interval standard;
30-minute interval available
o Parallel up to three (3) sets of current
sensors for cumulative readingSource: E-Mon
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Elements of a Successful Plan
Sub-metering wireless mesh networking
o Wireless Data Collector (WDC)
o 915 MHz
license-free band
o 500 feet
line-of-sight
o Up to 200 feet
through walls
Source: E-Mon
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0
50
100
150
200
250
300
350
400
450
Columbus
Abilene
Estimating HVAC Billing
o HVAC costs, typically the largest portion of your bill, can be estimated
by using cooling load hours
o When heating with natural gas, establish lowest cooling load hour month
electrical consumption as a baseline to estimate the air conditioning
portion of your bill
Most other end uses such as
lighting and office equipment are
fairly constant over the year
Almost all of the month-to-month
increases in energy consumption
are due to air conditioning
Cooling Load Hours
Elements of a Successful Plan
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Use baseline consumption in winter months to
estimate cooling portion of bill
Subtracting winter months baseline from actual will
give a good estimate of cooling energy consumption
o Use 80% of January/February energy consumption as a baseline
Monthly Electricity Consumption, kWh (1,000s)
Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Total
Actual 78 80 88 102 138 175 196 190 167 116 90 80 1,500
Base 62.5 62.5 62.5 62.5 62.5 62.5 62.5 62.5 62.5 62.5 62.5 62.5
15.5 17.5 25.5 39.5 75.5 112.5 133.5 127.5 104.5 53.5 27.5 17.5 750
Example: = 9.4 kWh/ft2/yr (vs. 6.6-8.0 cooling + ventilation)750,000 kWh
80,000 ft2
Elements of a Successful Plan
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Elements of a Successful Plan
3) Set Performance Goals
o Near-term and long-term
4) Create an Action Plan
o Develop an accounting/reporting system
o Prioritize opportunities (identify technologies and payback)
o Prepare budget
o Consider rate optimization
o Put an effective maintenance plan into place
o Include commissioning
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Elements of a Successful Plan
5) Implement the Action Plan
o Get approval at the top
Speak dollars, not Btus or kWhs
First cost versus lifecycle cost
Compare to competitors
Get buy-in from CEO (energy mandate)
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Elements of a Successful Plan
5) Implement the Action Plan (contd)
o Build capacity
Grow the grass roots
Network
o Motivate
Motivate O&M staff through monthly reports
Provide owners/managers of multiple buildings chance to benchmark
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Elements of a Successful Plan
5) Implement the Action Plan
Motivate
Carbon Trust energy posters
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http://www.carbontrust.com/resources/guides/energy-efficiency/employee-awareness-and-office-energy-efficiency -
Elements of a Successful Plan
6) Evaluate Progress
o Energy use data
o Technology implementation
o Behavior modification
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Elements of a Successful Plan
7) Recognize achievements
o Brand your program
o Publicize often
o Keep a high profile
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Hiring an Energy Manager
Should you hire an energy manager?
o What is an energy manager?
o The job of the energy manager
o Challenges
Are significant energy-savings opportunities available?
Is senior management on board with energy efficiency?
Are the necessary financial resources available?
o Recommended qualifications
Technical degree
Association of Energy Engineers Certified Energy Manager
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Borrowing
o Best option for larger investments involving multiple buildings, where significant energy savings are assured
o Commercial lenders
o Local government bonds
Lease purchase agreements
o Capital lease for long lifespan equipment
o Operating lease when regularly replacing/upgrading
o Typically, 5 to 10 year term
Financing
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Financing
Performance contracting
o Energy Service Company (ESCO)
Identifies and evaluates energy-saving opportunities
Recommends a package of improvements
Contract term of 7 to 10 years
ESCO may or may not purchase equipment
o Minimum requirements
40,000 square feet of floor area, and
$40,000 annual energy bill
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Financing
Performance contracting (contd)
o Helpful hints
Involve your local energy supplier
Invite ESCOs to tour the facility
Negotiate an energy audit and project development agreement
Negotiate a guarantee to meet your needs
Train staff to maximize benefits
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Federal Incentives
o American Recovery and Reinvestment Act of 2009
$4.5 billion to convert federal buildings into high-performance green buildings
State energy-efficiency and conservation block grants funded ($3.1 billion)
Renewable energy
o Production Tax Credit (PTC) of 1 to 2.1 cents per kWh
o 30% Investment Tax Credit
o Cash grant
30% for fuel cell, solar, small wind
10% for geothermal, microturbine, and combined heat and power property
Financing
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Financing
Federal Incentives
o Energy Improvement and Extension Act of 2008
Eight-year extension (through 2016) of 30% tax credit
o Commercial solar installations
Eliminated the $2,000 tax credit cap
o Small wind power (up to $4,000)
For wind turbines with capacities of 100 kilowatts or less
o Geothermal heat pumps (up to $2,000)
Fuel cell tax credit limit is tripled, to $1,500 for each
0.5 kilowatts of capacity
Creates a new 10% tax credit for certain combined heat
and power systems
Extended the energy-efficiency tax deductions for
commercial buildings through 2013
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Financing
Federal Incentives
o Energy Policy Act of 2005 Commercial Building Tax Deduction (179D IRS Code)
Up to $1.80 per square foot
o Building envelope ($0.60/ft2)
o Heating, cooling, ventilation ($0.60/ft2)
o Interior lighting ($0.60/ft2)
Available to owners or tenants (or designers, in the case of government-owned buildings) of new or existing commercial buildings
Must save at least 50% of the energy cost of a building that meets ASHRAE Standard 90.1-2001
Verification (software) and certification requirements
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State Incentives
o Database of State Incentives for Renewable Energy (DSIRE)
Grants
Loans
Loan guarantees
Sales tax exemption
Financing
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http://www.dsireusa.org/ -
Financing
Utility Incentives
o Prescriptive
After purchase
Prescribed amount
Minimal verification
o Custom
Prior to purchase
Amount based on energy saved
High degree of verification required
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Other Resources
EPA ENERGY STAR
o Building Upgrade Value Calculator (BUVC)
o Cash Flow Opportunity Calculator
o Financial Value Calculator
o Portfolio Manager
Track multiple energy and water meters for each facility
Benchmark your facilities relative to their past performance
View percentage improvement in weather-normalized source energy
Share your building data with others inside or outside of your organization
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http://www.energystar.gov/index.cfm?c=business.bus_index -
Other Resources
EPA ENERGY STAR
o Building Energy Performance Rating System
o ENERGY STAR Qualified Commercial Products
Office Equipment
Commercial Food Service Equipment
o Dishwashers
o Fryers
o Griddles
o Holding Cabinets
LED Lighting
Enterprise Servers
Vending Machines
o Ice Machines
o Ovens
o Refrigerators/Freezers
o Steam Cookers
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DOE EERE Building Technologies Program
o Net-Zero Energy Commercial Building Initiative
Goal of net-zero energy commercial buildings by 2025
Get key design and evaluation steps
Download energy simulation software
Alliances and Partnerships
o Commercial Building Energy Alliances (CBEAs)
Retailers, hospitals, real estate
o Commercial Building National Accounts (CBNAs)
o Building Energy Codes Program
o EnergySmart Schools
o EnergySmart Hospitals
Other Resources
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http://www1.eere.energy.gov/buildings/http://apps1.eere.energy.gov/buildings/energyplus/http://apps1.eere.energy.gov/buildings/energyplus/ -
Other Resources
DOE EERE Industrial Technologies Program
o Save Energy Now phasing out
o Better Buildings, Better Plants Program
Reduce energy intensity by 25% over 10 years
o Superior Energy Performance (SEP)
Continuous improvement via ISO 50001 energy
management standard
Certified practitioners
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http://www1.eere.energy.gov/industry/ -
Other Resources
DOE EERE Industrial Technologies Program
o Technology Delivery
Plant-wide, compressed air, motor-driven, process heating, steam systems, and data centers
Software Tools
o Fan System Assessment Tool (FAST)
o MotorMaster+
o Steam System Assessment Tool (SSAT)
o Process Heating Assessment and Survey Tool (PHAST)
Technical Publications
Training Sessions
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http://www1.eere.energy.gov/industry/ -
Other Resources
ENERGY STAR Industrial Energy Management Information Center
o Benchmarking
Plant-wide, sector-specific benchmark tools
o Communication and Recognition Resources
o Employee Engagement & Energy Teams
o Plant Energy Assessment/Auditing
DOE EERE Federal Energy Management Program (FEMP)
o Design, operate, and maintain
high-performance buildings
o Purchase energy-efficient products
o Deploy renewable energy technologies
o Finance and contract assistance
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http://www.energystar.gov/index.cfm?c=industry.bus_industry_info_center -
Other Resources
U.S. Green Building Council
o Leadership in Energy and Environmental Design (LEED)
Commercial Interiors (tenant improvement)
Existing Buildings O&M
o Core and Shell
o New Construction
o Schools, Healthcare, Retail
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http://www.usgbc.org/ -
Other Resources
LEED Existing Buildings 2009 110 points
o Sustainable Sites (stormwater management,
lighting pollution)26 pts
o Water Efficiency14pts
o Energy and Atmosphere (building commissioning, building automation
systems)35 pts
o Materials and Resources (sustainable purchasing,
solid waste management)10 pts
o Indoor Environmental Quality (ventilation, occupancy sensors, green
custodial cleaning)15 pts
o Innovations in Operations (design innovation)6 points bonus
o Regional Priority (must meet thresholds)4 points bonus
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Case Studies
Solutia in St. Louis, MO
o Chemical plant
o 10% savings goal for 2010
o Sub-metering air dryer
$19,000 savings
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Case Studies
Eck Industries in Manitowoc, Wisconsin
o 200,000 sqft aluminum foundry
o 360 HPS fixtures replaced by T8 lighting
o Saves 675,000 kWh per year
o
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Upcoming In-Class Trainings
Go to the NEEA calendar at http://neea.org/get-involved/calendar for
trainings and events scheduled around the Northwest region.
To register for a training, look for it by date and title. Once you find the
training you want to register for, click on the title and you will find a
description and registration information. Trainings are posted to the
calendar as dates are finalized, so please check the calendar regularly
or contact the training team at 888-720-6823.
Energy Management:
Introduction to Strategic Energy Management
November 12: Hermiston, OR
Introduction to Energy Data Management: A Hands-on Workshop
October 17: Roseburg, OR
October 23: Spokane, WA
45
http://neea.org/get-involved/calendar -
Upcoming In-Class Trainings
Pumps: Pumping Systems OptimizationSeptember 25: Longview, WA
Pumping Systems Assessment Tool (PSAT)November 5: Yakima, WA
Optimizing Pumping Systems: A Measurement-Based ApproachOctober 29-30: Nampa, ID
http://neea.org/get-involved/calendar
46
http://neea.org/get-involved/calendar -
Upcoming Webinars
To register for a webinar, go to the NEEA calendar http://neea.org/get-involved/calendar and look for it by date and title. Once you find the webinar you want to register for, click on the title and you will find a description and registration information. All webinars are free!
Energy Management:Energy Management Opportunities for Industrial CustomersNovember 19: 9-10am PST
Energy Efficiency Investment AnalysisOctober 15: 9-10am PST
Power Factor:Improve Power Factor and Your FacilityDecember 17: 9-10am PST
http://neea.org/get-involved/calendar
47
http://neea.org/get-involved/calendarhttp://neea.org/get-involved/calendar -
Thank You
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